Tax Credit Possible Overpayment

sazzer

Hi All,

Just wanted some opinions regarding an overpayment. In a nutshell when I completed my renewal back in July I put in the figures from my tax return (around £10k) and estimated my hubby's profit at about £25k as he hadnt submitted his accounts.

Now his accounts are done his profit was actually £7k (he'd employed someone in the last year and I didnt consider that when estimating his figures, I just used last year as guidance)

Im also now paying approx £80.00 p/w childcare (prior to September it was £130 ish) and we were receiving £50.00 p/w in tax credits

Anyway I notified tax credits accordingly. this morning I checked my bank and was flabbergasted to see they have paid almost £6k to me. I know I need to wait for the award notice to see if an error has been made but does anyone have any experience like this? it would be amazing if this is correct but Im so worried about it being wrong, but they dont realise straight away and then I get a notice in years to come telling me to pay it back?

Sorry for the long thread, I had intended to keep it short!!

Thanks

Sarah x

paulofessex

Fingers crossed the payment is correct. I can only suggest that you consider placing the money in a high interest account and forget about it until after next years entitlement has been confirmed when you reclaim in 2013.

As we know Tax Credits etc cannot really be trusted to get it right and although the award notice you are waiting for may suggest it is correct, can you really trust!

Best of luck, like l say lets hope this ends in your favour

Icequeen99

It is possible it could be right if you estimated his income too high. You need to check the award notices that come through very carefully.

IQ

gillian0808

Hi after reading your thread I think the money is owed to you but think the advise to hold onto the money for a while maybe a good idea.
Here's why...........
I was given a £4k pyament from them a few years ago and was shocked. I called them and was told "we have massively underpaid you from when your twins were born a few years before, we have only made payments for 1 baby, not two". I did nothing with the money for a while and called again only to be told the same thing by a different adviser.

I was told to "enjoy spending the money" and I had driveway laid with it (very much appreciated as getting twins out kerbside can be quite a task).

8 months later they wanted all the money back.
After a year of trying to get to the bottom of it, help from CAB and an MP I was finally given an explanation that the form I had completed and returned had been mis-keyed onto the system as an income of £1,200 PER YEAR., not £12,000! And they dont pay double for two babies, this was incorrect but if their own staff dont know these rulings, how did they expect me too?

They insisted I had never been in touch to query the payment but after advise that I demand to hear the recordings of my telephone calls (back then a recorded message stated calls were recorded for training & quality purposes). CD's were sent out too me, and the following day a I also received a letter stating that they were writing off the rest of my overpayment and "here's £10 compensation for your trouble".

Fighting this overpayment made me ill. It took way over a year to resolve it and made me doubt myself and my sanity. but I found those telephone calls I made on those CD's.
I had paid back a large amount of the money and the rest was cancelled but the grief and worry this caused me and my family was horrendous.

Please check and check again that this money is yours before spending any to ensure its the correct amount you are owed.

I do hope its all correct for you.

Kind regards,
Gillian

sazzer

Hiya,

Thanks all for your responses, Gillian, can I ask if they sent you a new award notice? As that would have highlighted the error sooner? I'm waiting for mine before I call them, as if the award notice is correct and they can confirm it too I will ensure they have recorded the call and ask for some form of written confirmation. I guess it is feasible as I overestimated by £17k. Fingers crossed as we can finally do our kitchen with it

Thanks again

Sarah ;-)