TV Licence: How to pay and claim discounts

By THIS IS MONEY
Created: 05:56 EST, 11 March 2010 Updated:

If you have a TV then you'll need a licence to watch it - if you don't pay then you could get caught out for a fine of up to £1,000.

Although, the licence is compulsory for everyone watches programmes at the same time as they are on TV, some people will be entitled to a discount.

We explain the system, the discounts and explore the alternatives.

TV licence

On it like a car bonnet: Make sure you've paid your TV Licence or you could get slapped with a hefty fine.

Switching on

You need a licence for watching or recording any television at the same time as it is shown on TV, regardless of what device you are using such as a TV, digital box, video recorder, PC, laptop or mobile phone.

The current cost of an annual colour TV licence is £142.50 or £48 for a black and white one. The cost of a TV licence rises to £145.50 for a colour and £49 for black and white from the 1 April 2010.

One licence will cover your whole house, no matter how may TV's or freeview sets you have. Although the rules are different in shared accommodation, such as student houses where there are multiple tenancy agreements at one property.

However,if the only TV is in a communal area then you will only need one TV licence for the house.

How to pay

You can pay for you licence by credit card, debit card, BACs, online or by phone or at any of the almost 22,000 Paypoint outlets in the UK.

If you pay quarterly by direct debit you will incur a £1.25 premium each time you pay. This works out to be £5 extra a year - this premium does not apply if you pay by monthly direct debit.

Although, if you're having problems paying for your TV licence then you can take advantage of the TV Licensing Payment Card or Savings Card. This allows you to upload cash to a card at various newsagents and other participating shops and you can pay off the amount in small doses as well as saving toward next year's TV Licence.

This means that you don't have to pay in one lump sum or by direct debit - but you do pay for a full licence within 6 months.

Are you entitled to a discount

If you are a student living away from home you may be entitled to a three month refund. You can get a discount if you are a student because you may only use your licence/TV during term times. If at the academic year you still have three full months on your licence and you won't be using it then you can get a refund for the remainder. Visit the TV Licensing website for more information for how to claim this.

If someone in your household is visually impaired then you can get 50% off the cost of your licence. So that it will cost £71.25 (rising to £72.75 April 1)for a colour TV or £24 (rising to £24.50 April 1) for a black and white set. You will need to provide a certificate from your ophthalmologist confirming you're blind or visually impaired when you purchase your TV licence.

If you're over 75 then you can get a TV licence for free. Visit the website to apply. If you're 74 and your licence will run out before you're 75 then you can get a short term licence before you automatically receive your free licence once you turn 75.

If you're in a residential home then you may qualify for an Accomodation or Residential Care (ARC) Concessionary Licence. If you're over 60 or disabled then you can join the scheme and pay £7.50 per year. If you move in and already have a licence then you can get a refund on any remaining unused quarters too.


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