Martin Lewis' MoneySavingExpert warns thousands on benefits need to act NOW or payments could be stopped

MARTIN Lewis has warned that thousands of families claiming benefits need to act now or their payments could be stopped.

Around 6,600 households are at risk of having their benefits payments disrupted next week.

If you get your tax credits, child benefit or guardian's allowance paid into a Post Office card account, you need to take urgent action, the MoneySavingExpert founder said.

That's because HMRC will stop making payments into these accounts from April 5.

You will need to open a new bank account, or tell HMRC details of an account you already have to continue getting the money.

Otherwise, payments will be suspended until you let the tax office know your bank details.

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Anyone who gets benefits paid by the DWP, including Universal Credit and the State Pension, into a Post Office account will continue to get payments for now.

But payments of these benefits into Post Office accounts will also stop in November this year.

HMRC has been writing to affected customers to let them know of the change since October 2019.

The deadline has been extended several times, but April 5 is the new cut off.

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More than 143,000 people have already opened a new account and provided HMRC with the details, the tax office said last week.

But customers who have not done so are at risk of missing payments if they don't switch in time.

Post Office card accounts were launched in 2003 to replace the old state pension "order books" and to allow people without a bank account to get payments.

But they're being phased out because the contracts that HMRC and the DWP have with the company are coming to an end.

How do I get benefit payments after Post Office accounts close?

If you're affected by the change, you should have received a letter from HMRC.

If you claim child benefit or guardian's allowance, you can use your Personal Tax Account to let HMRC know about the new bank account, or use the gov.uk webpage to report changes.

You could also call the Child Benefit line on 0300 200 3100.

People who claim tax credits can change their account details online via gov.uk too, or by calling the tax credits helpline on 0345 300 3900.

If you miss the April 5 deadline, you'll get the payments you're owed once you notify HMRC.

To open a new bank account, you will either have to visit a branch or apply online.

The bank will ask for information such as your name and address and you will have to provide at least two forms of ID.

For more advice on how to open an account, you can contact Citizens Advice for free.

The government Payment Exceptions Service can be used by anyone who is unable to open a bank account.

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This is a payment card, voucher by email, or text message containing a unique reference number that can be used to access benefit payments from PayPoint outlets which are in shops and newsagents.

You'll need to speak to your local benefits office to get this set up or respond to the letter about Post Office card account closures you got from the HMRC.

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