The Local Authority will only make direct payments into a separate bank account that has been specifically opened for the purpose. Rather than the opening a separate bank account to receive the direct payment funds, Diverse Cymru can do this your behalf via a managed bank account.
This means that Diverse Cymru will receive the direct payment and can manage the financial arrangements for you, include dealing with any payroll issues such as payment of PAs’ wages and quarterly payments to HM Revenue and Customs and paying invoices to agencies and respite centres as well as other payments related to the use of the direct payments.
Managed Banking is a particularly popular option for people who have previously been put off direct payments because they did not want to have to make and maintain these financial arrangements. Opting for managed banking means there is one less thing to worry about and allows more time to spend managing the day-to-day arrangements. Importantly, if you choose managed banking you remain in control of your direct payments, how they are used and making key decisions such as who you employ.