Universal Credit’s assessment period usually means people wait around five weeks to get their first ever benefit payment. Any subsequent increases, such as a change of circumstances making you eligible for more of the benefit, will also take around five weeks to hit accounts.
This is because the exact sum paid out each time is dependent on the four-week assessment period before it. Payments are usually made seven days after the end of this assessment period.
However, advance payments are available for people struggling to cope with the five-week gaps. These will need to be repaid, and the amount you can receive will depend on your own circumstances, but it can offer up to 100% of your estimated Universal Credit payment.
To be eligible for an advanced payment, you must either have been approved for Universal Credit but have not yet received your first payment. You must also be facing immediate financial hardship, for example, not being able to buy food or afford rent until the benefit payment arrives.
You could also be eligible for an advance if your circumstances have changed and you will receive more Universal Credit, but you have not been paid this increased amount yet.
If you are already receiving Universal Credit, you could still be eligible for an advance in emergency situations. For example, to pay for unexpected costs like buying a new cooker or paying for a funeral.
This is known as a budgeting advance and will also need to be repaid. The smallest amount you can borrow through this is £100, but you can get up to £812 in some circumstances.
You can be refused an advance for a number of reasons, including not having had an identity check at a Jobcentre, being deemed to have enough money to last until your next payment, or living with family. Advance decisions cannot be appealed, but applicants can ask for them to be reconsidered.
To apply for the normal advance payment, you’ll need to speak to your work coach, call the Universal Credit helpline or apply through your online account. You can only apply online if you are still in your first Universal Credit assessment period.
If you are part of a couple, and therefore have a joint claim, you’ll need to ensure that your partner has also agreed to apply for the advance. The advance will be repaid over time through deductions on your future benefit payments.
If you apply for the advance after April 2021, you will have 12 months to repay the advance if it was during your first assessment period. If you got an advance because of a change of circumstances, you’ll have six months to repay the full amount.
If you can’t afford the repayments, it can be delayed for three months on new claims and one month on change of circumstances claims but these deferrals are only allowed in exceptional circumstances. More information is available on the Gov.uk website.