Deferred Payment Agreement

The agreement includes the maximum amount we pay for your care, as well as the interest rate and fees we charge. It will also contain certain conditions, such as. B how the property should be maintained. You can sell your home at any time and pay back the deferred payment contract. Or someone else, like a friend or relative, can pay the bill without having to sell your home. A late payment state is an agreement with the Council that allows people to use the value of their home as collateral for a Council loan to finance care costs. The conditions apply and the person must sign an agreement with the Council. A copy of the agreement is attached to the directive. Previous Section Cost of setting up a deferred payment Delayed Payment Fee Setting up a Deferred Payment It takes about 12 weeks to put in place a deferral contract. We generally review requests for a deferred payment contract if you have: You may be able to get a deferred payment contract though: See the following section refunding a deferred payment contract Repayment of a deferred payment contract The loan must be repaid, but people can delay repayment until they are ready to sell their home or until they die. We charge $500 to enter into a deferred payment agreement that includes the cost of the value of your property.

To cover our costs, we charge interest on the amount you owe us until the money is refunded. The interest rate is set by the government and revised every six months. From July 1 to December 31, 2016, the interest rate is 1.85%. Universal Deferred Payment Agreements (DPAs) were introduced by the government of the day in 2015 as part of its obligation to ensure that “people are not forced to sell their homes in their lifetime to pay retirement home bills.” This government is sticking to that policy. Regulation 2, paragraph 1, of the Dpa Regulation defines the circumstances under which local authorities must accept a Dpa with a person (the criteria for a mandatory Dpa). Under the original legislation, this meant that local authorities would meet or meet the needs of that person, or that they thought they would meet their needs when asked. It usually takes less than 6 months to set up a late payment. This may take longer if you need: a deferred payment contract allows you to use the value of your home to pay for care in a foster home or an additional foster home.

Complete the payment deadline application form (Word, 26KB). There are fees and fees associated with deferred payment agreements. There is an installation fee of $500, with a fee of $100 per year. The interest rate is 1.45% This is checked every six months. Payment deferral (pdf, 264 KB) (opens a new window) You can have a payment contract for the duration of your stay in a retirement home and refund it from the sale of your home after your death. If your partner has circumstances that mean we always include the value of your home, if you find out how much you can pay for the cost of your care, you can still get a deferred payment contract as long as they sign the contract.