Budgeting Loans

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Budgeting loans can help with essential lump sum expenses which are difficult to budget for when you are living on means-tested benefits. Budgeting loans have to be paid back to the social fund, but they are interest-free. This means you only have to pay back the amount you are awarded. You won’t get a budgeting loan just because you are eligible to apply. The decision will be made following a review of your circumstances.

APPLY ONLINE FOR A BUDGETING LOAN

How Long Does A Budgeting Loan Take
Budgeting loan Telephone Number

What are Budgeting Loans?

A BL is a one off award designed to help people or families to spread the cost of expensive items over time to make them more affordable

Who Can apply for a BL?

To receive a Budgeting Loan you must be in receipt of an income based benefits and that award must span at least 26 weeks without a break.

▪   You can apply if you are the partner of someone who has been in receipt of a qualifying benefit for 26 weeks.

▪   If your benefit had been stopped for a period of less than 28 days then you are still eligible for a BL

What can I use a BL for?

Budgeting Loans are intended to be used for:

 

▪   Household essentials or furniture.

▪   new shoes or clothes.

▪   removal costs of your first months rent.

▪   increased home security or improvements.

▪   expenses associated with travel.

▪   Help with job seeking or the start of a new job

▪   Settling any HP agreements that you have taken out to pay for any of the above.

How much can I borrow?

This will depend on:

▪   If you are single;

▪   a member of a couple; or

▪   if you have one or more children.

The award made will rest on:

▪   any outstanding social fund dept.

▪   any money that you have at your disposal

 

You must apply for a minimum amount of at least £100

Repaying a Budgeting loan

Repayments can either be:

▪   Deducted automatically from benefit in payment; or

Paid directly by the customer at an agreed amount (depending on applicant s income and expenditure).

How to apply

▪   BL applications can be made by completing an Application Form and posting it to a local Jobcentre Plus office.

When completed the form can be posted to your local Jobcentre Plus.

Dissatisfied with BL decision?

If the customer is dissatisfied with their BL decision: A review request should be made in writing within 28 days of the date of the decision stating the reasons why the applicant is dissatisfied with the decision. Customers can apply to the IRS

 

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590 Comments To This Article… add one

  • nathan

    July 6, 2013 at 11:34 am Reply edit

    I put in for a bugetinh loan and they said i wasnt on a benifit but i was on for 26weeks then signed off for 2 days and back on do you think i will get it

  • Admin

    July 8, 2013 at 9:14 pm Reply edit

    Only if you were on an income based benefit

  • John

    July 4, 2013 at 8:24 pm Reply edit

    I get conflicting information from the Social Fund call centre as to my eligibility. I was on JSA for a year before being temporarily suspended between 23/05 to the 18/06. That is 26 days in total. I’m now back on JSA. Despite this, I’ve been told that I would not be eligible simply because I had a “break”; the 28 days point being irrelevant.

    What is going on?

  • Admin

    July 8, 2013 at 9:15 pm Reply edit

    my understanding is that ANY BREAK resets your 26 weeks.. the 28 day rule is for benefit linking ( waiting days etc) and not social fund eligability

  • Amy

    June 24, 2013 at 4:50 pm Reply edit

    Do i need a stamp to send off a reply slip for a budgeting loan?

  • Admin

    July 3, 2013 at 5:12 pm Reply edit

    No, they are pre paid

  • caz

    June 20, 2013 at 11:18 am Reply edit

    Hi I had a budgeting loan back in begining of 2012 of £812 they have only started taking it back a month ago, I applied for another budgeting loan on friday of £700 as I have now moved into a new place and had a second baby to help with home improvements and clothing for me and my 2 children.. I was just wondering the chances of actually getting it as like I say they have not long started to take the old one back? Thanks

  • Admin

    July 3, 2013 at 5:15 pm Reply edit

    Its improbable that you will get another £700 as you already owe so much.

  • Miss daisy

    June 20, 2013 at 9:55 am Reply edit

    I have been on income support for 25 weeks and was on maternity allowance before that… Am I eligible for a budgeting loan?

  • marky

    June 3, 2013 at 3:43 pm Reply edit

    hi i was accepted for a budget loan on the 24th may 2013 i sent my reply slip on the 24th may 2013 they haven’t received it so now they are sending another reply slip,only thing is i was getting income support when i accepted and now ive had that stopped and have made a new claim for jsa,will i still get the loan???

