The Care Act made it a legal requirement for deferred payment agreements to be made available.
A deferred payment is an agreement with the council that allows individuals, in certain circumstance, to use the value of their home to pay for some of their care costs, to be repaid at a later time.
Who can request a deferred payment?
You can make an application for a deferred payment agreement if you meet all three of the following:
- you have an eligible need
- you have less than £23,250 in assets excluding the value of your home (i.e. in savings and other non-housing assets); and
- your home is not disregarded from the financial assessment
Does the council have to agree to grant you a deferred payment?
No, the council may refuse a request for a deferred payment agreement, even if you meet the criteria where:
- the council is unable to secure a first charge on your property
- you are seeking a top up that is unsustainable and/or
- you do not agree to the terms and conditions of the deferred payment agreement