Income support overpayment

[littleguy]

Hi all, I have just had a letter form the DWP telling me I owe £133.62, when I telephoned to find out what it is they said it was over paid in 1996!! I have had no contact prior to this, does the six year no contact rule apply??

[Conniff]

Hi littleguy.

Unfortunately, the 'Limitation Act 1980' does apply in your case.

The Department of Work & Pensions (DWP) can chase debts after 6 years without going to court.

I wouldn't give in that easily though and would ask for the information that brought them to saying you were overpaid.

[littleguy]

oh well it was worth a try, I have asked them to send me proof of the OP , after all I cant remember that far back...thanks for the reply

[Conniff]

It's always worth a try. When you write, plead poverty and ask if they will spread the payments, you never know, Christmas may come early for you.

[helly1]

The limitations act DOES apply to overpayments by DWP in the fact that after this time they cannot take you to court but can recover overpayments from any future benefits.

Send them a letter stating that you have no knowledge of this overpayment (if that is the case) and make a subject access request under the data protection act for a copy of all information held relating to the alleged overpayment

[adamrao]

Little Guy

Try to contact your local Welfare rights or CAB its worth asking DWP when and why O/P was made. But Limitation Act does apply on DWP overpayment to the extant that they cant take you to court but still they can deduct from your current benefits.

The Department of Work & Pensions (DWP) has 6 years to take action through the courts to recover benefit overpayments and social fund loans. This time starts running from the date of the final decision made on the overpayment and from when the social fund loan was due to be paid. But the DWP are still allowed to make deductions from your benefit for a debt over 6 years old as they don’t need to go to court to do this. This applies to overpayments of benefits such as income support, job seekers allowance, pension credit, housing benefit, council tax benefit and paying back social fund loans.

Your CAB advisor or WR Officer can liaise with DWP regarding the issue. You also need to explain why cant you pay like you would have financial hardship if you re-pay (send income and expanditure sheet). Please provide ture and correct information as nothing is hidden ffrom DWP and HMRC.

Good Luck