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Overpayment of Income Support - help needed!

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Hello,

Last September, I started work on the 21st of the month as I had just started a new job. However I was unable to call them til the following Monday as I was on training all week (and I was informed by my Reed officer to wait until training had gone well before cancelling IS!). However after calling the benefit office, I received another IS payment the following week. I called again, and they told me the claim had never been closed. Of course I was bloody fuming, as a letter from the Reed office had been sent to them informing them of my return to work. They said they were cancelling it again, and so I left it. I then recieved another payment, which was less than before, but I was still confused and so called them again. They said that it was a problem their end and not to worry about it.

Then last week I received a letter for the benefit office saying I owe them £285.17 from the dates of 21/09/2011-15/10/2001. I'm now writing an appeal as the fault was theirs! However, what legal leg do I have to stand on regarding this? Do I have to pay the money back even though it was their fault? (I am aware I spent it haha.. but y'know we all like things for free!)

Any help or advice is greatly appreciated!!!

Nat:D
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Comments

  • Aarons_mummy
    Aarons_mummy Posts: 961 Forumite
    I would say that although the fault was theirs that they continued to pay you, you were aware you shouldn't have been getting it as you called up and advised them. I would say that yes you will have to pay it back, it was money you weren't entitled to and you spent it none the less.

    I don't think you'll get anywhere with an appeal to be honest.
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  • SuziQ
    SuziQ Posts: 3,042 Forumite
    No one should expect something for free, especially in this economy where the welfare state is close to collapse. You knew they made a mistake and chose to spend the money. I 'might' have a little more sympathy if you hadn't been aware that they had continued paying you and had spent it unwittingly, but you admit that isn't the case.. Just do the moral thing and pay the money back-you know you want to really! It's not worth the aggro of trying to get a case against them when you know you have little chance of winning, life's too short!
    Tomorrow is always fresh, with no mistakes in it!
  • nat_
    nat_ Posts: 47 Forumite
    Part of the Furniture 10 Posts Name Dropper Combo Breaker
    Ok, so the joke about getting things for free was obviously not found funny!

    I do fully understand what you are saying, and at the time I had just started work and literally had no money (job grants don't come in until 6 weeks after you start work), and I used the money to get to work. I used it to pay bills, and to live. Not to fritter away!

    I won't be able to pay back this lump sum in one go.. let's hope they take monthly instalments.
  • alfiesmum
    alfiesmum Posts: 1,171 Forumite
    nat_ wrote: »
    Ok, so the joke about getting things for free was obviously not found funny!

    I do fully understand what you are saying, and at the time I had just started work and literally had no money (job grants don't come in until 6 weeks after you start work), and I used the money to get to work. I used it to pay bills, and to live. Not to fritter away!

    I won't be able to pay back this lump sum in one go.. let's hope they take monthly instalments.

    So if the money hadn't unexpectedly kept on coming what had you planned on using for these things? What ever money you had put aside (coz you weren't expecting IS to continue), you can now use that money to pay IS back. It's great to think we'd get away with it, coz it's 'their fault', but it just doesn't work like that. Good luck in your new job! Well done on breaking free! All the best.
  • AimeesMum_2
    AimeesMum_2 Posts: 570 Forumite
    When I started working and came off income support, my job grant came in within 2 days. The just sent a giro to my house.

    You will need to pay the money back. Just look at it as an interest free loan and call them up and set up a repayment plan :D
  • real1314
    real1314 Posts: 4,432 Forumite
    nat_ wrote: »
    Hello,

    Last September, I started work on the 21st of the month as I had just started a new job. However I was unable to call them til the following Monday as I was on training all week (and I was informed by my Reed officer to wait until training had gone well before cancelling IS!). However after calling the benefit office, I received another IS payment the following week. I called again, and they told me the claim had never been closed. Of course I was bloody fuming, as a letter from the Reed office had been sent to them informing them of my return to work. They said they were cancelling it again, and so I left it. I then recieved another payment, which was less than before, but I was still confused and so called them again. They said that it was a problem their end and not to worry about it.

    Then last week I received a letter for the benefit office saying I owe them £285.17 from the dates of 21/09/2011-15/10/2001. I'm now writing an appeal as the fault was theirs! However, what legal leg do I have to stand on regarding this? Do I have to pay the money back even though it was their fault? (I am aware I spent it haha.. but y'know we all like things for free!)

    Any help or advice is greatly appreciated!!!

    Nat:D

    So, you knew all along that the monay was not yours.
    If you were buying something from a company, but in error sent a cheque to a different company, would you expect them to bank it and stick 2 fingers up at you?

    You have to pay it back because:-

    1. You didn't notify them promptly that you had started work
    2. You knew it was not money you were entiteled to

    :cool:
  • The overpayment ran until 15/10/10. That means you were a Friday payday for Income Support.

    You started work on 21/09/10. You phoned them on 27/09/10 to tell them you'd started work but for reasons unknown they kept sending the money to your account.

    I'd say from 21/09/10-26/09/10 the overpayment is entirely your fault. You failed to disclose that you'd started work.

    But I'd also say that from 27/09/10-15/10/11 the overpayment is theirs ... you told them you'd started work & they didn't act on your phone call. That's not your fault, it's theirs, probably caused by work volumes. The overpayment wasn't caused either by your failure to disclose or by the method of payment.

    I think you should lodge an appeal against the overpayment decision on the grounds that part of the overpayment is an "official error" & that they haven't classified part of the overpayment correctly. Contact the office which sent you the overpayment letter and ask them to send you out an appeal form GL24. It won't cost you anything to appeal and might save you a few bob.
  • real1314
    real1314 Posts: 4,432 Forumite
    The overpayment ran until 15/10/10. That means you were a Friday payday for Income Support.

    You started work on 21/09/10. You phoned them on 27/09/10 to tell them you'd started work but for reasons unknown they kept sending the money to your account.

    I'd say from 21/09/10-26/09/10 the overpayment is entirely your fault. You failed to disclose that you'd started work.

    But I'd also say that from 27/09/10-15/10/11 the overpayment is theirs ... you told them you'd started work & they didn't act on your phone call. That's not your fault, it's theirs, probably caused by work volumes. The overpayment wasn't caused either by your failure to disclose or by the method of payment.

    I think you should lodge an appeal against the overpayment decision on the grounds that part of the overpayment is an "official error" & that they haven't classified part of the overpayment correctly. Contact the office which sent you the overpayment letter and ask them to send you out an appeal form GL24. It won't cost you anything to appeal and might save you a few bob.

    Even if it were official error, the Op still knew it was not money they were entitled to.
    Where an official error occurs but the recipient is not aware that they are not entitled to the money, I'd agree - e.g if they were paid slightly more than they should have been following a change in ciircumstances.
    In this case - no way.
  • bestpud
    bestpud Posts: 11,048 Forumite
    You took a chance and spent money you knew you were not entitled to.

    As time has gone on, you no doubt thought you'd got away with it, but now its cone back to bite you in the rear.

    My job grant was in my bank within 2 days, but if yours wasn't, why didn't you put it aside to repay the benefit money?

    Treat it as an interest free loan that got you over your first weeks at work.
  • real1314 wrote: »
    Even if it were official error, the Op still knew it was not money they were entitled to.
    Where an official error occurs but the recipient is not aware that they are not entitled to the money, I'd agree - e.g if they were paid slightly more than they should have been following a change in ciircumstances.
    In this case - no way.

    The DWP has a duty to ensure their payments are correct, whether you like it or not. The OP discharged their duty by telling them (eventually) about starting work, the rest of the overpayment is DWP's fault.

    OP - ignore these people & continue with your appeal.
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