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Benefits Overpayments

What are overpayments?

An overpayment is where you have been paid more Housing Benefit or Council Tax Benefit than you are entitled to. An overpayment may be caused by a change in your circumstance that you have not told us about in time.

Examples of things that can cause overpayments are:

  • An increase in your income
  • Someone moving in with you
  • You moving out of the property

If an overpayment arises, the Moray Council Benefits Service is duty bound to try to get the money back.

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If I am overpaid will I have to pay the money all at once?

No, overpayments of Housing Benefit will normally be recovered direct from your ongoing entitlement to benefit at pre-set weekly rates. If it is an overpayment of Council Tax Benefit and increase will be made on you Council Tax bill so that you can pay the money back gradually. If you no longer qualify for Housing Benefit in Moray an invoice will be sent to you and you can make arrangement to repay the debt in instalments with the Council’s debt recovery department.

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What if the overpayment wasn’t my fault?

Even if the overpayment isn’t your fault you may still be required to repay for example if the Council could reasonably expect you to know you were being overpaid.

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What if I can’t pay the money back?

If you let us know that you are having difficulties making the repayments, we maybe able to arrange to recover the debt over a longer period of time.

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Can I appeal against an overpayment?

Yes, you have one calendar month from the date you are notified about he overpayment in which to make an appeal. You can only appeal against the calculation of the overpayment and the recoverability of the overpayment. Recovery of a Housing Benefit overpayment will not start until this appeal period has ended. However, a Council Tax Benefit overpayment will be recovered immediately.

Please do not ignore our letters as the debt will not go away, if we do have to take further action to recover the money through the courts, the amount you owe will increase.

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