tax credits wont take my money!!!

iammumtoone

I have just got off the phone to tax credits.

I have an over-payment on my account - this is not my fault I rang to tell them my increase in pay and was told they did not need to know as credits are worked on the previous year, they accepted my explanation (i suppose they checked the phone records)

I still owe (£1000), I understand that and know I have to pay it back. However next year my wage is going to decrease significantly, I do not want them to take it from next years entitlement (as £20 a week drop to pay this off is a lot to lose on my next years income), I want to pay it off in full now whilst I have the money.

They explained I can't pay it now as the amount needs to be finalised and they can't do that till after the tax year which is understandable. I then asked if I could pay if off once they had done that and was told they didn't think so as they always take it from the following years entitlement.

I am not very good with money and just want to pay off my debt as soon as I can

iammumtoone

blondebubbles wrote: »

Their website says that you can - https://www.gov.uk/tax-credits-overpayments/repay-your-tax-credits

Thank you. I am so fed up with tax credits and different people saying different things. When I got the letter re the overpayment I rang and asked about it and was told to ignore it, they will adjust my payments within this year so it doesn't apply. When I checked today it was still outstanding :mad:

If I owe the money thats fine I have to pay it. I just want it cleared asap so I can forget about it and hopefully get the right award for next year.

haras_nosirrah

bit of a faff but if they won't accept a lump sum could you put the overpayment amount into a seperate savings account and then transfer it over month by month so that it isn't leaving you short (i.e. if your tax credits are going down by £100 then transfer £100 over to your current account)

iammumtoone

haras_nosirrah wrote: »

bit of a faff but if they won't accept a lump sum could you put the overpayment amount into a seperate savings account and then transfer it over month by month so that it isn't leaving you short (i.e. if your tax credits are going down by £100 then transfer £100 over to your current account)

Thank you that is a good idea I will do that if I have to. However like I said I am not good with money and with my drop in wages next year I am frightened I will spend it! I would much rather just pay it off so its gone. I think in the meantime I will put in in a different account to try to avoid temptation.

haras_nosirrah

just get it out of your account so effectively you lose the temptation to spend it

it isn't your money - you have to pay it back. May as well get a bit of interest in the meantime though