Rent in advance

This content applies to England only.

Housing laws vary between England and Scotland. This page applies to England only. Get advice relating to Scotland

If you can't afford to pay rent in advance there are two types of loan that you may be able to get from the social fund - budgeting loans and crisis loans. If you get one (which isn't guaranteed) you will have to pay it back.

When should I pay rent in advance?

Most landlords ask for the first period's rent to be paid before you move in. Always ask the landlord (or agency) for a receipt to show the amount you have paid and check when the next rent payment is due.

What if I'm claiming housing benefit?

If you are claiming housing benefit (or local housing allowance), it will be paid four weeks in arrears. This means that you will be behind with your rent from the start, unless you can raise the money yourself to pay the rent until your housing benefit comes through. There may also be a delay while your claim is assessed.

If you have made a new claim and you have given the council all the information it needs you can ask for a payment on account after 14 days. This is likely to be less than the rent you owe but your landlord may be more likely to wait if s/he can see that you are doing everything you can to get the claim processed quickly.

Sometimes landlords are willing to wait but if not you will need to find the money elsewhere. If you are on benefits and you can't afford to pay rent in advance you could apply for a crisis loan or budgeting loan from the social fund (see below). Whether you can get one or not will depend on your circumstances.

Who can get a budgeting loan?

To get a budgeting loan, either you or your spouse/partner must have been on income support or income-based jobseeker's allowance for at least 26 weeks.

Your chances of getting a loan and how much you might get will depend on how long you have been on benefits and your personal circumstances.

Who can get a crisis loan?

You may be able to get a crisis loan if you need money because of an emergency or disaster (for example, if there has been a fire in your home). You don't have to be claiming benefits to apply but you will have to be able to pay the loan back. Crisis loans are meant to cover essential things that you need to protect the health and safety of your household, which includes rent in advance. You have to be at least 16 years old to apply.

How can I increase my chances of getting a loan?

There is a limited amount of money available for loans, so it isn't easy to get one. Get advice if you need a loan to pay rent in advance. An adviser may be able to:

• help you convince the Benefits Agency or Jobcentre Plus that you should be a priority (the rules about who gets priority are very complicated)
• check whether you qualify for a community care grant instead (if so, you would not have to pay this back)
• explain the forms and help you work out how much you need to ask for
• help you to appeal if the council says it can't help you.

The advice services directory can help you find an advice centre in your area.

How much can I borrow?

This will depend on your circumstances. If you have more than £500 in savings (or £1,000 if you or your partner is over the age of 60), the amount you get will be reduced. If you have already borrowed from the social fund and haven't paid back what you borrowed last time, it will affect what you can get now.

How do I apply?

Both crisis loans and budgeting loans are paid by the social fund. You can make an application at your local office of the Benefits Agency or Jobcentre Plus. Claim forms are also available online at the A to Z of Welfare Benefits.

The Benefits Agency/Jobcentre Plus cannot refuse to accept your application if you need help because of an emergency or disaster. They can't just tell you you're not eligible and turn you away without giving you an application form and/or interviewing you. If this happens, get advice immediately.

How is the loan paid back?

You will have to be able to pay back the loan within a maximum of 78 weeks from your regular income. If you are on benefits, a fixed amount will be taken out of your income support or jobseeker's allowance until the loan has been repaid. You won't get a loan at all if you will not be able to repay it.

What if my application is refused?

If your application for a crisis loan or a budgeting loan is refused, you can ask the Benefits Agency/Jobcentre Plus to review its decision. To do this, you must:

• apply in writing, within 28 days of the date the decision was given
• explain clearly the reasons why you think the decision was unfair.

If the Benefits Agency/Jobcentre Plus does not change its mind when it reviews the decision, you can then ask the Independent Review Service (IRS) to look at your application again. The IRS can change the decision if it was wrong.

If you are not happy with any decision made on your application and want to ask for a review, get advice immediately. It is usually difficult to get decisions about the social fund changed, but an adviser could help you improve your chances.