Is there a limit on when the DWP can claim crisis loans back?

poorcopies

Hello, my first post but I hope someone can help.

When I was 17 I was forced to move out of my home and during this period I had to take a couple of crisis loans and was on income support until I was 18 and started working properly. I distinctly remember the money for these loans coming out of my income support.

About a month ago I got a letter from the DWP claiming I owed them over £200 for two crisis loans, dating back to 1997 and 1998. I have not heard from them at all until then. I called the DWP and said I believed I had paid them back and that could they send me proof of what was paid and when. They haven't got back to me, but today I received a letter from Iqor debt recovery saying I needed to pay this amount or they are taking me to court.

Can they legally do this? I have no way of knowing how much was paid and when, but I do know that the crisis loans came out of my income support. I haven't claimed any benefits since 1998 but I have been on the electoral roll at my own property for over six years, so I don't know how they have only contacted me now.

Any advice would be greatly appreciated, I don't want to pay for something I believe I have already honoured, surely they at least have to provide me with the evidence of the outstanding amount?

PipsoG

There is no statute of limitations regarding debts owed to the DWP.

They should supply you with details of what you have paid back for the loan and what is outstanidng and you will need to prove to them that you have paid this in full

fermi

PipsoG wrote: »

There is no statute of limitations regarding debts owed to the DWP.

Wrong. The normal 6 years applies.

(It's a common myth that it doesn't)

Of course that simply bars recovery through the courts. Benefit overpayments/debts can still be deducted from any future entitlement.