DWP want me to pay back £5000+

lydon05 · 1 November 2007 at 1:20PM

Hi all,

I previously was on incap benefit due to my contueing crohns disease condition, but after an assessment this stopped in August.

I had a letter from DWP this morning stating they had overpaid me 2 amounts
£5244 for may 06 - may 07 and £1378 paid in error by them (which upon telephoning them they informed me I dont have to pay the £1378 because it was their error as they continued to pay this after I had informed them.

I have always declared my earnings form the business (as previously posted by me) and declared the amount I can earn £85 per week, but they say the declaration came too late after may 07 so I need to pay back the whole of the 2006 year £5244.

I still earn £85 but dont understand how I pay back £5000 when it takes me a whole year to earn and live off that.

They say they can look at the decision again if I contact them within one month and would be heard by an independant tribunal.

I wish I had the dates of the letter I sent them declaring as hopefully I can prove I informed them before May this year, as I am sure I have always declared any other income to them.

I understand overpayments happen in the benefit system, but considering my illness and at best I am trying to earn a living I find it a bit harsh to ask for everything back for that year , and I wouldnt be able to pay it back anyway well not all in one go

I would like to hear from anyone else who has been in the same situation and what they did or recommend i should do? should I plough away for ages trying to fight this is

cattie · 1 November 2007 at 2:40PM

Generally if overpayments are made because of a DWP error, then the overpayment is not legally recoverable.

If you gave them all the necessary information & they failed to act on it in reducing or stopping your benefit then appeal & in the meantime get some advice from an experienced welfare rights advisor.

If the overpayment wasn't a dwp departmental error & does have to be paid back then dwp are usually happy to agree to a payment plan with you for an amount that is manageable for you & will not cause hardship.

So for instance, if £5 a month is all you could afford, then they will be in agreement to this. All they are concerned about is that a regular payment is made & that the debt will be repaid eventually.

lydon05 · 1 November 2007 at 3:10PM

Thanks for your reply, I am hoping to get some dates of declartions sent to them. They have told me they only keep information sent to them for 6 weeks, if I can find a date before May 07 I should be on firmer ground I'm just worried I cant.

I would have thought looking at circumstances if I did have to pay back it would be over a time period , or can they seize assets, like take a car or anything you own? that is what is worrying me.

On the plus side, I have contacted the department relating to the correspondance I sent last year, and they are going to send me all the paperwork copies of anything I sent them last year, so if there is anything dated between May 06 - May 07 which does infact state declared work I think I would have a case against that £5000 or part of it.

cattie · 1 November 2007 at 3:44PM

They will not seize assets so worry not. As long as you agree a payment plan with them they will be happy. If you qualify for benefits, the agreed monthly amount will be deducted from your benefit.

If not on benefits then you will be provided, if you ask with envelopes in which to post your cheques to the debt managment department. This will save you on postage costs. If not on benefits & making manual payments in this way then you default on payments, they will probably eventually want to seek a court judgment.

There is no statute period for dwp debts & any outstanding amount, should you die before repayment, is claimed from a person's estate. If no assets on death, then the debt is written off.

lydon05 · 1 November 2007 at 5:10PM

Sorry what do you mean

"If not on benefits & making manual payments in this way then you default on payments, they will probably eventually want to seek a court judgment."

Does that mean if I am not on benefits now (which I am not) they will seek a court judgement? so they can claim everything in one go

or do you mean if I default on regular payments to them they will seek judgement?

actionman_3 · 1 November 2007 at 5:50PM

I think she means if you dont make regular payments they can then take it to court.

I have to go to an interview tomorrow and they are going to readjust my benefit to collect overpayment. She said they are not doing an interview under caution but im still stressed over it.

real1314 · 1 November 2007 at 6:15PM

lydon05 wrote: »

Thanks for your reply, I am hoping to get some dates of declartions sent to them. They have told me they only keep information sent to them for 6 weeks, if I can find a date before May 07 I should be on firmer ground I'm just worried I cant.

I would have thought looking at circumstances if I did have to pay back it would be over a time period , or can they seize assets, like take a car or anything you own? that is what is worrying me.

On the plus side, I have contacted the department relating to the correspondance I sent last year, and they are going to send me all the paperwork copies of anything I sent them last year, so if there is anything dated between May 06 - May 07 which does infact state declared work I think I would have a case against that £5000 or part of it.

6 weeks? That's nonsense. They keep stuff for 14 months. They may not keep it on-site, but they send it off, and "should" be able to retrieve it.
If they can't retrieve it, it's generally their problem, not yours.

cattie · 1 November 2007 at 6:35PM

actionman wrote: »

I think she means if you dont make regular payments they can then take it to court.
quote]

Yes, actionman is correct as this is what I meant.

lydon05 · 1 November 2007 at 6:58PM

That's good to hear about 14 months because that should give access to more letters that I sent them over a longer period of time, he said they will have to dig them out from storage somewhere, and it will take 2-3 weeks.

If I do find a letter of declaration before may 07 I will certainly send a copy to the DWP with a letter argueing the £5000 or part of. if worse case scenario happens do they take all personal savings, then arrange payment plan for the rest ? ie I have £300 in an ISA can they just snatch it , or any rent I pay my parents to live at home?

I really find it all deflating , I understand their point on overpayment which is fair enough if I was now earning £1000 a week , but I dont its £85 it really is a knock back for someone who is trying to earn a living still living with crohns.

actionman_3 · 1 November 2007 at 7:00PM

I thought you were allowed to work a certain amount of hours and still get benefits if you were sick.

actionman_3 · 1 November 2007 at 7:06PM

They would only make you pay an amount you could afford weekly. If the investigation is lengthy Im sure they will find the info you describe.

DWP want me to pay back £5000+

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