  • Loans Help

    June 3, 2013 at 3:57 pm Reply edit

    Your application should be fine, as the decision has already been made. it is possible to switch benefits as long as there is no gap in claims

  • Kathryn

    May 30, 2013 at 2:01 pm Reply edit

    Hi I was just wondering I sent my form off on tuesday and was just wondering Wetherby you know how lobg it will take before I hear back fron them. Thanks

  • Kaisa

    May 28, 2013 at 9:27 am Reply edit

    Hello. I sent the budgeting loan application off on the 7th May 2013 and havent heard back from them since. I tried the new Crisis Loan number, but because Goverment stopped the Crisis Loans, it was just a waste of time and I didnt get more information from there. What is the actual number (phone number, not website) for the budgeting loan so I could chase it up please? Thanks.

  • kyle

    May 7, 2013 at 7:17 am Reply edit

    Hi I sent my acceptance letter back on 30/04/13 a week ago and i haven’t received any payment or heard anything back, should i wait a few more days before contacting DWP or contact them now? Thanks

  • Nina

    May 25, 2013 at 10:34 pm Reply edit

    Hi I sent my acceptance letter off today but i thought you did not need a stamp on the envelope provided. But i read on a earlier post you was meant to but a stamp on the envelope. Can you please confirm whether a stamp was needed please.. Thank you.

  • Loans Help

    May 26, 2013 at 7:12 pm Reply edit

    Most of the envolopes provided a pre-paid, 2nd class. was it already addressed? if so its 99.99% curtain that the postage is already covered.

  • Danielle Lawton

    May 3, 2013 at 8:43 am Reply edit

    Hi has any1 got the number for the buget loan cimpany just i tryed loads any not getting a answer could some please send me it thanks xx

  • ashley

    April 27, 2013 at 10:14 am Reply edit

    Can I apply for one if my partner has had one in the past when we w
    ernt together?

  • Loans Help

    April 28, 2013 at 9:57 am Reply edit

    Yes, but they will count your partners previous loans toward the total amount that you can now borrow, E.G. you want £1000. you partner had £750 and owes £600 this means that you can now get £900 max.

  • kayleigh

    April 26, 2013 at 8:03 am Reply edit

    I posted my form 2 and a half weeks ago , haven’t had anything back yet . My question is how long does it usually take for a desision to be made ?

  • jordan

    April 25, 2013 at 1:35 pm Reply edit

    Wots the budgeting loan number for scotland

  • Danni

    April 22, 2013 at 9:55 pm Reply edit

    Im having trouble finding the right number to ring?

  • Danni

    April 22, 2013 at 7:30 pm Reply edit

    If payment is not received by Wednesday I should ring dwp? Its taken almost 2 months to get this far.

  • Loans Help

    April 22, 2013 at 7:32 pm Reply edit

    Yes Danni, I would suggest that you call them tue/wed as it can take 24-48 hours to call you back, then we will be back at Friday with the banks closing for the weekend and your loan being held till next week.

  • Danni

    April 22, 2013 at 3:17 pm Reply edit

    I also sent my acceptance letter off Monday and still waiting, do I receive a letter saying when the payment will be made or does it go straight into my account??

  • Loans Help

    April 22, 2013 at 5:35 pm Reply edit

    The Loan will be paid right into your account- you will get a letter, but its 2nd class, so will arrive AFTER the loan is issued

  • amanda

    April 22, 2013 at 2:52 pm Reply edit

    So I should defo get it this week then??

  • Loans Help

    April 22, 2013 at 5:34 pm Reply edit

    can say for sure- you are best to call the DWP if you want a defo answer.

  • amanda

    April 22, 2013 at 1:57 pm Reply edit

    I sent my acceptance letter back last monday and havent heard anything yet.does anybody know roughly how long it takes once you send the form back saying you accept

  • Loans Help

    April 22, 2013 at 2:25 pm Reply edit

    Amanda,

    It is taking 7-10 days at the moment

  • AJ

    April 22, 2013 at 12:41 pm Reply edit

    my dad took out a budget loan back in 1998 (he does not remember this) and its taken them 14 years to say they are taking money from his esa he dont receive a lot and this was possibly when he was with my mum they have been separated for 5 years now can they take this money back after it being so long and have not go in touch with him before about this.

