Anúncios
Budgeting Loans and Budgeting Advances help people on low income in England.
This guide explains who can get help, amounts, and how to apply.
Read this to know which loan fits your benefits and what to do next.
What these loans are and why they matter
Both are interest-free loans to cover essential one-off costs.
They cover things like white goods, furniture, repairs and moving costs.
The key difference is which benefit you already receive.
Choose the right route to avoid a rejected application or delay.
Who can get a Budgeting Advance
Budgeting Advances are only for people getting Universal Credit.
- Live on Universal Credit: required to apply.
- 6 months rule: normally you need 6 months on UC.
- Job-related exception: 6 months waived to help get/keep work.
- Income cap: under £2,600 single in last 6 months.
- Couple cap: under £3,600 in last 6 months.
- No duplicate: you cannot have another outstanding advance.
These rules are strict. Check your UC account or ask your Work Coach.
Who can get a Budgeting Loan
Budgeting Loans are for people on legacy benefits and Pension Credit.
- Eligible benefits: Income Support.
- Eligible benefits: Income-based Jobseeker’s Allowance.
- Eligible benefits: Income-related Employment and Support Allowance.
- Eligible benefits: Pension Credit.
- 6 months rule: usually you must have the benefit for 6 months.
- Not for UC claimants: if on Universal Credit, apply for Advance.
If you moved from legacy benefits to Universal Credit you generally must use Advance.
How much you can borrow
Both loans are interest-free and capped by household status and savings.
If you have savings over £1,000 you may get less.
If you are aged 63 or over the threshold is £2,000.
| Household status | Maximum amount | Notes |
|---|---|---|
| Single | £348 | Minimum £100 |
| Couple | £464 | Joint claim considered |
| With children | £812 | Higher limit for dependants |
The minimum loan available is £100.
How to apply: Budgeting Advance (Universal Credit)
Apply online via your Universal Credit account for fastest response.
- Online: sign in to your Universal Credit account.
- Phone: call 0800 328 5644 (Mon–Fri 8am–6pm).
- In person: speak to your Work Coach at Jobcentre Plus.
Have proof of payments and basic receipts ready before you apply.
How to apply: Budgeting Loan (Legacy benefits)
Online is usually fastest through the GOV.UK budgeting loan page.
- Online: visit GOV.UK and search budgeting loan.
- By post: use form SF500 if needed.
- Phone: Social Fund Enquiry Line 0800 169 0140.
If you cannot print the SF500, DWP can post the form to you.
Video: quick visual guide
Watch a short explainer including eligibility checks and application steps.
The video complements these steps and shows screenshots of online forms.
Repayment, decisions and reviews
Both loans are interest-free. You repay exactly what you borrowed.
Repayments are taken automatically from your future benefit payments.
Repayment usually finishes within two years (104 weeks).
If you disagree with a decision, request a formal review in writing.
The decision letter explains how to challenge or appeal the outcome.
Eligibility checklist and documents
- Proof of benefit: recent award letter or UC account screen.
- ID: passport or driving licence where possible.
- Bank details: for payments and repayment deductions.
- Evidence of need: quotes, receipts or landlord letters.
- Savings info: bank statements showing amounts.
Having documents ready speeds up decisions and payments.
Where to get help and official contacts
Use official GOV.UK pages for forms and the latest rules.
- Budgeting Loans page: search GOV.UK budgeting help benefits.
- Universal Credit helpline: 0800 328 5644.
- Social Fund line: 0800 169 0140.
- Citizens Advice: free, confidential local support and forms help.
- Debt advice: StepChange for free debt guidance.
These channels are official and free to use. Avoid paid intermediaries.
Scams and security warnings
The DWP will never ask for personal banking details by text or email.
Do not click unexpected links or share bank details by message.
Forward suspicious texts to 7726 and emails to [email protected].
Report fraud to Action Fraud online if you suspect theft or scams.
Alternatives if you are not eligible
If you do not qualify, consider local welfare assistance schemes.
- Local councils: discretionary support for urgent needs.
- Food banks: for immediate food and basics.
- Credit unions: safer small loans with clear terms.
- Charities: some offer crisis grants for specific needs.
Check Citizens Advice for a tailored list of local options and contacts.
Practical tips to improve your application
Be specific about the item or repair and include written quotes if possible.
Apply early for planned costs like moving or replacing an essential appliance.
If you need the loan to start work, mention this; rules can be flexible.
Keep copies of everything you send and note the dates you applied.
Next practical steps
Check which benefit you receive now: UC or a legacy benefit.
Gather ID, benefit proof and any quotes or receipts before applying.
- If on UC: sign in to your Universal Credit account now.
- If on legacy benefits: visit GOV.UK for the SF500 form.
- If unsure: ring Citizens Advice or Jobcentre for guidance.
Apply as soon as you can; decisions and payments can take time.
Use official numbers: 0800 328 5644 or 0800 169 0140.
If you struggle with debt, contact StepChange or Citizens Advice before borrowing.
This guide is based on GOV.UK rules current at the date shown in the source.
Check GOV.UK for updates before you apply, especially around eligibility changes.
Need help now? Start with your Universal Credit account or call your local Jobcentre.
