Daventry Homeless Prevention Loan Scheme

The Daventry Homeless Prevention Scheme will provide an interest free loan to families on a low income that are in rent arrears as well as the currently homeless. The assistance is provided to the applicant along with a number of other council services, such as budgeting workshops and job training.

Since the money will need to be repaid, funds from DHPS will only be issued to people with a source of income that can afford the payments on the loan. This means that a homeless person seeking financial help for a rent deposit they owe needs to now have some form of income coming in. Maybe they do have a job but not the cash needed for the upfront moving costs, and this situation would be a good fit for the programme.

Tenants threatened with evictions can also apply for the Daventry Homeless Prevention Scheme for paying rent arrears. They also need to have wages from a job that can not only repay the principal on the interest free loan, but they also need to afford all of their future housing costs, including energy bills. DHPS is not a charity scheme and it is aimed at assisting tenants with a short term crisis. It can eliminate the need for some Northamptonshire families to turn to a payday lender for a source of funds.

Uses of loans from DHPS

The money will be used for paying housing expenses in the private rented sector. If someone is in social housing, or needs help in moving into one of these properties, the local authorities can help the person find solutions for those needs. This will mostly be in the form of form filling for benefits/LHA.

From time to time, a landlord has increased the tenant’s monthly rent so much that the renter can no longer afford it. They can be potential clients to the Daventry Homeless Prevention Loan Scheme. The council will allow the funds to be used to pay for rent in advance and/or deposit on new, more affordable private sector housing. They can also help the resident find a new flat or property in the Northamptonshire County area.

There are eligibility guidelines that need to be met by the applicant. The council will go over each of them when someone rings them for information, but the main criteria are below.

The applicant needs to be local to Daventry and over the age of 18. The family can have children and there is no discrimination based on age, race, or religion.

No interest loans are only provided to residents that do not have the cash or savings available to them, and they can’t raise it from friends or family. The person also needs to have sought financial help from charities first, as DHPS is a last resort.

A payment plan needs to agreed to, and the authorities will put this into a written agreement. The housing specialists at the council office will need proof of income as well as make enquiries to ensure the applicant can afford it. They will also need to pay future rental costs to the property owner on their own. If payments are missed, the authorities may proceed with a debt recovery plan.

People that receive support from this loan programme are also usually referred to other government sources of funds, such as local welfare that is run by the county. Residents of the area can apply for the Northamptonshire Emergency Help and Sustaining Independent Living Scheme, and this will offer items for their home, such as white goods or bedding. Many other forms of assistance can be provided, and locate additional sources of local welfare grants or loans.

For more information or to apply, The Daventry Council is at Lodge Road, Daventry, NN11 4FP. Or ring 01327 871100.