‘Please change your payment account’ letter - DWP

[Kati]

From RIGHTSNET.

It looks like the DWP are writing to people who use a Post Office account to receive their benefits demanding they change to a 'normal' bank account. According to the letter (attached) more than 8 out of 10 people have their benefits paid into a bank, building society or Credit Union account.

Re: ‘Please change your payment account’ letter - DWP

You are completely right ... the DWP have said that they are going to still pay into PO accounts until 2021 at the very least!

see ~ http://revenuebenefits.org.uk/blog/p...t-poca-holders
and ~ https://www.whatdotheyknow.com/reque...over_from_post

This topic was bought up earlier in the year, it seems that the DWP are still tying to move perhaps on cost grounds to bank accounts rather than post office

http://legalbeagles.info/forums/show...2&goto=newpost

[Kati]

Re: ‘Please change your payment account’ letter - DWP

My mother - who receives her state pension into a PO card account - received one of these letter this morning. Just to be clear, she is neither required to contact the DWP with the number included on the letter, contact them with the enclosed form or to change her account in any way, right?

I'm only asking because this letter has made her extremely anxious.

You are completely right ... the DWP have said that they are going to still pay into PO accounts until 2021 at the very least!

see ~ http://revenuebenefits.org.uk/blog/p...t-poca-holders
and ~ https://www.whatdotheyknow.com/reque...over_from_post

[SM78]

Re: ‘Please change your payment account’ letter - DWP

My mother - who receives her state pension into a PO card account - received one of these letter this morning. Just to be clear, she is neither required to contact the DWP with the number included on the letter, contact them with the enclosed form or to change her account in any way, right?

I'm only asking because this letter has made her extremely anxious.

[Kati]

Re: ‘Please change your payment account’ letter - DWP

I'll be more behind the policy of moving people to bank accounts. Possibly.

I'll NEVER be behind it ... an option for a DD/SO (that you can't get with a PO account) means that more people are gonna get in debt

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no surprise £2k bills just cause some twerp typed a meter reading in the wrong box

we're on PP meters too ... I send a quarterly reading to SSE (emailed with a pic of the correct screen) just to prove we're on the "up&up"

[Amethyst]

Re: ‘Please change your payment account’ letter - DWP

Once more basic accounts follow Lloyds and remove returned DD/SO charges, and have an opt IN system to allow unauthorised overdrafts ( preferably just not allow them unless actually applied for ) then I'll be more behind the policy of moving people to bank accounts. Possibly.

My PO money is completely safe ( barring being mugged ) No one can use a dodgily set up continuous payment authority, claim the wrong amount by DD, take banking charges, con me into making a bank transfer... and so on and so forth.

I chose that peace of mind over not being able to get £5 off my Gas bill cause I don't pay by DD ( for example ). ( actually I'm still on a prepay meter just because I prefer it that way - no surprise £2k bills just cause some twerp typed a meter reading in the wrong box )

[Wylderose]

Re: ‘Please change your payment account’ letter - DWP

My answer above came directly from what the DWP told us in a Local Authority briefing on Universal Credit

This however is an answer to a FOI request on this subject. https://www.whatdotheyknow.com/reque...02102.pdf.html

If you still wish to use the POffice then that is up to you. No-one would force you to change, You do after all have freedom of choice.

[Amethyst]

Re: ‘Please change your payment account’ letter - DWP

Just rang them, they're so nice ( well the guy I spoke to was) I'm fine to keep it till CB ends (when youngest is 18) and yes it is cause the contract with the PO is running out (but not till after my last CB payment will be made) so all cool, they just wanted to check I'd close it once that ended... which I will unless any circs change. Presumably ( I haven't checked) the PO charge the gov a fee for having the account in existence as well as them having the higher transaction charges hence wanting the account closed down as well as the payments moved over.

[Kati]

Re: ‘Please change your payment account’ letter - DWP

Funnily enough, post just arrived and another letter ....

that means I'll be getting another one soon

[Amethyst]

Re: ‘Please change your payment account’ letter - DWP

Funnily enough, post just arrived and another letter ....

