| | |
An overpayment is an amount of Benefit that has been paid, but for which there was no entitlement under the Regulations.
An example would be if a claimant failed to tell the Council that their income had increased and a recalculation of their entitlement meant that they had been paid too much benefit.
A fraudulent overpayment may occur when a person has deliberately provided a false statement or document, or has deliberately failed to report a change of circumstances with the intention of obtaining or retaining Benefit.
The rules concerning the administration of Benefit overpayments are contain in the Housing Benefits Regulations and other subsequent legislation. The Council has a duty to impliment these legal provisions, and has a duty to recover overpayments from tenants and landlords.
The Council may also decide to take criminal proceedings in respect of fraudulent overpayments.
An overpayment is recoverable from either the person who caused the overpayment, or the person who received the overpayment.
Council Tax Benefit overpayment will normally be recovered by adjustment to the taxpayer's Council Tax account.
If the tenant is currently receiving housing benefit, the overpayment will be recovered from future benefit payments by a weekly deduction known as a ' weekly reclaim'.
If benefit is paid direct to the landlord, the amount paid to the landlord will be reduced by the weekly reclaim figure.
The tenant is responsible for paying any rent arrears that occur as a result of the reduced amount paid to the landlord.
If the tenant is not currently receiving housing benefit, the overpayment may be recovered by issuing an invoice for payment.
Recovery of an overpayment will not prejudice any criminal proceedings that may be taken by the Council in respect of fraudulent overpayments.
If the Council has decided to recover an overpayment from a landlord it will issue an invoice. Recovery of an overpayment will not prejudice any criminal proceedings that may be taken by the Council in respect of fraudulent overpayments.
For further information on reviews and the Appeals process see Housing Benefit Appeals.
The claimant can ask for a review of a decision to calculate an overpayment. Any such request should be made within 1 month of the decision notice.
A landlord can request a review where recovery action is being sought from him personally: that is where an invoice for payment has been issued to him, or a deduction is being made from the benefit he receives for one of his tenants in order to recover an overpayment owed by the landlord in respect of another tenant.
Where the overpayment is owed by the landlord personally, he will be notified in writing of a decision to recover from him. Any request for a review should be made within 1 month of the decision.
A landlord can write to the Council at any time requesting a written statement of reasons for the recovery of an overpayment from him.
Where an invoice remains unpaid, or an agreed arrangement to repay the debt over time is not being maintained, the council may pass the outstanding debt to a debt collection agency. If the debt remains unpaid the Council may take action in the County Court.
| How to complain | Copyright Information |
|
|
