Deferred Payment Agreements
A deferred payment agreement is a legal agreement between you and the Council that allows you to delay paying some or all of your residential care costs until a later date.
It is designed to help you if:
- You have been assessed as having to pay the full cost of your residential care
- You cannot afford to pay the full weekly charge because most of your capital is tied up in your home.
If you enter into a deferred agreement, you will be borrowing money from the council, much like having a loan or a mortgage. But it doesn't work in exactly the same way as a normal loan - the Council doesn't give you a fixed sum of money when you join the scheme, but pays for an agreed part of your weekly care and support bill for as long as is necessary.
The amount that you borrow from us will be secured against your property. This means that it is repaid in full when your property is sold. This could be either be when you choose to sell your home, or paid from your estate after your death.
You can also pay the debt back from another source if you want to - for example, someone else can pay the debt off for you.
There is a one off fee of £768.00
There is also an administration fee of £78.00 that is applicable when cancelling after the deferred payment has been agreed.