Can I claim for help paying my mortgage?
Your Universal Credit (UC) claim can include a claim for help paying your housing costs, including mortgage interest payments.
These payments are known as Support for Mortgage Interest payments (SMI).
How much help will I get towards my mortgage payments?
UC can help you pay the interest on your mortgage. It cannot help you pay anything towards the capital sum of your mortgage.
You can usually claim help with interest payments on loans up to £200,000.
The amount you get is based on a set rate of interest on what’s left of your mortgage. The rate is set at the Bank of England’s average mortgage rate – currently 2.61%. Check Gov.uk for any changes in this rate.
Do I qualify for help towards my mortgage payments?
UC housing costs payments are only available for UC claimants who are not doing any paid work.
You will have to wait until your 10th UC payment (39 weeks from the date you claim) before any housing costs payments are made. This is known as the ‘qualifying period’.
How are the payments made to my mortgage?
Payments are paid straight to your lender.
The payments are paid as a loan. This means that you have to pay them back, with interest, when you sell or transfer ownership of your home. The current rate of interest added to the loan is 1.5% but this may go up or down.