On income support - can they demand repayments of £50 a week?

Lifesavings_on_a_lipstick

I was recently on a university course, but withdrew from this halfway through. However the uni kept paying my grant in, and in fact overpaid me three months in one month. I did not notice - I never check my statements, and income support had owed me some money anyway so I assumed that my account had a higher balance - well less overdraft - because they had paid me everything I was owed at once.

Anyway fast forward 2 months and i was getting angry letters form the university saying I owed them £2000. I checked my balance and only had £1200 left in there, so said I would pay them this and they said fine, they would take back the other £800 when I came back to the course.. However many direct debits went out before I had a chance to pay it back to them. I have to date paid them back £800.

They are now furious and I don't know what to do. I have agreed to pay them back £50 a week which is my whole income support as the social fund's £13 a week comes off this, but I have a very young son and am terrified that I am going to end up in a very bad position in which I am living on nothing.

Just wondering what on earth I can do. They are now asking me to pay back the whole £2000 as I did not pay back the £1200 as quickly as I said I would. This will leave me without income support for six months, living on child tax credit and child benefit. Please can anyone help me. Do I have any rights at all? I know it was my fault for not being prudent with my finances, but to be honest I was pretty depressed after I dropped out of the course (and am getting inrceasingly more stressed to the point where I can't sleep flor worryin about it), I am a single mother with absolutely no support around, there are no job prospects in this village and I do not know what to do..... there is no advice on this on the net.

I would be grateful for any advice at all. I have tried speaking to them ald liaising with them, but they just want paid back as quickly as possible and don't seem to care as in their eyes I am just an irresponsible and unreliable person (which I am sure you will all agree with

Indie_Kid

You need to talk to student services at uni and agree payments that you can afford.

Lifesavings_on_a_lipstick

sh1305 wrote: »

You need to talk to student services at uni and agree payments that you can afford.

Hello. They are not even happy with the £50 a week payments, I can't see them being happy with less. I also don't want this debt hanging over me for years... and I was planning to go back to uni in 2011..!

Robbie64

You need to speak to them, £50 per week is an unreasonable amount for them to be asking for, assuming they are aware of your financial position.

Oldernotwiser

You are capable of university level study, are short of money and still didn't notice an extra couple of grand going into your bank account?

It seems to me that the university dealt with your initial problem quite reasonably but are now unhappy that you reneged on your agreement to repay them the money you owed and have become less obliging. Have you started to make regular repayments to them yet to show your good faith in the matter?

Lifesavings_on_a_lipstick

Older not wiser -
Yes I 100% admit, you are right. I did renege on the agreement, but I have since done my best to make up for it. The truth is I offered them the £1100 initially thinking that is about the amount in the account, and when I looked, it wasn't, and suddenyl it was a month later and there was even less in my account.
Yes believe it or not I am intelligent but incredibly ditsy and have an amazing ability to bury my head in the sand. I have been diagnosed bipolar in the past for various reasons, though I do not accept this diagnosis I can definitely see traits...
I have indeed started to make regular payments of £50 a week, though I cannot afford this, I am aware that I am in the wrong here and I can understand how they see me - the same way you see me - the truth is my life is really a massive struggle and this, along with the two letters demanding repayment of council tax I just received, is going to tip me over the edge, I know it.

That account is so far in overdraft I have honestly lost track of the balance, except now that it is permanently so near to the limit..

Jowo_2

If your student services don't help out (because you are now an ex-student), then book an appointment with the CAB that can help you with this. Also, the Debt Wanabee forum will have bods there that can perhaps suggest your options.

Richard1075

You need to sit down and start to work out exactly what you have coming in from benefits and then what your priority expenses [rent, council tax, electric, gas, water rates etc]

Then they can see exactly what you financial position is and why you are finding it hard to repay.

Of course they are angry with you - you made a promise and you have not kept to that - it would be the same if you had leant somebody some money and they promised to pay you back and they didn't - you wouldn't feel to please would you?

If you have mental health problems and this was the reason why you had to withdraw from the course are they aware of that - are you able to supply medical evidence from your GP, Consultant or a CPN.

This information with an accurate financial statement that is back up with paperwork and they can see that you are taking responsibility for your debt.

Best of luck

dmg24

What did you spend the money on? Is there anything you can sell?

Are you unable to work?

sp1987

You need to work out what you can afford to pay. Offering them everything you have is not sustainable and you will end up missing payments very quickly, which will annoy them more!

They probably think you are spinning them a line about paying them back and not doing so.

Send them a letter saying what you can pay, what your income and expenses are etc so they can see what is available to pay them.

If you are calling them/them calling you, you may be speaking to different people all the time anyway which just doesn't help matters.

Tell them what you are going to pay, how you have come to that amount and pay it. They'll probably be annoyed it isn't coming back quicker but they'll at least trust that what you say is true. So far you have dodged payment in their eyes.

Do it all in writing so you and they both know what has been said. Ask them to reply in writing so that you have a record of what they say if you need advice later on.

welshmoneylover

Have you considered working?

You will receive a wage packet, ctc, wtc, cb, and maybe hb and ctb if you qualify.

So you'd be in a much stronger position financially.