We will check your DPA application form and follow up on any queries that may arise, including ensuring a property valuation has been obtained. We will need to have all information related to your DPA application, including what your intentions are for the property and the equity available. If you have given us all the relevant information, we will consider all the information and make a decision.
If your application doesn’t meet the criteria for a mandatory DPA, we will carry out an assessment of whether your DPA is sustainable.
This assessment will address, among other things, the likely period of the DPA, the equity available, the level of any top-up and the period of time you would be able to defer the weekly costs. A top-up would be needed if you chose a care home whose fees are greater than the amount, we would expect to pay to meet your identified needs (see the 'Choice of Accommodation and Additional Payments Policy').
The factors which will be considered when assessing sustainability are:
- the likely period you will want the DPA
- the equity available
- the sustainability of any contribution from savings
- the flexibility to meet future care needs
- the amount of any top-up payment for preferred accommodation
- the period of time you would be able to defer your costs for
We will decide whether the application meets the criteria set out in this DPA policy. If your application is accepted, we will write to you to confirm our decision. We aim to do this within a week of receiving your application unless specialist financial or legal advice is required. This is our formal offer of a DPA to you.
Our letter will also state:
- any conditions attached to the DPA, (for example, insurance requirements of the property)
- estimated administration charges and interest rate that will be applied to the deferred debt
- when and how often we will send you statements of your deferred debt
- any benefits you may be entitled to claim when you make your own care funding arrangements and how to do this
- your assessed weekly charge which you need to pay on an ongoing basis
- the agreed level of your weekly disposable income allowance
- the invoicing arrangements and how to pay your ongoing weekly assessed charge
- that failure to maintain your assessed weekly charge could result in the DPA being terminated
- the weekly amount that is agreed to be deferred under the DPA and any other costs agreed to be deferred under the DPA where the agreed security is a legal charge, and there are joint owners of the property, they must all consent to the placing of a legal charge against the property and, that if any of the joint owners do anything to prevent the legal charge being placed this will result in the offer of the DPA being withdrawn and the Council will immediately notify your care provider that it is ceasing to be involved in the placement.
Our letter constitutes an offer of a DPA to you and will state the date from which the DPA is proposed to start. It will be produced in duplicate, one copy to be signed by you and to be returned as your acceptance of the DPA offer. The other copy is to be retained by you.
The Councils Legal Department will draw up a DPA and documents relating to your identified security (usually a legal charge document relating to your property).
These are legally-binding agreements and the Council would usually send these directly to your legal adviser so that you can take advice from your legal adviser before you sign and return the DPA and documents (see Financial Information and Advice relating to a Deferred Payment Agreement (DPA). If you do not have legal advisor, The Council will send these directly to you or your financial representative.
You will need to read the Agreement, sign the documents and the DPA and return the Agreement and the documents relating to your security.
If other people need to give their consent as well as you (for example, if your property is jointly owned, or leasehold), you will need to obtain ALL those necessary signatures on the documents. We will tell you if this applies to you.
You must return the signed DPA and relevant signed legal documents (including signatures from other parties where needed) within 28 days. If you don’t return the signed Agreement and signed document(s) relating to your security, we will not be able to proceed with your DPA and you will need to make your own care funding arrangements. We will contact your care accommodation provider and tell them the date that the Council will stop funding your care. You will be charged the administration costs we incur.
If the reason for not signing is because of lacking mental capacity, see DPAs for People Lacking Mental Capacity.
If your DPA application is refused, we will tell you the reason/s and we will write to you to confirm this decision. You can appeal this decision if you wish - see Appealing the Council’s decision about a DPA.
Our letter will explain:
- the reason(s) for refusing your application
- the start date for when you need to make your own care funding arrangements (usually the end of your 12-week property disregard period).
- any benefits you may be entitled to claim when you make your own care funding arrangements and how to do this
- how to appeal our decision about your DPA application
- how to make a complaint
- that we will tell your care accommodation provider the date the Council will stop funding your care
- If there are administration costs that you need to pay, how much these are.
Where a DPA application is refused, any administration charges will usually be waived. However this will be considered on a case by case basis and if there is evidence that the application was pursued unreasonably (for example if you insisted on pursuing an application despite our advice about your eligibility), or you belatedly responded to our requests for information needed in order to establish your eligibility, or otherwise put us to excessive trouble, then the charges will be made.
