HMRC have warned that 7,000 benefit claimants have just two weeks to update their details or risk having their payments frozen.
Claimants who have their money paid into a Post Office account will need to set up a new payment method as soon as possible. They have until April 5, 2022 to make the required changes, reported The Mirror.
HMRC has warned how your benefits could be temporarily held if you don’t update your payment account by this date. This includes benefits payments such as tax credits, Child Benefit or Guardian's Allowance. Around 6,800 people who receive HMRC benefits still need to close their Post Office card account by the deadline.
READ MORE: DWP: PIP payment dates to change for many next month
Myrtle Lloyd, HMRC director general for customer services said: “Time is running out and we want to make sure that no customer misses out on the benefit payments they are entitled to. If you still need to switch your Post Office card account, contact HMRC to update your bank account details.”
HMRC has been writing to affected customers since October 2019 to notify them that their Post Office card accounts will be closing and urging them to take action. More than 143,000 customers have already switched their accounts and provided HMRC with updated details. Customers can choose to receive their HMRC benefit payments to a bank, building society or credit union account.
Post Office card accounts are also closing for those who receive benefits from the Department for Work and Pensions (DWP) but those affected by this change have longer to redirect their payments. These people will need to have another payment method put in place to keep receiving Universal Credit, the state pension or other DWP benefits by November 30, 2022.
What do I need to do next?
If you already have another bank account set up, you can contact HMRC or the DWP to let them know your new details. Your benefit payments will then be sent to this account instead of your Post Office card account.
If you need to set up a new bank account, you should let HMRC or the DWP know your new details as soon as your new account is up and running. For those who claim benefits from the DWP and who don't want to open a bank account, you'll be able to use the Payment Exception Service.
The Payment Exception service allows those who don’t have a bank account to access benefit payments via the PayPoint network.You can withdraw your cash either by using a payment card, voucher by email, or text message containing a unique reference number. Either of these methods must be presented at a PayPoint outlet, which are in shops and newsagents, in order to access your benefits.
If you don't update the DWP with your new details by next November, you'll automatically be moved onto the Payment Exception Service. HMRC says it will suspend benefit payments if claimants don't provide new bank account details before the end of November. The date you're paid and how much you get will not change.
The Payment Exception Service is for DWP benefit claimants only and is not available to those who receive HMRC benefits.
How do I update my details?
You can update your Personal Tax Account or Child Benefit account online at Gov.uk or by calling 0300 200 3100.
Anyone getting tax credits can change their account details online via Gov.uk by calling the tax credits helpline on 0345 300 3900.
For DWP payments, you can call 0800 0857 133 to update your details.
For those with hearing difficulties, you can contact the DWP via the free-to-use service Typetalk on 0800 0857 146.
Alternatively, the DWP should have sent you a form in the post which you can fill out with your new account details and return.
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