  • Loans Help

    April 22, 2013 at 2:27 pm Reply edit

    Yes they can take it back, no matter how long it has been- that was part of the original agreement that your dad made.

    He can ask for the repayments to be looked at again with a bee to them being reduced

  • Adam d

    April 18, 2013 at 6:17 pm Reply edit

    I applied for a budget loan and was denied as they say i haven’t been on jsa long enough when i defo have, how do i appeal?

  • Loans Help

    April 19, 2013 at 7:51 am Reply edit

    Call the office that disallowed you, and ask for a reconsideration – you will have to put it in writing – so ask for the fax number or ask the Jobcentre to fax it for you

  • Adam d

    April 10, 2013 at 2:11 pm Reply edit

    Hi , i applied for a b.loan on 3rd april ’13, i now hear that as of 1st april the social fund is changing, does this mean my application will be refused?

  • Social Fund

    April 12, 2013 at 5:58 pm Reply edit

    YOu MAY be OK- depends on the reason for your application. https://www.gov.uk/budgeting-loans/overview

  • John Kernohan

    April 5, 2013 at 11:17 am Reply edit

    I applied for a loan over 2 months ago and have had no accpetance or refusal notification

  • rhiannon

    April 5, 2013 at 9:05 am Reply edit

    I got my acceptance lettance letter and sent it last yesterday evening 1st class(postie collects today) do you know roughly how long its taking to appear in peoples banks at the mo? the letter took about 7 days to turn up.

  • Social Fund

    April 12, 2013 at 6:31 pm Reply edit

    At least 10 days..

  • stacey brown

    April 3, 2013 at 12:52 pm Reply edit

    I applied for a bugeting loan on the 20th march 2013 and have not heard anything yet I no that from 1st april they have stopped doing them does this mean I won’t get one now

  • Social Fund

    April 3, 2013 at 2:04 pm Reply edit

    Your application will still be processed, as long as it was received all applications made before 31/3/2013 will be looked at.

  • JUSTINE ASHLEY

    March 29, 2013 at 10:46 am Reply edit

    Could you please advise me how long it takes from receiving and returning the acceptance letter for the money to go into the account. I had the letter Monday 25th March. I am just concerned with all this bad weather if mail has been received etc, and conscious that if the letter is not back within the 14 days of the letter being sent that it will be cancelled.

  • charlie

    March 17, 2013 at 4:59 pm Reply edit

    Hi,
    I accepted the amount I was offered for my budgeting loan and sent back the wrong form to say I accept,
    will this affect how long it takes for the money to go into my account?

  • danny

    February 15, 2013 at 1:34 pm Reply edit

    hello there i got my form back last Friday i think i sent it off with the Evenlope in isnt not first class Anyways because it a Goverment based letter? well i sent it off as they said i can have 348 in a loan i sent all the forms they give me in the first place so they cant say they Didnt get it all. so when would you think it will be in my bank account?

  • John kavanagh

    February 1, 2013 at 2:34 pm Reply edit

    l ask for 114.00 and they have offered me 113.52 l have sent back the offer letter now l am just waiting to see how long it takes to recive the money

  • Ashley

    August 13, 2012 at 1:00 pm Reply edit

    hey ive been offered a brand new 2 bed house from isos housing and the houses will not be finished untill september, i am filling in the community care grant as i need furniture etc and is asking for carpet measurments which i dont know, and will not be able to know untill i view this property at a later date, could you give some advice please on what to do

  • El

    August 9, 2012 at 3:21 pm Reply edit

    Hi, I recently moved into a new flat and im on jobseekers allowance so cannot afford to put carpet down. Would I be able to get a budgeting loan to do so?

  • sarah day

    August 1, 2012 at 8:18 pm Reply edit

    I took out a social fund budgeting loan 3 years ago of £918., and to this day they have never taken the money back. I signed the agreement and recieved the payment but the re-payments never started. I had previously had 3 other loans and they had all gone back as agreed, in fact one loan they had said I had started repayments 6 months later than I had, and took an extra £235.46p from me. Where does this leave me? Due to financial circumstances I am in need of asking for another budgeting loan but I’m afraid they will say no due to outstanding balance. But it is through no fault of mine that this has not been repaid.

