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Original poster

Anyone else need to pay back tax credits?

22 replies

orangehead · 31/07/2008 11:26

I am so angry everytime something has changed I have informed them immediately. I have insisted on the phone that they adjust my payments straight away because I dont want to be overpaid and surprise surprise they have overpaid me by £391. There is no way I can afford to pay this. Why do they do this to people?
Sorry rant over

OP posts:
gillybean2 · 31/07/2008 11:33

Did they say how the overpayment arose? Only time I have been overpaid was when their computer system screwed up and send me my payment twice in the same month. I put the money aside as I knew it was wrong, and when they confirmed it I repaid it to them right away.

Same thing happened next month and rather than asking for it back they just adjusted all my following payments, which really threw out my budget for the year!

Does the overpayment related to this year? Ie what you've been paid between April and now? Have you changed child care provider or something like that?

I too really don't understand how these overpayments can arise, but they make it so hard to calculate that it's impossible for us to work out whether we are getting the correct amount or not!

Appeal it if you doubt them and have informed them of every change

paddingtonbear1 · 31/07/2008 11:34

I will have to pay some back, don't know the exact amount yet but likely to be a few hundred. I was expecting it though. When are you supposed to pay it back by? If you can't pay it all at once, I thought they would just reduce your payments, or you can apply to pay by installments?

paddingtonbear1 · 31/07/2008 11:35

Could you get the overpayment cancelled if it's their fault - you informed them promptly of every change in circs but they still screwed up?

MascaraOHara · 31/07/2008 11:37

complete sympathy..

I've always told them every change..

last year they started saying I owed them thousands (literally) I don't believe it but hey, what can you do!

I don't get anything from them now and realistically I have resigned myself to not receiving any CTC ever again. I still submit my form, they tell me I owe them money so they'll gie me nothing.

They won't make you pay it back if it's only a few hundred, they will just reduce your monthly amount slightly for the year...?

squiffy · 31/07/2008 11:50

here orangehead, these guys might be able to help.

Original poster
orangehead · 31/07/2008 12:07

Thanks for the link, have bookmarked it and will look at it later as I have literally been on the phone all morning and feel like a crap mum ignoring my kids. My childcare costs went down in september, which I informed. My partner then moved in, in january. Again I informed them they closed the old claim and started a new one. The new claim is fine, its from the old one. I think it was him moving in that did it. With hindsight obviously my partner should of moved in, in april it would of been simpler. Not that I would do this but I sort of understand why people lie

OP posts:
MrsFluffleHasAWuffle · 31/07/2008 12:50

hi orangehead yes I apparently owe them over 2k.

I am going to appeal/dispute whatever they call it, I know in the end they will probably win due to all their loopholes they leave themselves, but at least I can delay it some time!

You can pay back in installments, I was told that a new claim however wouldn't be taken off any amount owing, and I thought this didn't sound right - mind you their left hand doesn't know what the right hand is doing does it?!

I'll certainly never be claiming again I can tell you that much!!

fizzbuzz · 31/07/2008 12:53

Have just been informed we owe them £8500.

WTF do I do now?

I told them they were overpaying us, but they assured me it was correct

Dummymumm · 31/07/2008 13:19

i jst spoke to them abot the same thing. you need to phone and ask for COP26 (a letter about the overpayment) and a form called TC846 which is to dispute the overpayment. a man at the job centre told me that if you inform them at the time of change/in advance of change they are not legally allowed to recover the overpayment. when i told ctc guy on the phone just now he also confirmed that to be true and that is why he is sending the form/letter. HTH

MascaraOHara · 31/07/2008 13:33

DM, are you sure that is correct because I've had convos with them (apparently I owe them thousands but they said it doesnt matter because they back check against your P60 so even though I informed them I earned more and for whatever reason they didn't process the change it doesn't matter

gillybean2 · 31/07/2008 14:18

Have to say it's probably the child care element that's caused the problem. The cost is averaged out over the year. If you changed the amount and then stopped the claim mid year and then started a new one and you perhaps pay extra in the school hols it can get in a muddle.

