Tax Credits Overpayment Question

[ReformedCharacter]

Can anyone tell me if I'll receive my tax credits award next year if I'm still paying back an overpayment?

I'm wondering if they'll take a lump sum off of what we owe rather than pay it to us.

I don't know but you could telephone them and ask what they normally do.

They started paying me one year and were paying me twice a week - I didn't do anything as tecn they hadn't overpaid as the years amoutn hadn't gone into my account just 8 months in four - well they must have reaslied as then they reduced my payments to equate to the correct amount for the rest of the year - it is a yealry amount and they pay in instalemtns.

Ask them and look at martin lewis website

Thanks Ivykaty

Have had a quick look at MSE website but the Tax Credits thread is sooooo long - I think it started in 2005 or something. Can't be arsed to wade through it all for info that might not even be there.

I know I'll have to phone them and ask; was just hoping someone could save me going through all their security checks.

Thanks for replying

It depends if your award is for more then the over payment.If your award is for more they will take away the over payment and then divide the rest over the year.

Oops, sorry. Only just seen your reply changearound.

No, unfortunately my award won't cover what I owe.

I'll wait for the renewal and then ring them to ask if they can give me longer to repay them. I can't face another year of being on the breadline because of this.

The only circumstances under which your whole award will go towards recovery is if you receive the family element only (if you normally get £10.50 ish a week).

Otherwise, cross year recovery is at a maximum rate of 20%, or ten percent if you have no reductions in your award due to income. You are suffering hardship, reduced recovery can be considered.

As long as you remain in your current award ((ie don't change from joint to single or vice versa) the recovery will continue via your award.

See here for confirmation

if you are suffering hardship.

Bloody summer time clock changes mess with your head.

Thanks snigger. Will look at link in a minute

I think our award in the basic £10.50 family element, but not sure. Our circumstances changed last year and we were overpaid due to TC's error.

I don't know if they will reduce the payments for us as they've already reduced them once, earlier this year. We were originally paying back £60 a month, but they changed it to £30 due to hardship. The problem is that while I'm getting nothing in tax credits we really can't spare anything. I was hoping that they might use our award to pay off what we owe, effectively banning us for as many years as it takes to clear the debt.