MILLIONS of people are getting extra cash to help in the cost of living crisis.
Direct payments are hitting bank accounts from July 14 onwards and should reach most people by the end of the month
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The first half of the £650 cost of living payment is worth £326 and is for those on Universal Credit and certain benefits.
But payments are staggered, leaving many wondering when theirs will be land and how you can tell what date it’s due.
It’s led to some confusion among those still waiting and asking if it’s to do with the bank they’re with.
Many have posted to a cost of living help page on Facebook asking others who they bank with, and if they have received it.
One person asked: “Anyone with HSBC? Not had mine yet.” Another said: “Anyone with RBS had theirs yet? I’m still waiting.”
One more put: “Haven’t received mine yet and with Lloyds.”
Unfortunately who you bank with has nothing to do with when you get the payment.
Regardless of who you bank with the cash could come at any time between now and July 31.
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Just because someone else with the same bank as you has seen the cash land in their account, it doesn’t mean you will get it at the same time.
Also, your bank might just process general payments at a later time to another – so you might get yours an hour after somebody else, for example.
The DWP say some payments will take longer than others as there are millions of payments that need to go out.
They can’t all be processed on a single day, but it’s aiming to get all but the most complicated sent before July 31.
People on tax credits are confirmed as among those who WON’T be getting the first payment until months later though.
If you’re on tax credits, your payment will arrive in autumn and the remaining cash in winter – the exact date has not yet been announced.
People may be receiving tax credits alongside other benefits that qualify for the cost of living payment.
So the £650 payment to those on tax credits only will be dished out at a later date to avoid any double payments being made.
HMRC has told The Sun that 1.1million people on tax credits will wait for the first payment, and a similar number will have a longer wait again for their second payment.
The payment is automatic for those who are eligible, though you won’t be alerted to if you qualify or not beforehand – you’ll just see the cash land in your account.
When it does, it will say “DWP Cost of Living” for the transaction.
With some banks you might see pending payments before they arrive which mean you can see when the payment is coming.
But this will depend on who you bank with, as not all accounts have this feature.
Who is eligible for the £650 cost of living payment?
Other than tax credits, in order to make you eligible for the payment you’ll need to be getting one of the following benefits:
- Pension credit
- Income support
- Income-based Jobseeker’s Allowance
- Income-related Employment and Support Allowance
If you’re on Universal Credit you could also be eligible.
There’s no confirmation of whether or not you’ll get the payment before it arrives, but if you’re receiving any of these benefits, you should be down to receive it.
To get the first half of the payment, you needed to be on eligible benefits or have begun a claim which goes on to be successful, within certain dates.
You must have a Universal Credit assessment period that ended in the period April 26 to May 25.
And for the other benefits you must have received a payment between those dates.
If you miss that date and claim Universal Credit after this then you could still be eligible for the second half of the payment later in the Autumn worth £324.
Crucially, the payment is one per household – so if more than one person at your address receives one of these benefits, it does not mean you’ll get more cash.
The payments will be tax-free and won’t affect any benefits you’re getting.
More cost of living help you can get
If you’re still waiting for first part of the £650 cost of living payment, there are more schemes which can tide you over for a while.
For example, some households on low incomes could be eligible for a discount on their council tax bill.
You could get your bill reduced to zero, and with the average bill for a band D home at £1,898, that could be a significant saving.
Find out what you could get in our guide.
There’s also an option to claim up to £150 if you can’t get council tax rebate, which you can read about here.
Also, if you’re struggling to pay your energy bills, there are a whole load of schemes available. You could grab £750 to help pay your bills, and you don’t need to pay it back either.
Some schemes include:
Contact your supplier directly to see what they offer, what the eligibility requirements are, and how much you can get.
If you don’t know who your supplier is, you can find out here.
In terms of council funds, the Household Support Fund helps families with the rising cost of living, has been extended.
This help could include cash grants to pay bills or cover food costs – the help will depend on where you live.
For example, in Derby, families can get help during the school term break and pensioners receiving council tax support can also claim.
To find out what support is available in your area, contact your local council.
