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Islington & Shoreditch Housing Association (ISHA)
102 Blackstock Road
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0300 131 7300

0300 131 7300

News

Universal Credit Fraud Warning

Be aware that fraudsters are at work, offering to help people claiming benefits to obtain government grants or payday loans. This can have serious financial costs to claimants, so if you’re claiming benefits please beware.

This is how the scam works:

  • The fraudster contacts you and says they can get you a government grant or a payday loan. They can also place adverts offering access to cheap loans.
  • They ask you to give them your personal details and use those to make a Universal Credit application on your behalf, without telling you they’re doing that
  • The Department for Work and Pensions (DWP) approves the claim and transfers the money into your bank account.
  • The fraudster demands a "fee" for their services and takes a large chunk of the cash, then disappears.
  • Because the money is a loan, you are then left owing the entire amount to the DWP.
  • And because they’ve applied for Universal Credit on your behalf, other benefits you were receiving may be stopped, leaving you even more out of pocket

The Government’s advice is to listen to your instincts:

  • If someone offers you a low-cost loan from the government, they may be trying to steal your identity.
  • Treat your personal information for benefits in the same way you would for your bank.
  • And if you think you've been targeted, you can contact Action Fraud on 0300 123 2040 or the National Benefit Fraud Hotline on 0800 854 440. Both are free and confidential.

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