We'd like to remind Forumites to please avoid political debate on the Forum. This is to keep it a safe and useful space for MoneySaving discussions. Threads that are - or become - political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

Overpayment of Housing Benefits £14k

Options
1246710

Comments

  • *Kat*
    *Kat* Posts: 1,829 Forumite
    First Anniversary First Post Combo Breaker
    Options
    I can't believe you didn't realise an extra £300 per month in your account. Regardless of whether you're overdrawn or not. That's not what these benefits are for. You took advantage and you just let it carry on, probably knowing a long time ago that what you were doing was wrong.

    So I guess now you have to pay all that money back. Maybe sell your car? Interested to know what your monthly repayments are on it.
  • Poppie68
    Poppie68 Posts: 4,881 Forumite
    First Anniversary Combo Breaker
    Options
    How someone organised or disorganised wouldnt notice regular payments credited to their bank account off a LA for 4 years is beyond me....You will need to come up with a better story than that OP

    I don't know the reasons behind paying your parents mortgage but if they decide to go the repayment plan route without taking any action against you and you don't have enough disposable income they could then pass it onto an independent debt collector.

    If investigating the overpayment they decide you are at fault for whatever reason and you either don't pay or can't pay they could then go the the legal route and you could end up with the bailiffs at your door...

    Don't leave it too long if you don't hear from them soon...keep in touch with them and show willingness to get the matter sorted ..
    Just one last thing.....When negotiating repayments don't be over enthusiastic and agree to an amount because my on think its sounds better....Only agree to payments that you will comfortably afford otherwise if you fall behind you will eventually get a knock from the bailiff.
  • NYM
    NYM Posts: 4,066 Forumite
    First Anniversary Photogenic Combo Breaker First Post
    Options
    ..... I fell into alot of debt when I was younger and had bad credit scores...

    ...
    I have never owed anything all my life, ...

    One of those statements is untrue..:(
    This is my fault for not checking or questioning things but I just need to figure out the best way in dealing with it now.


    I think that when you stopped receiving JSA that should have caused your HB to cease...:think:

    Perhaps you should do as pmlindyloo has suggested, and see someone at CAB.
  • starbright789
    Options
    Before yes I owed alot of debt but that's all been taken care of and apart from my car I don't have anything else outstanding, thank you for all your help, like I said , I've posted a letter out to them so will await further communication .
    I'll post their response once I have anything
  • tamiami
    tamiami Posts: 537 Forumite
    Options
    no no, i have only been helping them out as they are both elderly.For clarification purposes, I do not live with my parents, i am not on their mortgage papers, i only help them out as they are old and because I am the oldest I am expected to help them out.





    Maybe it's time for them to help you out then
  • pmlindyloo
    pmlindyloo Posts: 13,052 Forumite
    Name Dropper First Anniversary First Post
    Options
    NYM wrote: »
    One of those statements is untrue..:(




    I think that when you stopped receiving JSA that should have caused your HB to cease...:think:

    Perhaps you should do as pmlindyloo has suggested, and see someone at CAB.

    The reason I suggested seeing CAB is because this is, in my opinion, a very unusual case.

    You can read some examples here of HB overpayments:

    https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/233068/hbopg-classrec.pdf

    The OP did have a responsibility to contact the council rather than rely on the cessation of his JSA to stop the HB.

    And the OP should have checked his bank accounts and noticed that the HB was still be paid.

    However, usually if letters are written by the council asking the claimant to give information about change of circumstances within one month and no reply is received then, usually, the HB would stop. There may be an extra one month given but certainly four years is, plainly, ridiculous to continue paying HB.

    Someone, in my opinion, in the council, has messed up big time.

    I believe the OP should repay this. However, the extent of the 'mess up' should be highlighted and may even give the OP some leeway in making the repayments.

    CAB would also help with preparing a Income and Expenditure sheet to give to the council.

    Just my opinion :)
  • lovinituk
    lovinituk Posts: 5,711 Forumite
    Combo Breaker First Post
    Options
    Call me cynical, but am I the only one who thinks 'troll' when I read threads like this? Lots of it doesn't add up or is contradictory.

    I do apologise OP if you are for real, but this forum does seem to attract a few, shall we say, 'colourful' characters!
  • starbright789
    Options
    Thank you, I have every intention of repaying this and agree it is partially my fault too as well as the council. I really hope it is a truce payment though , I'll have to wait and see what they say,
  • starbright789
    Options
    Hi lovininuk, I really wish this was not true and I am a troll , but no, it's all very real and a shock too
  • tomtontom
    tomtontom Posts: 7,929 Forumite
    Options
    Of course you won't be arrested and thrown into prison!

    You will, however, have to pay it all back if their demand is correct.

    It was your responsibility to inform all relevant departments of your change in circumstances, including all of your changes of address

    We can't say that for sure - the OP is well above the threshold for prosecution. It is unlikely, those proven guilty of fraud rarely get a custodial sentence, but it does happen. Plus of course the burden would be on the LA to prove fraudulent intent.

    There are alternatives to prosecution, including a penalty of 30% of the overpayment, so another £4K to pay. It is certainly in the OP's interests to be compliant with any investigation.
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 12 Election 2024: The MSE Leaders' Debate
  • 344.2K Banking & Borrowing
  • 250.4K Reduce Debt & Boost Income
  • 450.1K Spending & Discounts
  • 236.3K Work, Benefits & Business
  • 609.7K Mortgages, Homes & Bills
  • 173.5K Life & Family
  • 248.9K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards