Letter from DWP demanding £3684.38

[mcarreno]

Hello

 

I have just recieved a letter from DWP Debt Mangagement- regarding £3684.

 

To be honest I think this relates to me claiming incapacity benefit for a period wholst I was at University studying a MSc where I was also given a grant.

 

This was ovr 10 years ago and have not received any previous leters about this.

 

I'm worried they could prosecute me over this? althoguh stil not sure if I was breaking the law or not.

 

Would this be statue barred?

 

Should I ring them up (as they have requested or ignore the letter?

 

I have not claimed any benefits for over 10 years and hopefully will not need to do so in the furture

 

Please advise

 

Michael

[ErikaPNP]

The first thing you need to do is establish where the debt arose from, and when the final decision on the overpayment was made. If it does transpire that it is from that long ago, it is not statute barred in the same sense that a credit card debt would be.

 

With DWP debts, the 6 years is 6 years from the date the final decision was made on the overpayment. With Social Fund loans the 6 years is 6 years from the date the loan was due to be repaid.

 

If that time limit has passed, then they are unable to enforce payment via the courts, however if you make a claim to benefit in the future, they can legally make deductions to your benefit to reclaim the money.

[mcarreno]

Hi

OK many thanks- but will they not know this and advise they have only found out about this? This was related to a claim 11 years ago.

A few years ago I entered and completed a protected trust deed- so unsure why they did not make any approach then- and whether that effects my obligation to pay them back?

I suppose I must pluck up to courage to give them a ring, or can I just ignore the letter?

Many thanks for your advice

Michael

[ray_gamba]

Michael

 

I am guessing that you live in Scotland given that you granted a Trust deed. If that is the case the debt would prescribe after five years and unlike in England the debt would then be extinguished.

 

If the overpayment was fraudulent it would not have been covered by your Trust Deed otherwise you should be ok. Was this debt included when you gave your Trustee details of all your outstanding debts?

[mcarreno]

Hi Yes in sunny Scotland, although the overpayment relates to when I was living in England.

 

I spoke to them last night and they are going to send details of the overpayments, basically they have said I was working and earning money above the threshold of the incapacity limits- but as yet have not provided details.

 

To be clear, this debt was not included in the trust deed (I was not even aware of it at the time), but my interpretation is that when they advertise the trust deed it is to give any creditors to come forward to make a 'claim' and have asked DWP to explain why they dd not come forward then- as according to them they knew about the overpayment in 2000 (earlier point in thread).

 

Guess I will have to see what they send

 

Thanks for your advice

 

Michael