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Housing Benefit Overpayment - Collection help


dajackel12
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Hello,

 

I'm wondering if someone can give me some advise, about 3 years ago I was informed that I was overpayed Housing Benefit due to changes in circumstances, The total overpayment was over £2,000 for different time periods and they asked for the money back. We agreed to this as it was correct and we initially made a one lump payment of £500 and then we were paying £40 per month but we had to decrease this to £20 a few months ago because we could no afford to pay it due to bills etc.

 

Today i received a letter from the Council stating that matter has been passed from collections team to legal services debt enforcement in order to recover the amount. it states:

 

"if payment or reasonable proposals for payment is not received by 19 Nov then I will have no alternative but to register this debt with Leics County court" it goes to say about CCJ and enforcement proceedings.

 

I looking for advise on how to approach this, I am not refusing the pay the money but just can't pay a higher rate at the moment.

 

any advise would be great.

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If you really can't afford to pay any more then when it goes to court and a CCJ is issued the Judge will decide how much you will pay. If you can't pay any more then the payments you are making will continue as they are. I would go to the CAB with your incomings and outgoings and they will help you with your budget and see if any money can be saved elsewhere so you can raise the amount at all. It may not be possible to raise the amount you are paying if money is tight and in that case you will just have to allow court proceedings to take place. No judge will demand money you cannot afford to pay but you may end up with a CCJ. Other legal enforcements may be used too. I would go to the CAB and see if there are ways to help. £20 is a very low sum to be paying atm.

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