Benefit claimants are being urged to check if they are due money from the Department for Work and Pensions. A specific code from the DWP on your bank statements could mean you're due a refund.
If the DWP issues a refund, it typically shows up on a bank statement with the sum followed by 'DWP RFD'. There are several reasons why you might receive a refund from the DWP, including instances where you've been underpaid.
Underpayments can occur for various reasons, resulting in you not receiving the full amount of benefits you're entitled to. Additionally, some people may be due a refund if they've previously received a hardship payment. Hardship payments are generally awarded when you have been sanctioned - meaning your benefit payments have been cut - and you are finding it tough to meet basic needs. These payments are essentially loans that must eventually be repaid.
However, some people who received a hardship payment between January 1, 2014, and January 11, 2021, might be eligible for a refund if they requested a reassessment of their payments from the DWP and were either turned down or overlooked. Bear in mind, you will need to demonstrate to the DWP that you were unable to repay the hardship payment or that it significantly affected the health or wellbeing of you or your family, reports the Mirror.
Supporting evidence for this claim could include bank statements, doctor's notes, living costs and income during the period you received the hardship payment. If you think you're due a refund, make sure to submit your application form by May 4, 2025. The DWP will contact you within six weeks of getting your application to confirm its receipt, followed by an up to 13-week wait for a decision.
Hardship payments are typically around 60 per cent of the amount you were penalised by the DWP in the preceding month.
More details about hardship payments are available on this Government website. It explains the eligibility criteria and how much money you could get.
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