  • Christelle

    July 22, 2012 at 9:29 pm Reply edit

    I recently had a new claim on 23 of march and I want to applied for budget loan so I can buy furniture. Am I eligible.

  • shona

    July 20, 2012 at 6:38 am Reply edit

    i applied for a budget loan back in March which was accepted for £600 for furniture and removal costs. I have been paying £26 a week since so think i possibly have £100-£150 to pay back. Have just applied for another for £500 for furniture and home improvements. Will this be declined ??

  • carly

    July 17, 2012 at 2:34 pm Reply edit

    i am a single mum of a 8 week old, i am on maternity leave from work, i have been living in a hostel and have just been given a council house. i have no furniture, carpets or anything to put in there and only get basic maternity pay from work which is just enough to live on do you think i will be entitled to a loan or do i have to be on benefits?

  • Amber

    July 16, 2012 at 11:09 am Reply edit

    I applied for a budget loan a few weeks ago I got the letter saying how much I will get and I sent th letter back but still havint got th money I was just wondering welshmen I would get the money?

  • billy

    June 19, 2012 at 9:21 am Reply edit

    am i aloud to get a budget loan if i had 3months work and then done a rapid reclaim iv only bin back on the jsa for 2months now

  • Sian

    June 18, 2012 at 3:48 pm Reply edit

    Hi. I sent off the form to accept the offer for a budgeting loan on monday. How long do you think it will be now until the money is in my account?
    Thanks

  • zara

    June 14, 2012 at 9:38 pm Reply edit

    I applied for a budget loan about 2 weeks ago but still haven’t had a reply i have one already but only owe 40.00 now. How do i know if i can have this loan and how long will it take for me to receive in the post?

  • David

    June 14, 2012 at 6:59 am Reply edit

    Hi I accepted the amount of a budget loan and sent it away last Saturday how long will it take to go into my bank?

  • J Taylor

    June 13, 2012 at 10:29 pm Reply edit

    i am paying my partners loan back and im having problems tracking payments that havent been recorded against the loan and obtaining an outstanding balance, add this to the monthly threatening letter that comes out 2 weeks after payment guaranteed. obviously im not having fun and im trying to locate the official complaints route but all i can find is this daft forum. any help would be great.

    J Taylor

  • JOANNE HURLEY

    June 9, 2012 at 7:02 pm Reply edit

    I PHONED FOR A CRISIS LOAN LAST WEEK EVEN TOUGH IM ENTITLED TO APPLY FOR ONE THEY TOLD ME I COULDNT BECAUSE MY LIMIT IS STILL £1,500 EVEN THOUGH IVE BEEN PAYING BACK £35 A FORTNIGHT OUT OF MY JOBSEEKERS NOW FOR MONTHS SO WERES MY MONEY BEEN GOING IF NOT TAKING IT OF THAT

  • Social Fund

    June 11, 2012 at 5:52 pm Reply edit

    Does your partner owe anything? if you and you had £1500 and then met a partner who also owed £1500 then you household debt is £3000.00 you need to repay £1500 AT LEAST before either of you can get any further loans.

  • sarah

    June 8, 2012 at 2:11 pm Reply edit

    i work part time and get working tax credit my partner recieves child tax credits, we have 4 children under 7. we get housing beneifit too, we have applied for a budget loan. do you think we will be successful or not?

  • Social Fund

    June 11, 2012 at 5:54 pm Reply edit

    It does not should likely as you have to be on a specific benefit, and it sounds like you are not on the right ones..

  • sarah

    June 14, 2012 at 10:15 am Reply edit

    is there anything else we could apply for?

  • lucy kaye

    June 8, 2012 at 9:57 am Reply edit

    i sent my acceptance slip off on the 24th of may, on wed i phoned to see what was happening and they said i hadent sent all the papers they needed, so sent those the same day, when can i expect my money

  • lucy kaye

    June 8, 2012 at 10:07 am Reply edit

    can i just add i sent the papers off by first class post

  • Social Fund

    June 11, 2012 at 5:55 pm Reply edit

    I would expect payment this week

  • Jodie

    June 7, 2012 at 7:27 pm Reply edit

    Hiya, i sent off my acceptance form on the 30th may 2012, but have heard nothing back of yet.. how much longer till it goes into my bank? thanks :)

  • Social Fund

    June 11, 2012 at 5:57 pm Reply edit

    Have you got it yet?

