Tag: Post Office card accounts

Post Office card accounts: switch now, says HMRC

HM Revenue and Customs (HMRC) is warning Post Office card account holders, who receive HMRC-related payments, that time is running out – with just two weeks left to switch their accounts.

About 6,800 Post Office card account customers, who receive tax credits, Child Benefit or Guardian’s Allowance payments, need to transfer their account by 5 April 2022 to continue receiving their money without interruption.

HMRC is stopping making payments to Post Office card accounts from 6 April. Customers, who have not done so already, must notify HMRC of an alternative account to have their payments paid into. It will not be possible to pay tax credits or Child Benefit until a valid account is provided.

These could be vital funds for families and individuals, due to the rise in the cost of living, and HMRC wants to make sure no-one loses out.

Myrtle Lloyd, HMRC’s Director General for Customer Services said: “Time is running out and we want to make sure that no customer misses out on the benefit payments they are entitled to. If you still need to switch your Post Office card account, contact HMRC to update your bank account details.”

HMRC has been writing to affected customers since October 2019 to notify them that their Post Office card accounts will be closing and urging them to take action. More than 143,000 customers have already switched their accounts and provided HMRC with updated details.

Customers can choose to receive their benefit payments to a bank, building society or credit union account. If they already have an alternative account, they can contact HMRC now to update their details.

Child Benefit and Guardian’s Allowance customers can use their Personal Tax Account to provide revised account details, change their bank account details via GOV.UK or by contacting the Child Benefit helpline on 0300 200 3100.

Tax credits customers can change their bank account details by contacting the tax credits helpline on 0345 300 3900. If customers cannot open a bank account, they should contact HMRC.

If a customer misses the 5 April deadline, their payments will be paused until the customer notifies HMRC of their new account details.

The Money Helper website, provided by the Money Advice and Pensions Service, offers information and advice about how to choose the right current account and how to open an account.

HMRC reminder: Deadline looms for parents to update Child Benefit for 16 year olds

HM Revenue and Customs (HMRC) is reminding parents and carers they have until 31 August 2021 to confirm whether their teenagers are staying in full-time education or training beyond 16.

Last week, teenagers across the UK received their GSCE or Scottish National Certificate results and many are now considering their future. If they decide to continue their full-time education or training, parents or carers will be eligible to continue receiving Child Benefit payments for their child.

HMRC has sent reminder letters to families receiving Child Benefit for their child in the last year of school or home education. If their child is staying in education beyond age 16, parents or carers must notify HMRC by the end of August, or their Child Benefit will be stopped.

It is quick and easy to update Child Benefit records via GOV.UK. Alternatively, parents or carers can return the 297b form sent to them by HMRC.

Child Benefit is paid to eligible parents or carers who are responsible for a child under 16, or under 20 if they are in full-time non-advanced education or approved training.

Parents or carers receiving Child Benefit and who also have an income over £50,000 (or their partner does), may have to pay the High Income Child Benefit Charge via an annual Self Assessment tax return. 

Post Office card accounts are closing. From 30 November 2021, HMRC will stop making payments of Child Benefit, Guardians Allowance and tax credits, into Post Office card accounts. HMRC is reminding any Child Benefit and tax credits customers who use this account to receive their payments, that they will need to notify HMRC of their new bank, building society or credit union account details.

HMRC is encouraging customers to act now so they do not miss any payments once their Post Office account closes. They can contact HMRC’s helpline (0345 300 3900) or use their Personal Tax Account.

To find out how to open a bank account, visit Citizens Advice.