I transfer all the money that relates to childcare costs (what I calculate it will cost on average each week, whole amount not just the 80% they pay) into a separate esavings account. When I have a childcare bill I transfer it out to cover the bill. At the end of the year the account should have as much in as it started with and if there were any changes in teh year that means the child care costs were reduced I would have the money there to pay it back. Maybe you could try something similar in future? You do have to keep a tight rein on all monies when you are in this kind of position. A £520 bill (which is what you'd get minimum for a change in child care costs in a year) is not something I could afford so I budget really carefully.

If your childcare costs are the same week in week out then you shouldn't get a problem, it's only if you have increased costs at school holidays or differeing amounts each week/month you might run into problem.

Again though, if the mistake is theirs then you can appeal. Though with the childcare element they don't know the full cost of that until the year end when you confirm it which is when the over payments usually arise I'm afraid...

Dummymumm · 31/07/2008 14:25

i went to job centre when dp was planning to move in and asked what i needed to do. that was when i was told. i wrote to ctc and informed them and i sent letter by recorded delivery. apparently when i fill the tc846 i need to list this info including the date of letter. obviously i have proof as i wrote instead of phoning but they should also have a record of dates/details of any telephone calls you made to them. my overpayment was because my claim as an individual ended and new claim started.

boredveryverybored · 31/07/2008 14:33

Orangehead, when you informed them your dp had moved in, was it immediately? or was there a few weeks before you told them?
The most common overpayments I encounter in these circs are when people tell us a few weeks after a dp has moved in, those few weeks can add up to a few hundred pounds.
As for paying it back it won't be deducted from your current claim if it arose from your previous one. So you will get a letter from the overpayment team, who you can then telephone and set up a payment plan with. Just tell them what you can afford each week/month and they will usually accept it.

hth

Original poster
orangehead · 31/07/2008 18:48

The guy on the phone seemed to suggest over payment due to partner moving in not from the childcare costs. I rang them before he moved in. I actually tried to tell them a couple of weeks before ( before my next payment) and they said they couldnt make changes more than so many days in advance(cant remember how many days) and that I would have to ring back.
Thanks for everyone advice. Those of you that who apparently owe thousands, crikey thats scarey. Hope you all get it sorted.

OP posts:
boredveryverybored · 31/07/2008 19:01

Doesn't make any sense for you to have an o/p due to your dp moving in if you told us immediately. Sounds like the guy you spoke to just couldn't find a reason for it. (it is really really awkward to figure out where o/p have come from..stupid bloody system)
No excuse though, if you told us straight away then that can't have caused it.
You probably cannt be bothered! but I would call back until you get a real reason for it occuring.

boredveryverybored · 31/07/2008 19:02

Had anything else changed on your prev claim, any income changes? did you earn more than the est on the system? any childcare changes at all?

Original poster
orangehead · 31/07/2008 19:19

Thanks bored have rang back, it is the reason. They are sending us out an appeal pack. Thankyou so much for your help

OP posts:
Collision · 31/07/2008 19:25

I have just filled out my form and sent it to them with a letter telling them that even though I am an intelligent woman with good basic knowledge(!) I am at a loss wrt the tax credits letter.

It is sooooo confusing.

I think they said I owe £1500 which I do have in my acc but if it is more than that then they will have to wait for it.

I certainly will not claim from them again as the anxiousness of it all is too much even though I have always told them about a change in my circumstances.

TheFallenMadonna · 31/07/2008 19:28

Does anyone know how long you get to pay back? We won't be claiming next year as I willbe starting work in September, but that means we have some to pay back which I would prefer to do when I'm actually working...

boredveryverybored · 31/07/2008 19:28

Finding your situation V hard to understand Orange! No way can you have actually gotton an o/p in circs you've described, so absolutely appeal it. Sounds like you shouldn't owe us a penny.

boredveryverybored · 31/07/2008 19:31

Madonna, it depends on your circs. If you are currenly paying back through your claim (is that right) and you are going to stop being entitled then o/p team will write to you to propose a repayment plan or ask you to get in touch to work one out with them. Just tell them what you can afford to pay on weekly/monthly basis and this is usually accepted unless you owe a massive ammount!

hth

TheFallenMadonna · 31/07/2008 19:40

Fab thanks. It won't be a vast amount, but would rather do it gently...

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