owed council tax - correct Calculation issue after move and benefit change

[Ftgab19]

Hi everyone 

 

Had a nightmare of a time with council tax since I moved to my new address. I wasn't working at my old address so with the discount and covid discount I only had to pay about £8 a month towards Council Tax.
 

This was back in Nov 2020 before I moved to my new address on the 26 Nov 2020. I updated them of my new address and benefit entitlement and left it to them.

 

About a month or two moving in I found a new job doing self employed work and updated universal credit thinking they’ll update the council. They didn’t and not only that I got a letter about a month after that saying I’m paying to little and need to pay more. The letters calculation didn’t show I or my partner living with me was on benefits and they wanted the full amount. 
 

after ringing them they said i hadn't told them about benefits in the address move form (I Did) and they’ll need to workout if I can get back pay and my new calculation. 
 

They wanted all the benefit statements so they could work out my new bill and told me to leave the payment. I’d still been only paying £8 a month at that point. I asked can I pay more since I know I need to now I’m working and I didn’t want to run up a big bill but they said not until they work out the new bill. 
 

I can’t remember exactly how long they took to get back to me with the new bill but by that time even with the new calculation the then it had got that big I wouldn’t be able to pay the amount they said I needed to. I explained this to them but they said they couldn’t do anything.
 

The same month I got the new bill my partner and I lost a big chuck of our benefits because her daughter moved back in with her dad and was no longer in our care. not only did we lose the child benefit but we got money taken off the housing payment for the extra room (bedroom tax I guess) 
 

I told the council of this and they said they needed to workout a new bill and for me to send the new statement. I had to wait another month until I got that and sent it them. 
 

That was on the 12 of July and I got a letter yesterday saying there taking me to court for the full amount. I rang up quite annoyed at that point and basically asked what they was playing at.

 

By the end of it they said they couldn’t stop the liability order which is probably great for my credit rating but set up a payment plan of £120 a month for 3 months which I’m still going to struggle with everything else going on. I said I’d probably be able to cover £90 to £100 max but they wasn’t having any of it.
 

And to top it off they still haven’t worked out my new calculation for the loss of the child benefit and housing saying it would still take a few weeks because there short staffed. But hopefully when it’s done they said it will take money off the full bill and with me paying the £120 a month it should stop the bill increasing. 

 

Do you think I could get the payment plan down? I had to agree on the phone to £120 but if I could maybe get it to £90 or £100 I should be able to cover that. I know it’s only £20/£30 but my budget is stretched thin at the min.  will the liability order affect my credit rating?
 

Thanks 

Andrew 

Edited August 27, 2021 by dx100uk
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[Bazooka Boo]

Have you spoken with your local councillors?

 

Are you recording these phone calls?

 

Keep everything in writing, collect names dates etc. of everyone you deal with.

 

In the back of my mind something is screaming out about these LO's and how the LA's throw them about like confetti claiming there's nothing they can do when there is lots they can do, BUT I may be wrong, it's been a while since I've been up against a LA...

 

As you are finding out, Council Tax is NOTHING to do with benefits, it's a completely different pot of money, PLUS CT is a ''priority debt'', so IMO I'd be looking at cutting bills in other areas before you try and shave off payments for CT.

Edited August 27, 2021 by Bazooka Boo

[dx100uk]

Ctax does not show on credit files

[Ftgab19]

I should start recording the calls I’ll start doing that and that’s the issue I don’t have anything else I can cut as I don’t want to mess my credit rating as I’m finally getting it back on track. Every other bill I have is in contract with a direct debit so I can’t cut it. And my food bill is already as low as I can get it with having my partner and one year old. 
 

Thanks 

Andrew 

[Bazooka Boo]

Direct debits can always be changed, companies do it daily.

 

As I say council tax is a priority debt, this comes at the very top of payments to be made to keep you out of jail.

 

Contact your local councillors, start looking at your income and expenditure and seeing where cuts can be made and what can be binned off replace them with standing order so you can control the amounts you pay each month.

 

Your credit file will be the last of your worries if you end up in court.

 

Keep everything in writing or documented, names, dates, timings.

[Ftgab19]

Well they’ve said no recovery will happen if I keep up with the £120 a month until December 15th.
 

By then they think my new calculation will be done and that will get the bill down and they will most likely be able to lower the £120 a month after that. Does the liability order matter if I keep up the payment plan since dx100uk said it doesn’t go on your credit report? Looking at my bills I could probably manage £120 until December but don’t think after so should I try and get them to lower it now or wait until then? 

[Bazooka Boo]

Have you completed your own Income & Expenditure form?

 

This will not only help you physically see what goes where, but it will greatly help you argue the case with the LA about reducing the amount you pay each month if you can show them that it will leave you with nothing.

 

Are you paying any other debts at all?