DWP Offering Interest-Free Loans of Up to £812 — Here’s How to Apply

• Loans available up to £812 for eligible low-income households
• Only pay back what you borrow, with a two-year repayment period
• Must be on certain benefits for at least six months to qualify

The Department for Work and Pensions (DWP) is offering various different interest-free loans of up to £812 to help struggling households cover essential costs. These budgeting loans can be used for various needs, including rent, furniture, and even funeral expenses. The best part? There’s no interest, meaning you only pay back the exact amount you borrowed, and you should have up to two years to pay it back.

To be eligible, you must have been receiving Income Support, income-based Jobseeker’s Allowance, income-related Employment and Support Allowance, or Pension Credit for at least the past six months. However, those currently on Universal Credit or New Style Jobseeker’s Allowance are not eligible. You're also not eligible if you're currently involved in industrial action, or owe more than £1,500 in crisis or budgeting loans.

How Much Can You Borrow?

£348 if you’re single

£464 if you have a partner

£812 if you or your partner claim Child Benefit

The amount you can get depends on your ability to repay, any existing loans, and whether you have more than £1,000 in savings (£2,000 if aged 63 or over).

How to Apply

You can apply for a budgeting loan online through the DWP website or by using a paper form. Once approved, you’ll receive an email, text, or letter outlining the loan amount and repayment details.