NAWRA members have reported via the rightsnet discussion forum that clients have been
contacted by a loan company offering a ‘government grant’.
The loan company then takes information sufficient to verify ID and submit a universal credit claim without the client’s knowledge, arranges an advance and then keeps a substantial amount of it for themselves. The first the client knows is their legacy benefits have stopped, and they find they are now a universal credit claimant with a large advance to repay that they did not receive.
NAWRA has written to Secretary of State for Work and Pensions, Amber Rudd with our recommendations to prevent this fraudulent activity.