A new Benefits Finder tool, launched by responsible lender Creditspring, has unlocked £312 million in unclaimed benefits in under three months, finding individuals could be entitled to an average of £880 per month in additional financial support.
As many prepare for a bleak winter ahead, the Benefits Finder will help to ensure users have access to all the available financial support during the cost-of-living crisis.
From 20th September 2023, 36,000 members have used Creditspring’s Benefits Finder, with over eight in ten (82%) discovering they were eligible for benefits they hadn’t yet claimed.
As eight million households miss out on £19 billion in unclaimed benefits and discounts annually, and seven million people already reliant on credit to pay their bills this winter, many across the UK are clearly struggling to stay afloat amidst spiralling prices. Accessing additional financial support through untapped benefits will provide a vital lifeline for vulnerable households.
The Benefits Finder requires members to answer three simple questions to get an estimate of the unclaimed benefits that they could be entitled to, including links for members to apply to each one.
Some of the most frequently unclaimed benefits the new tool discovered include Council Tax discounts, Universal Credit and Child Benefit payments.
Neil Kadagathur, CEO and Co-Founder at Creditspring, said, “With Christmas approaching and heating bills spiking, we’re entering one of the most expensive periods of the year with struggling households needing all the support they can get.
“The new Benefits Finder can provide a lifeline through the winter months by unlocking access to the benefits that many households will be completely unaware that they’re eligible for.
“Millions of people across the UK feel as though they have simply run out of options when it comes to bettering their financial situation.
“For many, unexpected access to benefits such as Council Tax discounts and Child Benefit payments could allow them to build a financial cushion that will help them to get through the next few difficult months financially unscathed rather than ending up owing huge sums in debt.
“In desperate situations, already vulnerable borrowers are likely to turn to high-cost, predatory lenders. These lenders will often spring hidden costs upon borrowers, encourage them to take on extortionate debts and unfortunately, push people into vicious debt spirals they are unable to escape from.
“Innovative tools such as the Benefits Finder, which provide accessible and personal support, will have a real and lasting impact on people across the country.”
In addition to opening up access to finance, Creditspring’s Benefits Finder is supporting the wider shift towards a more inclusive financial system. Pointing people towards personalised support can help them better understand their individual situation and what benefits they may be entitled to.
Signing up for a Creditspring membership is free. The tool is also free for all members to use and does not affect an individual’s credit score.