UC overpayment

Vates

I have just been checking my statements for Universal Credit and realised that they have made a mistake and not deducted my ESA correctly resulting in an overpayment of just over £100. I know that it has to be paid back and am kicking myself for not noticing sooner and leaving the money aside. 

My rent went up by £110 in April so I didn't notice it right away. So far I have only had two UC payments and the first one seems correct. I intend to leave a message on my journal under payments today to inform them of their mistake but will they ask for the whole overpayment back at once? I.e. deduct it in full from my May payment? As that will make things incredibly difficult for me!

KxMx

Once it's been looked at, a letter will be added to your Journal stating the overpayment amount along with repayment options. 

This is usually details on how to repay in full if you wish or installments taken off your monthly payment (deduction percentages are capped). 

Contact information for DWP Debt Management will be on the letter, if you need to ask for something to be changed. 

Vates

Thank you for that information. I feel relieved that there will be options. Will just wait to hear back from them now.

Newcad

Are you sure that you have actually had an overpayment?

Things get funny with payments and deductions at this time of year, as the benefit rates change and Social Renters have their annual rent increase..

To start with when your  rent increases in April your UC Housing Element goes up from the start of your AP where your rent went up,  but the other elements of UC don't increase until the start of the AP after the rates change in April,
Then the deduction for New Style ESA will be so many weeks at the old rate and so many at the new rate.

It's usually the payment that you get in May where things settle down (although for some it can be as late as their June payment, again depending on their AP dates).

So for example:
My UC AP is 14th to 13th of each month.
My rent went up at the start of April and so my Housing Element paid in April increased. (Increased as from the 14th March so I 'win' a few weeks of the increase - for those weeks I paid the old rent, UC paid me the new one).
UC rates also went up at the start of April too, but I won't see those rate increases until my May payment.

What I'm saying is that your April UC statement and payment can seem quite odd because various things are changing at different dates.
As you have only had the 2 UC payments up to now then you won't be used to this April 'All-Change' situation where things can look odd in Aprils (or early Mays if your AP falls that way) payment.

KxMx

In April the deduction for NS ESA is the same fixed  amount as the previous 11 AP's. No x weeks at old rate and x weeks at new rate. 

Vates

The difference is literally ESA deducted in March = £598.87 and then in April £492.22. My ESA payments haven't decreased, they have not deducted it in full. Although I admit that I am still learning about and getting used to Universal Credit.

KxMx

You are correct they haven't deducted it in full. 
I was hit by that error last year, and you aren't the only person I've advised about it this year 🙄

Yamor

Yes, this is the same error as the one which has been talked about on here by a few people in relation to Carer's Allowance. Basically, the UC system has treated your ESA as ending on the day when the rate increased, and therefore only made a deduction for the ESA until that date.

You would have had 25 days within your assessment period when the ESA was at the old rate:

£598.87 * 12 / 365 * 25 = £492.22