Benefits over payment from 15 years ago!

[thequietman]

Got a surprise today from the post man. It was a letter indicating that I owe nearly 5000 pounds to HM government due to an over payment regarding unemployment benefit.

The letter says the contacted me before, but I never received anything as I haven't lived at my old address for over 15 years. (family home)

 

They have my Thailand address due to the fact that I asked about making national insurance payments towards my UK pension. I guess that means, if I don't pay it back, I can't contribute to my pension. I am not going back to the UK to try figure this out, so what to do now?

 

Anyone have any experience about this? It seems a long time to be chasing me up for money, but it is the government and I suppose, it is to be expected. Should I ignore the letter and get on with life, or address the issue? Not happy having to pay back 5 grand when I don't know anything about how they came to that decision.

 

Any advice is welcome. Thanks in advance.

[cleopatra2]

The amount level deemed not to be economically viable to pursue is £65.

The Secretary of State is duty bound to attempt to recover the overpayment in legislation.

 

Does the correspondence detail how and the reason for the overpayment. An appeal against the overpayment is possible. 

 

Possible remedies that the government can pursue is a direct charge against any PAYE income.

 

Whilst in England and Wales their is no statute of limitations in Scotland a 20 year limit exist.

 

Normally if no contact or repayment has been made for 20 years the case is not pursued.

Edited April 13, 2020 by cleopatra2

[CharlieH]

"if I don't pay it back, I can't contribute to my pension"

 

I dont believe this to be true. Its possible they may make "try" a deduction from your pension payment later, but that can only be a small weekly figure, (AFAIK)

[Jimbo53]

I would'nt bother making any additional payments to boost N.I. it will be wasted money,after almost 40 years abroad,i am now living back in the U.K. and had only 12 yrs of N.I. Stamps,i receive the full pension  ie: X amount of State Pension,and X amount of Pension Credits,i have a friend in Pattaya that paid £1000's to boost his,and has regretted doing so ever since,as he is still on the same rate after 5 years,as it is not index linked while in Thailand,but when going back to the UK you can call a certain phone number at the DWP,and your pension increases to the local level for the period of stay in the U.K.

[thequietman]

This is interesting. So, if that is the case, then I could make voluntary repayments at 60 pounds a month until retirement age, at which times, 20 years will have passed since the money they say I owe is from at least 12 years ago already. By retirement, the time will have been 27 years since their claim.

[thequietman]

22 minutes ago, CharlieH said:

"if I don't pay it back, I can't contribute to my pension"

 

I dont believe this to be true. Its possible they may make "try" a deduction from your pension payment later, but that can only be a small weekly figure, (AFAIK)

Thanks Charlie, any idea what the percentage would be, if they did try to recover the money from my pension, or a link to a source please.

[CharlieH]

Just now, thequietman said:

Thanks Charlie, any idea what the percentage would be, if they did try to recover the money from my pension, or a link to a source please.

From experience with others, if they contact you, you can offer like £5 a week and they have to accept it if your only (known) income is that pension.

[thequietman]

50 minutes ago, cleopatra2 said:

The amount level deemed not to be economically viable to pursue is £65.

The Secretary of State is duty bound to attempt to recover the overpayment in legislation.

 

Does the correspondence detail how and the reason for the overpayment. An appeal against the overpayment is possible. 

 

Possible remedies that the government can pursue is a direct charge against any PAYE income.

 

Whilst in England and Wales their is no statute of limitations in Scotland a 20 year limit exist.

 

Normally if no contact or repayment has been made for 20 years the case is not pursued.

I am from the north of Ireland, so one can assume that there is no statute of limitations. ????

[CharlieH]

I would suggest this is on your file and any contact with them will raise the flag and auto generate contact on outstanding issues. File it ! but I wouldnt be taking any action at this time.

 

 

[evadgib]

Does this change anything?

 

Recovery of benefit overpayment suspended

[CharlieH]

4 minutes ago, evadgib said:

Does this change anything?

 

Recovery of benefit overpayment suspended

No, as there is no agreement or facility in place to be suspended.

