Rate of benefit changes

When a client's rate of benefit changes, it may mean that they are now receiving insufficient benefit to meet the deductions from their benefit. For example, where an increase in the client's income reduces their rate of benefit.

Where the rate of benefit changes and the changes and the change is not temporary, you will need to negotiate a new rate and possibly method of debt repayment with the client. For example, the client may need to consider making automatic payments from bank account, rather than having repayments deducted from their benefit.

The rate of repayment needs to be realistic, taking into account the client's circumstances. When setting the rate of repayment, you need to consider the following factors (where relevant):

• the circumstances of the client and their dependents
• the ability of the client to meet their needs and the needs of their dependents
• the amount of the debt - we want clients to pay off their debts as fast as they can, but need to always bear in mind the circumstances of the client and their ability to repay without placing them in undue hardship. If the debt is large you should consider a higher repayment rate if the client can afford it
• the effect the rate of recovery will have on the client's ability to support themselves
• whether the rate of recovery would cause undue hardship to the client or their dependents
• the effect the rate of recovery would have on the client's ability to fulfil their work and social obligations - eg ensuring their child is enrolled with a General Practitioner or enrolled with a medical practice that is part of a Primary Health Organisation if required to do so

If the client does not agree with the rate of repayment you must record why you decided to set it at that rate.

When setting repayment rates make sure you give priority to recovery of Advance Payment of Benefits and recoverable assistance to maximise the client's access to further Advance Payment of Benefits and recoverable assistance.

Note you will need to record details of the arrangement in SDPAA screen and client event note - this is important for anyone else looking at the client's record. Create a bring-up in the BRUPA screen to check that repayments have commenced.

For more information see:

• Using benefit arrears to recover debt
• Debt treatment Repayment options available to clients [no link find out why]
• Jobseeker Support Priority for deductions