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Overpayment of wages after leaving?

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I have recently been sent a letter fron my previous employer that they have overpaid wages of £500. I did not think I was overpaid at all as I had left in the middle of the month, and assumed the money was from annual leave.

I left the job due to disability that had gotten worse and I could no longer work. I am unemployed and have been since I left, I am also not on benefits as I have been in and out of hospital, and only just diagnosed with Bipolar disorder. I am already in debt because of this disorder and I have now paid a lot of it off, this is debt that is my own fault. I have absolutely no way to pay this money back and I don't know what to do anymore :(

Comments

  • sourcrates
    sourcrates Posts: 31,590 Ambassador
    Part of the Furniture 10,000 Posts I've been Money Tipped! Name Dropper
    edited 15 September 2016 at 6:20PM
    Hi,

    You must have some kind of income surely ?

    How do you live day to day otherwise ?

    Certainly look again at what benefits you may be entitled too.

    I would send a simple letter to your ex employer telling them your not working at the present time and will update them when your situation improves.

    You say you have other debt ? How much in total ?

    Just to put your mind at ease even if your ex employer took you to court, they would not set a repayment sum you could not afford.
    I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter
  • I had this happen to me, my ex-employer was correct and I simply agreed with them that I would pay a monthly amount by standing order until the amount was paid off, in my case, £600.


    I agree that you should send them a letter as sourcrates suggests above, also asking for a breakdown of how they come to the conclusion you were overpaid. In other words, they need to prove it, not just demand the cash!
  • National_Debtline
    National_Debtline Posts: 7,998 Organisation Representative
    Tenth Anniversary 1,000 Posts Combo Breaker
    Hi Kaygal

    It sounds like getting some income should be your first priority. From the sounds of it you might be eligible for Employment Support Allowance (ESA), or Universal Credit. You may also have an entitlement to Personal independence Payments (PIP).

    You can look into dealing with the debt once you’re able to complete a budget.

    If you have other debts you also need to deal with I think it’s a good idea to contact one of the free debt advice charities for full advice on dealing with your situation.

    James
    @natdebtline
    We work as money advisers for National Debtline and have specific permission from MSE to post to try to help those in debt. Read more information on National Debtline in MSE's Debt Problems: What to do and where to get help guide. If you find you're struggling with debt and need further help try our online advice tool My Money Steps
  • Hi Kaygal.

    You need to ask for evidence that you have been overpaid.

    Assuming that you have been overpaid then you definitely have to pay it back if they insist.

    However........... relax, you dont have the money therefore they cant get it at the moment. Write to them and explain your situation. Ask if they will consider writing it off as a guesture of goodwill. They may they may not. If not follow sourcrates advice.
    £1000 Emergency fund No90 £1000/1000
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