Money expert and presenter Martin Lewis has urged people on certain benefits to look into a bonus scheme offered by the DWP. The Money Saving Expert is encouraging people claiming Universal Credit or Tax Credits to get the "unbeatable" bonus.
It comes after Bryan Nisbet offered his thanks to Martin Lewis for sharing the "great advice" which he was able to benefit from. Bryan and his wife have received a £1,200 payment after looking into the Government's Help to Save scheme.
The Daily Record reports that Bryan shared his good news on Twitter. Bryan tweeted: “@MartinSLewis thank you very much for your information regarding the Government’s ‘help to save account’. I claimed UC for my wife and me and took your advice to open account in June 2020, £50 each pm gives us a free £1200 bonus next week plus our £2400 savings, great advice”.
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The financial guru shared the post with his 1.5 million followers and wrote: “Are you, or someone you know on Universal Credits or other benefits? Do look at Help To Save. You can put up to £50/mth in, then after 2yrs get a 50% bonus on the most you had in there (even if you've taken it all out). Unbeatable!”
The latest statistics from the Department for Work and Pensions (DWP) show in January 2022 there were 5.6 million people across the UK receiving financial support through Universal Credit, a benefit intended to help those out of work or on a low income with daily living costs.
However, many new and existing benefit claimants may not be aware that they could also be eligible for a £1,200 bonus through the Help to Save scheme, which continues even if you stop claiming benefits or Tax Credits.
The savings scheme offers people the opportunity to earn a maximum bonus of £1,200 over a four-year period, but how much you get back depends entirely on how much you put in each year as the 50% bonus is based on your highest total savings amount.
Below is everything you need to know about the scheme, but it’s also worth noting that you can open an account now without making a deposit.
What is Help to Save?
The Help to Save account is a scheme which millions of people on a low income, or claiming certain benefits, could be eligible to join.
It is a state-operated scheme that allows people entitled to Working Tax Credits or receiving Universal Credit to get a bonus of 50p for every £1 they save over a period of up to four years.
It is also possible to take the money out from the account, but there’s a catch - the bonus payout is based on the highest amount of money you put in.
Even if you’re not able to set aside money for savings at the moment, open an account anyway, while you are eligible to do so, because you don't have to put any money in.
How the Help to Save scheme works
The scheme allows certain people entitled to Working Tax Credit or receiving Universal Credit to get a bonus of 50p for every £1 they save over four years.
Help to Save is backed by the UK Government so all savings in the scheme are secure.
How payments work
You can save between £1 and £50 each calendar month - you don’t have to pay in every month.
Payments can be made by debit card, standing order or bank transfer.
You can pay in as many times as you like, but the most you can pay in each calendar month is £50.
You can only withdraw money from your Help to Save account to your bank account.
How bonuses work
You get bonuses at the end of the second and fourth years - these are based on how much you have saved.
What happens after four years?
Your Help to Save account will close four years after you open it. You will not be able to reopen it or open another Help to Save account.
You can close your account at any time. If you close your account early you will miss your next bonus and you will not be able to open another one.
Eligibility
You can open a Help to Save account if you are:
Receiving Working Tax Credit
Entitled to Working Tax Credit and receiving Child Tax Credit
Claiming Universal Credit and your household earned £604.56 or more from paid work in your last monthly assessment period
Getting payments as a couple. You and your partner can apply for your own Help to Save accounts - you need to apply separately
You also need to be living in the UK.
