If you are unemployed and on benefits, you are basically locked out of using credit facilities such as guarantor loans and payday loans to meet your short-term financial needs. Luckily, there are Budgeting Loans that are tailored to help people like you. Administered by the Department of Work and Pensions, Budgeting Loans are short-term loans that attract no interest. You only repay what you received. The loans are meant to help you pay for unexpected or essential expenses such as clothes for job interviews, home repairs, and house furniture. The least amount you can borrow is £100 and the most are £812. Repayments, which are automatically deducted from your benefits payments, take at most 104 weeks from the time you receive the loan payment.
How long does it take to get a budget loan in 2019?
If you qualify for a Budgeting Loan (you are on Jobseeker’s Allowance, Pension Credit, Employment allowance, or Income support) you may consider taking the loan to finance various short-term needs. If your application is accepted and you are fine with the offer made to you, it will take approximately 20 working days for the offered amount to be paid to your bank account. It is important to note, however, that the period it takes for the applied amount to be made may take longer if there are issues with your application such as lack of signature and unfilled spaces. So the trick of getting your payment faster is to follow all the applications steps and provide all the requested information.
How to speed up a budgeting loan application process
• Get the budgeting loan application form from Jobseeker’s Plus Centre or download it online. For faster processing, fill the form online. Printed forms can take as many as 25 working days to process and are, therefore, discouraged if you want to get the loan quickly. You also have the option of requesting the form to be delivered to you. It takes around 5 working days to have the delivery done. If you are in a hurry, that is not an option that you should consider.
• Fill out all the spaces fully and clearly to prevent the form from being returned because of missing information or lack of clarity.
• Include reasonable prices of items to minimize time spent on checking them.
• Include your National Insurance number, signature, and date on the form.
• After confirming that all the requested information has been filled in, return the form as soon as possible.
After returning the application, it will be rated and an offer made to you. You can either decline or accept it. If you accept the offer, your reply will be processed and payment issued to your account within 12 working days of accepting the offer.
If you are short on cash and need to pay for unexpected expenses, you need a credit facility that is not only favorable to your financial situation but also pays quickly. Budgeting Loans meet both of these requirements. All you have to do is to fast track the application process by providing all the requested information on time.