Have been overpaid by work, now they want the money back and I don't have it, where do I stand?

[greenbeanie]

I have just had a call from payroll at a company that I used to do freelance inputting work for. I used to do the work and email an invoice which they then paid into my bank account. I haven't worked for them since February this year.

They called today to say that the february invoice they put through twice on the 26nd february and again on the 5th March, for the amount of £239. I'm afraid I didn't notice as I was on holiday at the time and I suspect it got spent, and I then had a spell in hospital so did not really keep on top of things.

Anyway, 7 months on they are requesting the money back, I have just started maternity leave and really cannot afford to pay the money back at the moment. What are my options? If anyone can offer any advice I would be really grateful.

Agree to pay back in instalments, like any other debt.

Fistly check your bank statements to make sure this is what happened and then phone them up and agree a payment plan. 6 months is a long time for them to notice this error!!

You do have to pay it back, they should agree to you repaying in installments though.

Thanks for the advice everyone. I just can't believe that it took them so long to notice (although I do appreciate I should have picked it up too). I shall give them a call and try to arrange installments.

Be aware that you don't have the right to pay back in installments. Your old employer can demand it back in full and take it further if you can't pay. Always worth asking though, and most are reasonable when it comes to repayments.

I had an overpayment from my current employer that didn't come to light until I'd been working for them for three years - and the error had been a miscalculated salary advance that had been my very first payment from them!

They aren't your employer; they are your client, so I can't see that rules about overpaid salary have any relevance here. I would suggest you prepare a repayment schedule and offer them this. Unless they want to try the small claims court, they can't really do much else than accept your offer of instalments.