[Amethyst]

Re: ‘Please change your payment account’ letter - DWP

It is the way they word the letters that bugs me. It's misleading. Just leaves a bad taste. If they'd just be honest it would be much better and I'd be more inclined to comply with their demands. maybe.

As soon as you have your monies paid into a bank you are losing control. The post office account has money go in, it can only be touched by you and removed in cash ( and the Post Office have cash points - there was talk of them expanding access to other ATM's as well but think that died a death in favour of forcing people into the clutches of banks )

It is improving with banks ( just! ) and Lloyds removing completely the returned direct debit charges ( from Nov 2nd) is a game changer IMO, so long as they retain the ability to opt out of allowing any unauthorised overdraft.

Im still keeping my PO account until the kids stop getting Child Benefit - the last one will stop getting it in 2020.

[Chelin]

Re: ‘Please change your payment account’ letter - DWP

Changing Benefits payments from PO accounts to Bank accounts was part of the roll out preparation for Universal Credit. It was also intended to try to reduce some of the social exclusion for people who only have PO accounts.

For example: When someone pays bills by direct debit, they often get a better deal from their supplier (energy suppliers, tv etc). This option is not available for those who only have PO accounts.

It was also part of the preparation for those who would not be able to get Universal credit. If they rent from a private landlord, in most cases they will not be able to get their benefits paid to the Landlord any more and where this is the case (our council - not sure about others) will not pay HBenefit into Post Office accounts. It has to go to a bank account.

The other thing was to force banks to stop discriminating against people on low income and on benefits, in that agreements are in place for banks to offer basic accounts with direct debit and standing order facilities.

If the above were the reason,then they wouldn't phrase in such a way that it gives the impression that you have no option but to change to a bank or building society account!Don't be duped,only change if that is what you want to do,for many a Post Office Account is more suitable,&isn't reduced to an"online service only",as is increasingly the case with the diminishing high street banks.DO NOT BE DUPED,IT IS YOUR CHOICE.

[Wylderose]

Re: ‘Please change your payment account’ letter - DWP

Changing Benefits payments from PO accounts to Bank accounts was part of the roll out preparation for Universal Credit. It was also intended to try to reduce some of the social exclusion for people who only have PO accounts.

For example: When someone pays bills by direct debit, they often get a better deal from their supplier (energy suppliers, tv etc). This option is not available for those who only have PO accounts.

It was also part of the preparation for those who would not be able to get Universal credit. If they rent from a private landlord, in most cases they will not be able to get their benefits paid to the Landlord any more and where this is the case (our council - not sure about others) will not pay HBenefit into Post Office accounts. It has to go to a bank account.

The other thing was to force banks to stop discriminating against people on low income and on benefits, in that agreements are in place for banks to offer basic accounts with direct debit and standing order facilities.

[Chelin]

Re: ‘Please change your payment account’ letter - DWP

Your money will continue to be paid into your Post Office Account,they cannot change that,any further letters can be destroyed without responding,&this is what I&others do.Don't worry about it,it's entirely your decision,it's just a shame that they waste so much of our money on postage trying to get us to switch.This government is about boosting the private sector,&many members of the government have more than just their MP income,so it is in their interest to do this,but not ours!Open your eyes to what is happening&don't trust them.

If you have,or think that you may have further problems,then join the union"Unite",they can give you good advice,also training,&it only costs fifty pence a week if you're unemployed.

[Chelin]

Re: ‘Please change your payment account’ letter - DWP

But will they take any notice?

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have they ever? if not why now?

Your money will continue to be paid into your Post Office Account,they cannot change that,any further letters can be destroyed without responding,&this is what I&others do.Don't worry about it,it's entirely your decision,it's just a shame that they waste so much of our money on postage trying to get us to switch.This government is about boosting the private sector,&many members of the government have more than just their MP income,so it is in their interest to do this,but not ours!Open your eyes to what is happening&don't trust them.