Hi, would appreciate any advice regarding the situation of a relative who is a single Mother.

She had an outstanding housing benefit overpayment which was being repaid monthly over a payment plan for the last few years. At the beginning of this year the council got in touch to say that they needed to increase the amount paid each month; following a review of her income and expenditure a significantly higher amount was agreed to be paid which she has paid without fail.

The council also stated that they would review the payment plan after 3 months, however they sent a letter 4 months later with a means statement saying she needed to respond within 10 days. She was out of town and didn't see the letter until she returned 11 days after it was dated; she called the council who said that they have now passed the debt onto a debt recovery agency and she has to deal directly with them and that there is nothing they can do now.

She is now very worried and has been sent letters by the debt collection agency. I think the councils behaviour is unfair and unacceptable, she has always made the payments agreed and was compliant with the agreed payment plan, they sent the means review later than they had indicated but are punishing her by handing her over to debt collectors because she did not respond to their late letter within 10 days.

Does any one have any advice as to how she should deal with the council and the debt collectors? She is willing to repay the debt within her means and doesn't think it is fair to have to deal with bailiffs and risk losing her possessions or work to their aggressive repayment plans.

Would you mind letting us know how much the housing benefit overpayment was for.

You mention that the council reviewed the account earlier this year and that a significantly higher repayment amount was agreed. What was the agreed repayment?

The overpayment outstanding is around £3.5k, the amount that was agreed to be repaid was £50 a month, which was calculated based on her income and expenditure.

are you getting confused between debt collectors [powerless] and bailiffs...not powerless?

who is the company that has written?

are you getting confused between debt collectors [powerless] and bailiffs...not powerless?

who is the company that has written?

Yes that was perhaps the wrong phrase, they are enforcement agents i.e. bailiffs.

who are?

who are?

Penham Excel