Deduction of earnings

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PM22

PM22 Posts: 212 Forumite

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22 February at 6:52PM in Debt-free wannabe

Hi,

I have just had a letter from DWP saying they have contacted my employer to set up a deduction of earnings for an overpayment of tax credits when I was a struggling single mother.

They are threatening to deduct 15%. I can't afford this. I am on a DMP.

Any advice? I owe them £2282....

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MEM62 Posts: 4,773 Forumite

23 February at 11:38AM
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A deduction of earnings comes at the end of a lengthy process. What is the rest of the history here and what communication have to had with the DWP up to this point?

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sourcrates Posts: 28,955 Ambassador

23 February at 12:21PM
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You should be talking to the DWP about this.

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
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fatbelly Posts: 20,633 Forumite

23 February at 12:32PM
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It's a frighteningly easy process to set up a DEA and there is no easy way to stop it.

The deduction rate is set out in Annex B

https://www.gov.uk/government/publications/direct-earnings-attachments-an-employers-guide/direct-earnings-attachment-a-more-detailed-guide

You would need the help of a benefits specialist to challenge it

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PM22 Posts: 212 Forumite

23 February at 2:45PM
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I just phoned them and set up a payment plan and they cancelled the deduction of earnings. It was a simple phone call….

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