What Is A Crisis Loan
Interest free loans which are intended to help with their immediate short-term needs in a crisis. You do not need to be in receipt of a benefit to qualify. However Social Fund will look at any other means available to the you to alleviate the crisis. You must be able to repay the loan, likely to have the means to repay.
The loan needs to be to meet expenses in an emergency or as the consequence of a disaster. It must be the only means by which serious damage or serious risk to someone’s (or their family’s) health or safety may be prevented.
It has to be to meet expenses IN an emergency not BECAUSE of an emergency.
The emergency must be present when the award is considered for this qualifying condition to be met.
There needs to be a risk to health and safety due to the emergency/disaster and the item claiming for needs to be directly related to meeting the expenses of preventing the risk i.e. item needs to relieve the risk to health and safety.
The maximum amount on a CL is £1000 minus any outstanding social fund debts
repayable by the applicant and his/her partner.
What Can I Apply For?
Apart from expenses that are specifically excluded (contact CLASP for details) awards may be made for
- Living expenses, such as food, for a specific period of time.
- A specific item or service including rent in advance where this is necessary to prevent serious damage or risk to health or safety.
Who Can Apply
Although you do not need to be on a benefit to apply for a crisis loan, you will need to meet certain conditions.
You have to be 16 years or over at the date when the application is determined.
Have to be without sufficient resources to meet the immediate short term needs of you or your family or both.
Meeting the conditions for social fund payments entitles you to claim. It does not guarantee payment.
For more details of explanation of terms please visit the CLASP office or visit www.dwp.gov.uk or www.cpag.org.uk or www.irs-review.org.uk
