Martin Lewis warned about a mistake in child payments: you could lose thousands.

According to The Sun: Several hundred thousand families may lose money due to a simple mistake related to child payments.

Consumer expert Martin Lewis warned that families might miss out on tens of thousands of pounds.

The reason lies in incorrectly naming parents on the child benefit application.

It is estimated that around 200,000 families have made this mistake.

Child benefit is provided to everyone with parental responsibilities for a child under 16 (or under 20 if they are in full-time education).

The standard payment amount is £26.05 per week for the first child.

For each subsequent child, the amount will be £17.25 per week.

When applying for child benefit, you also receive national insurance credits, even if you are not working or earning enough for contributions.

This is important because to receive the full state pension, you need 35 qualifying years of national insurance credits by the time you retire.

If you miss a year of credits, this may affect your state pension as well as your eligibility for other benefits such as maternity allowance.

Main applicant for benefits

The person applying for child benefit is considered the main applicant and receives national insurance credits.

So, if one partner is not working or earns less than £125 per week, they should apply for child benefit.

Importance of Correct Application

Important points about child benefit:

• How much is the benefit and when does it end?
• How long does it take to process and are there income limits?
• At what age do payments stop, and can I apply for a third child?
• Will the payments increase and by how much?

Martin Lewis also noted that this could significantly increase your state pension, which could "add tens of thousands of pounds over time".

So, if you listed the higher earner as the main applicant, you risk losing tens of thousands of pounds in pension benefits.

But if you made a mistake, not all is lost. You can apply to transfer credits to the lower earner using a special form.

You can also claim back national insurance credits retrospectively.

This situation is crucial for many families, especially in today's living conditions. Getting the paperwork right can significantly impact a family's financial situation and ensure access to essential social benefits. Experts urge parents to be careful when filling out applications and to check their rights to receive benefits, which could be key to their future well-being.