Council tax rebate chaos as thousands have £150 taken OUT of accounts and more STILL waiting for payment

THOUSANDS of people have had a £150 debit appear on their bank account in the latest council tax rebate blunder.

The cash is being given out through local councils as part of the government’s attempt to help with the rocketing cost of energy bills.

GettyErrors making the council tax rebate payments have affected thousands of people[/caption]

Now hard-up households have been left worrying after one council accidently took the £150 council tax rebate cash out of bank accounts as well as paying the cash in.

The borough council for Swale in Kent has said that more than 33,000 residents were affected by the error processing payments.

It warned that those eligible for the council tax energy rebate would “see both a debit and a credit on their bank account today due to an error processing the planned payments”.

It has now said that the debit will not be taken from people’s accounts.

It said: “As the debit subsequently failed, we’re now in a position where more than 33,500 residents are in receipt of their energy rebate.

“This was a complicated situation, and it’s taken longer than we would like to get the information and clarity we, and those potentially affected, need.”

It said it “deeply regrets” the confusion, and “wholeheartedly” apologised for the worry it may have caused.

A separate error last week saw around 25,000 residents in Leeds paid the rebate twice by accident, after the payments were processed “incorrectly”.

The local council apologised for any “confusion or inconvenience” and warned those affected to be aware that the overpayment will be recovered and to check their bank accounts.

It comes as hundreds of thousands of billpayers are still waiting for payouts.

The government announced the support for struggling households in February before the energy price cap shot up by 54% in April adding hundreds of pounds to bills.

The payments started on April 1, but many councils have not been ready to send out the cash causing delays.

More than a dozen areas have said the payments will come in May.

And some local authorities have said that payments won’t start until JUNE because of software updates required to send the rebate.

Many billpayers have to wait for the cash until they make their April council tax payment, so the council can verify they are eligible.

Those without a direct debit for paying their council tax also face a longer wait as they have to apply.

The final deadline for dishing out the cash is September 31, 2022.

Thousands of people could miss out on the £150 to pay energy bills if they in their overdraft, unless they tell their bank.

When will my £150 council tax rebate be paid?

Payments have already been made to locals in places like Sunderland, Bracknell and East Hampshire.

But some have to wait until later this month and even JUNE as councils work through processing the payments.

When you get your £150 rebate depends on where you live.

Each council will have different systems, dates can vary, and the scheme is new.

You can check your local council’s website and social media pages for the latest updates on when you will get the cash.

If you have a direct debit set up to make council tax bill payments you’re likely to get yours early than if you pay manually.

If you’re eligible for the rebate but you don’t pay a bill and need to apply you should keep an eye out for a letter.

This could also be the case if you pay your bill manually and the council don’t have bank details on record for you.

Your council will be in touch telling you how to apply for the £150.

But beware of scams where criminals are asking for bank details via text, email or call claiming this is how you get the rebate.

Experts have warned about the red flags to look out for so you don’t lose cash.

If you’re not eligible for the one-off payment you should check whether you qualify for any other help.

You can find out which band you’re in to see if you’re eligible for the automatic scheme, or need to apply to the fund by using the government’s search tool – you just need to enter your postcode.

There are also some exemptions to those in A-D bands, for example if you don’t live in the home.

You could challenge your council tax band if you think it’s wrong, so you don’t miss out on the cash.

But beware a revaluation of your band could put you in a lower band where you pay MORE council tax, so consider the risks.

If you are on a low income or receiving benefits, you could be eligible for a reduction on your Council Tax bill through a separate scheme.

A separate £144million fund has also been launched which local councils can dish out to vulnerable and low income households.

Some councils like Camden have opened applications for the cash worth up to £150.

And the most hard-up families struggling with bills could be eligible for EXTRA payments on top of £150.