Common use of Information and Charges Clause in Contracts

Information and Charges. 5.1 The Council has a duty, under section 4 of the Care Act 2014, to provide information and advice about care and support. This includes how a person might plan for their future care and support and how to pay for them. The Council will support people to make informed, affordable and sustainable decisions about their care. To enable well-informed choices this duty is extended to DPA’s. Fact sheets will be available on the Council’s website and people will be supplied these during the process. 5.2 The Council will ensure that persons considering entering residential care are made aware of the ability to defer charges against their property for their care at the earliest point possible. This should be during the period of the ‘12 week property disregard’ when the value of the property is not taken into account. This will include information on top-ups. 5.3 The Council will provide a twice yearly statement of the outstanding debt to the person(s) entering into the DPA. A statement can be requested at any time and this will be provided within 28 days of request. 5.4 The Council will give the person(s) entering into the DPA at least 6 months’ notice that the maximum amount to be deferred is due to be reached and provide a contact to discuss the future cost and funding of care. 5.5 The person or their representative will be advised of the costs of entering into a DPA. These can be paid in full or added to the deferred payment agreement (appendix 1). 5.6 There will be costs for the initial set-up of the DPA and an annual administration cost which will be added to the DPA each year in January. This will be pro-rata for the 1st year. 5.7 Compound interest is charged from the first day of the agreement until all the debt is settled in full. The interest rate is based on the cost of Government borrowing (the 15-year average gilt yield, as set out by the Office for Budget Responsibility twice a year in their Economic and Fiscal Outlook report). The interest will be applied daily in line with the accrual of the debt. Interest will continue to accrue until the debt is repaid in full. Interest charges will be reviewed twice a year in January and July. 5.8 If the Council has to instigate the enforced sale procedure in order to recover our debt, an admin fee will be charged, plus any professional costs incurred. All costs can be accrued against the deferred payment agreement. 5.9 In all cases the Council recommends that independent legal advice is sought before entering into a DPA.

Information and Charges. ‌ 5.1 The Council has a duty, under section 4 of the Care Act 2014, to provide information and advice about care and support. This includes how a person might plan for their future care and support and how to pay for them. The Council will support people to make informed, affordable and sustainable decisions about their care. To enable well-informed choices this duty is extended to DPA’s. Fact sheets will be available on the Council’s website and people will be supplied these during the process. 5.2 The Council will ensure that persons considering entering residential care are made aware of the ability to defer charges against their property for their care at the earliest point possible. This should be during the period of the ‘12 week property disregard’ when the value of the property is not taken into account. This will include information on top-ups. 5.3 The Council will provide a twice yearly statement of the outstanding debt to the person(s) entering into the DPA. A statement can be requested at any time and this will be provided within 28 days of request. 5.4 The Council will give the person(s) entering into the DPA at least 6 months’ notice that the maximum amount to be deferred is due to be reached and provide a contact to discuss the future cost and funding of care. 5.5 The person or their representative will be advised of the costs of entering into a DPA. These can be paid in full or added to the deferred payment agreement (appendix 1). 5.6 There will be costs for the initial set-up of the DPA and an annual administration cost which will be added to the DPA each year in January. This will be pro-rata for the 1st year. 5.7 Compound interest is charged from the first day of the agreement until all the debt is settled in full. The interest rate is based on the cost of Government borrowing (the 15-year average gilt yield, as set out by the Office for Budget Responsibility twice a year in their Economic and Fiscal Outlook report). The interest will be applied daily in line with the accrual of the debt. Interest will continue to accrue until the debt is repaid in full. Interest charges will be reviewed twice a year in January and July. 5.8 If the Council has to instigate the enforced sale procedure in order to recover our debt, an admin fee will be charged, plus any professional costs incurred. All costs can be accrued against the deferred payment agreement. 5.9 In all cases the Council recommends that independent legal advice is sought before entering into a DPA.

Information and Charges. 5.1 The Council has a duty, under section 4 of the Care Act 2014, to provide information and advice about care and support. This includes how a person might plan for their future care and support and how to pay for them. The Council will support people to make informed, affordable and sustainable decisions about their care. To enable well-informed choices this duty is extended to DPA’s. Fact sheets will be available on the Council’s website and people will be supplied these during the process. 5.2 The Council will ensure that persons considering entering residential care are made aware of the ability to defer charges against their property for their care at the earliest point possible. This should be during the period of the ‘12 week property disregard’ when the value of the property is not taken into account. This will include information on top-ups. 5.3 The Council will provide a twice yearly statement of the outstanding debt to the person(s) entering into the DPA. A statement can be requested at any time and this will be provided within 28 days of request. 5.4 The Council will give the person(s) entering into the DPA at least 6 months’ notice that the maximum amount to be deferred is due to be reached and provide a contact to discuss the future cost and funding of care. 5.5 The person or their representative will be advised of the costs of entering into a DPA. These can be paid in full or added to the deferred payment agreement (appendix 1). 5.6 There will be costs for the initial set-up of the DPA and an annual administration cost which will be added to the DPA each year in January. This will be pro-rata for the 1st year. 5.7 Compound interest is charged from the first day of the agreement until all the debt is settled in full. The interest rate is based on the cost of Government borrowing (the 15-year average gilt yield, as set out by the Office for Budget Responsibility twice a year in their Economic and Fiscal Outlook report). The interest will be applied daily in line with the accrual of the debt. Interest will continue to accrue until the debt is repaid in full. Interest charges will be reviewed twice a year in January and July. 5.8 If the Council has to instigate the enforced sale procedure in order to recover our debt, an admin fee will be charged, plus any professional costs incurred. All costs can be accrued against the deferred payment agreement. 5.9 In all cases the Council recommends that independent legal advice is sought before entering into a DPA.