[khastan]

Just a thought is there any possibility at all that this could be a scam? Apparently they are having a field day in the UK according to this link. https://news.sky.com/story/coronavirus-how-criminals-are-exploiting-the-covid-19-pandemic-to-scam-the-public-11962897

[thequietman]

45 minutes ago, CharlieH said:

I would suggest this is on your file and any contact with them will raise the flag and auto generate contact on outstanding issues. File it ! but I wouldnt be taking any action at this time.

 

 

Does that include not making any voluntary  national insurance contributions at this time? The benefits office only know where I am located now, due to my application with HMCR. I have been gone from home for 15 years.

Could I make my contributions and ignore the other demand, or do the 2 go hand in hand?  Thanks for your input.

[thequietman]

5 minutes ago, khastan said:

Just a thought is there any possibility at all that this could be a scam? Apparently they are having a field day in the UK according to this link. https://news.sky.com/story/coronavirus-how-criminals-are-exploiting-the-covid-19-pandemic-to-scam-the-public-11962897

No, its def from HMCR department.

[CharlieH]

Just now, thequietman said:

Does that include not making any voluntary  national insurance contributions at this time? The benefits office only know where I am located now, due to my application with HMCR. I have been gone from home for 15 years.

Could I make my contributions and ignore the other demand, or do the 2 go hand in hand?  Thanks for your input.

I you wish to proceed then do so, they are not linked as such, one is "benefit" the other N.I. 

[maprao]

Do you agree with the amount?

If not request details of the overpayment with dates.

Cross reference it to any known period of unemployment. 

Check . They DO MAKE MISTAKES. 

Appeal.

 

Not sure of the wisdom paying voluntary contributions.  I was doing it but with collecting moving to 67 then 68  Its a gamble that may not pay off. The sums are relatively small. Also working overseas sometimes you can get away with class 2 contributions which are alot less.

Edited April 13, 2020 by maprao

[thequietman]

10 minutes ago, CharlieH said:

I you wish to proceed then do so, they are not linked as such, one is "benefit" the other N.I. 

Although the revenue department (NI) definitely did give my address in Thailand to the other party.

 

However, do you still feel that it would be OK to pursue making NI contributions, without acknowledging the other party that wishes me to pay back overpaid benefits?

 

They have clearly been talking with each other, or maybe the information is shared within government departments.

 

Thanks again for your feedback, it is very much appreciated.

[thequietman]

12 minutes ago, maprao said:

Do you agree with the amount?

If not request details of the overpayment with dates.

Cross reference it to any known period of unemployment. 

Check . They DO MAKE MISTAKES. 

Appeal.

 

Not sure of the wisdom paying voluntary contributions.  I was doing it but with collecting moving to 67 then 68  Its a gamble that may not pay off. The sums are relatively small. Also working overseas sometimes you can get away with class 2 contributions which are alot less.

They have already replied to my inquiry about contributions. I don't qualify for the cheaper one, but I do for the other which is 15 pounds a week/ 60 pounds a month.

 

I really don't want to reply to their correspondence until I am back in the UK, whenever that will be. I would much rather wait until retirement 18 years from now and let them make the minimum deduction then, from my pension.

[maprao]

54 minutes ago, thequietman said:

They have already replied to my inquiry about contributions. I don't qualify for the cheaper one, but I do for the other which is 15 pounds a week/ 60 pounds a month.

 

I really don't want to reply to their correspondence until I am back in the UK, whenever that will be. I would much rather wait until retirement 18 years from now and let them make the minimum deduction then, from my pension.

That sounds like a good idea. They will take less when you are a pensioner 

Edited April 13, 2020 by maprao

[cleopatra2]

8 hours ago, thequietman said:

They have already replied to my inquiry about contributions. I don't qualify for the cheaper one, but I do for the other which is 15 pounds a week/ 60 pounds a month.

 

I really don't want to reply to their correspondence until I am back in the UK, whenever that will be. I would much rather wait until retirement 18 years from now and let them make the minimum deduction then, from my pension.

The standard rate of deductions is 3 × 5% for non fraud cases and 8 × 5% for fraud cases.

Thus if pension is £100 The deduction would be £15 non fraud and 8 × £5 (£40) for fraud cases.

 

For clarity these changes took place in 2015 and I am not sure if they apply to historical cases.

Edited April 14, 2020 by cleopatra2