DWP outlines budgeting support for universal credit claimants

[Kati]

http://www.24dash.com/news/housing/2...edit-claimants

"The Department for Work and Pensions issued a general reminder that it has joined forces with the Money Advice Service and local authorities to provide free impartial budgeting support to all those who need it."

[Johnboy007]

Re: DWP outlines budgeting support for universal credit claimants

http://www.24dash.com/news/housing/2...edit-claimants

"The Department for Work and Pensions issued a general reminder that it has joined forces with the Money Advice Service and local authorities to provide free impartial budgeting support to all those who need it."

Anything that helps stop people getting into serious debt must be a good thing.....
But in this case, only time will tell.

[Kati]

Re: DWP outlines budgeting support for universal credit claimants

might be a case of too little too late
a 5wk wait for benefits at the beginning is going to do more harm than good.for many people

[PAWS]

Re: DWP outlines budgeting support for universal credit claimants

5wk wait for benefits at the beginning is going to do more harm than good.for many people

[
]Totally agree Kati. As we said in another post 0+0=0.Another thing that annoys me is the fact that many keep coming back to the notion that if people are in debt it must be because they cannot budget. Yes, there are those who fall into financial difficulty because they cannot budget, don’t shop around etc. but most of the histories I have come across show that a debt crisis has occurred after an unavoidable drop in income, expenditure on an urgent repair (in one situation a funeral). Having to manage on a very low income quickly focuses the mind and you learn how to budget quite quickly outof necessity!
When utility companies install coin meters the struggling consumer ends up paying more for their energy. It is also true that having no access to affordable credit for essential emergencies adds to the whole mess.

[Kati]

Re: DWP outlines budgeting support for universal credit claimants

Another thing that annoys me is the fact that many keep coming back to the notion that if people are in debt it must be because they cannot budget. Yes, there are those who fall into financial difficulty because they cannot budget, don’t shop around etc. but most of the histories I have come across show that a debt crisis has occurred after an unavoidable drop in income, expenditure on an urgent repair (in one situation a funeral).

This is the bit that bothers me as well - too many are being tarred with the same brush in my opinion .

[PAWS]

Re: DWP outlines budgeting support for universal credit claimants

It is a combination of the one dimensional treatment of all people in debt and the fact that people on lower incomes end up paying more for basics such as utilities. Quite often those with more spare cash can take advantage of offers that in the long run save money; two for one, paying by DD in advance that sort of thing. They can also get cheaper deals on insurance, car loans etc. A person who has even one default will not get a current account that pays interest and will never be able to take advantage of 0% finance or credit cards. Low income families often have to get Christmas presents and what I would call essential non basics from catalogues and wind up paying more simply because they do not have the cash to shop around.
These are unfair disadvantages faced by the people living on a knife edge. One small fluctuation and they are in trouble. Living hand to mouth costs you more and has little to do with budgeting. It is easy to say don’t buy from catalogues or borrow for Christmas. But if you have children it is not easy to tell them they will get nothing at Christmas or cannot have new school uniforms, shoes or sports kits.

[PAWS]

Re: DWP outlines budgeting support for universal credit claimants

Sunday Independent Business News.
Martin Wheatley, the chief executive of the Financial Conduct Authority, said in response: “Very often the people who are going to payday loans companies are the most vulnerable and not financially the most literate

Well Mr Wheatley - see how whizzy you are managing a negative budget through no fault of your own. I find the people on this website, writing posts in the middle of the night, having had no sleep for days, under incredible strain seem very financially literate indeed.