End the charges for the use of the Child Maintenance Service Collect and Pay
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Since the Child Support Agency was disbanded, the Child Maintenance Service has gradually taken over cases where a third party is needed to ensure resident parents get the financial support they need.
The two options available to parents are Direct Pay, where the non-resident parent pays directly to the resident parent and Collect and Pay, where money from the mon-resident parent is paid to the CMS, then sent on to the resident parent.
Here is where the issue lies. Using Direct Pay means resident parents have to report missed payments to the CMS. These payments can be chased, but there would be a delay in resident parents getting the money they need.
To use the Collect and Pay, there is a 20% charge for the paying parent and a 4% deduction for the receiving parent.
I feel this opens up opportunities for the paying parent to coerce the receiving parent into accepting Direct Pay and potentially having to chase owed money. Charging parents for the Collect and Pay is a money-making exercise for DWP, that can increase stress for victims of domestic abuse and/or coercive control. These charges must be abolished.
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