  • craig rush

    June 7, 2012 at 2:58 pm Reply edit

    this page does not give you an alternative to making a phone call to enquire about how your budgetting loan,if they recieved it and how long they would have to wait,most people cant afford the price of a phone call especially when in most cases your put on hold perhaps you could have an email adress sp people can email their enquiries thankyou

  • laura

    June 3, 2012 at 10:56 pm Reply edit

    hey… myself and husband have 3 young children under the age of 5 and and need a new wardrope!…. we got a loan
    of 800 like well over a year ago…. and have paid loads back… to that think we are paying 2.50 aweek now i applyed for another loan a week ago whats our chances of geting it also how long will it take to hear back from it xx

  • Social Fund

    June 4, 2012 at 5:24 pm Reply edit

    You should have a good chance at getting a loan as long as you didnt apply for the same things as last time..

  • Siobhan

    May 25, 2012 at 11:22 am Reply edit

    Hi I sent back my acceptance form but first class post on Wednesday can you tell me roughly when to expect payment? Or when’s best to phone and see if they have it etc?

    Thank you for any help
    Siobhan

  • Social Fund

    June 4, 2012 at 5:54 pm Reply edit

    If its not in your bank on wednesday, give them a call.

  • jamie lund

    May 17, 2012 at 2:09 pm Reply edit

    i apply for a budgeting loan and they are saying i have not been claiming for over 26weeks which i have

  • Social Fund

    June 4, 2012 at 6:01 pm Reply edit

    Then you need to appeal, and send them proof that you have been on INCOME BASED benefits for 26 weeks ( JSA Contribution based does not count..)

  • emma

    May 17, 2012 at 12:52 pm Reply edit

    The social have told me that my payment was issued yesterday the 16th may 2012. Does anyone know how many days it takes for payment to be in my account please

  • Social Fund

    June 4, 2012 at 5:59 pm Reply edit

    3 working days ( saturday is a working day according to Natwest.)

  • MR STEVEN CASSIDY

    May 15, 2012 at 1:01 pm Reply edit

    HOW LONG DOES IT TAKE TO HEAR ABOUT YOUR APPLICATION HAVE BEEN WAITING 2 WEEKS NOW AND HEARD NOTHING.

  • Social Fund

    May 16, 2012 at 8:57 am Reply edit

    I would suggest that you give them a call to verify that they have received your application.

  • ryan

    May 8, 2012 at 1:08 pm Reply edit

    I already asked if I could apply to get my fines and my rent arrears taken off of my benifit but they said no !!

  • Natasha

    May 2, 2012 at 7:42 pm Reply edit

    hey i was just wondering if i would be entitled to a budgeting loan, i have been on income support for more than 2 years now and just had a baby now 5 months old, i live in a 2 bedroom flat above a shop and not alowed 2 leave the pram downstairs so it usualy means havin 2 carry it down a big flight of stairs and iv nearly fallen quite a few times so decided to look for a ground floor flat or house 2 live in but need money for deposit and 1st months rent in advance until i set up my housing benefit for new place, wud i be eligible for that?

  • Social Fund

    May 4, 2012 at 6:08 pm Reply edit

    Natasha,

    YOu could apply for a rent in advance crisis loan- but this will only cover the 1st months rent- you will need to find the bond elsewhere ( try your local council as they sometimes give paper bonds..)

  • james

    May 1, 2012 at 4:41 pm Reply edit

    hi i sent off my acceptes letter for my loan last week how looking should this payment take to be in my bank and if poss is there a number i can call to find out for social funds in glasgow

  • Social Fund

    May 4, 2012 at 6:02 pm Reply edit

    The best bet is to ring the free number and ask that they put you through- otherwise Glasgow is an 0845 number with a 25 min wait!

  • Daniel

    April 29, 2012 at 11:20 pm Reply edit

    hi social , my partner has been accepted for a budget loan – i have a very simple question – it has been 3 weeks and she recieved the aceptance letter saturday – now is it possible for her to take it to the local jobcentre and request for it to be faxed across ?? as we have a baby boy and struggling to clothe and nappy him :/ . please please please reply asap social .

  • Social Fund

    May 4, 2012 at 5:58 pm Reply edit

    it is possible for the letter to be faxed, once it is faxed give them a call and tell them that its been sent so they can grab it right away.

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