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Recovery rates for overpayment

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  • Recovery rates for overpayment

    I've been repaying an overpayment at the maximum rate which amounts to 25% off my housing benefit and esa. I've just been offered a job working 8 hours a week which is permitted work and shouldn't affect my benefits but my question is will they recover a percentage of those earnings too? Advice much appreciated.
    Last edited by Jem; 17th April 2017, 02:13:AM.
    Tags: None

  • #2
    Re: Recovery rates for overpayment

    If you are receiving benefits, any overpayment is normally repaid by reducing your benefit payments. Overpayments can be recovered from most benefits you may be getting.
    There is a maximum rate of deduction from:

    The maximum deduction from these benefits is £11.10 a week, or £18.50 where the overpayment was due to fraud or you have agreed to a civil penalty. See our Fraud Investigations guide.
    The maximum deduction from Universal Credit depends on your circumstances, whether you are working and whether the overpayment is from overpaid hardship payments.
    There is no maximum deduction from other benefits, but you can always try to negotiate a lower rate if the amount the Department of Work and Pensions ask for is too high.
    The maximum amount that can be taken out of your wages depends on how much you earn and whether you have been found guilty of an offence. You are usually left with at least 60% of your net earnings.



    • #3
      Re: Recovery rates for overpayment

      Thanks Enaid, appreciate your reply but still unclear. Do you know if they will also recover from my wages along with the amount they are already taking from my benefits?


      • #4
        Re: Recovery rates for overpayment

        Well it states there it depends how much you earn, but I know what you mean it isn't very clear. I would think as this is allowed then it would not affect anything, but DWP are a law unto themselves.
        Tagging [MENTION=48934]Debt Camel[/MENTION]' see if she has any idea


        • #5
          Re: Recovery rates for overpayment

          Very kind thank you. Can't seem to find any info elsewhere.


          • #6
            Re: Recovery rates for overpayment

            Just an aside, are you sure it was all your fault you were overpaid?
            Don't need any details just a yeh or nay xx


            • #7
              Re: Recovery rates for overpayment

              Yes it was all my fault. I've been paying it off for quite a while and still some way to go.


              • #8
                Re: Recovery rates for overpayment

                Ok, no probs.
                Not sure if you will get a definite answer from these folks https://www.nationaldebtline.org/ but they have a chat line so you don't give any details etc worth a try.
                Other than that I would go to DWP and ask them outright.


                • #9
                  Re: Recovery rates for overpayment

                  I can't see how they could deduct money from your wages without going to court for a CCJ and an attachment of earnings. And for 8 hours a week that would be a daft idea.

                  Can I ask how much you owe for ESA and HB overpayments? Do you have other debts as well?


                  • #10
                    Re: Recovery rates for overpayment

                    Hi again Jem, I am going to say speak to these people https://www.nationaldebtline.org/ you need proper help before things get out of hand and they can take all your personal details etc and they do a web chat if you are unsure at first.
                    Good luck and if you can let us know how you get on xx


                    • #11
                      Re: Recovery rates for overpayment

                      Hello, I've not read through the comments but I had an overpayment, I found they did it by their mistake and it was written off after lots of letters. I had another OP which was my fault and I pay them min payment of £20 per month. I work full time to. They keep sending letters about discussing paying more but I've ignored them. I don't think they can refuse a min payment of £20 per month. I think but don't quote that the courts set a min payment of £5 per week.



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