[California] Please wait for the overpayment letter (tip from EDD overpayment agent)

[nodu]

TLDR; 1) DO NOT send overpayment $$$ to P.O.Box 2) Wait for the overpayment letter in the mail and pay back the $$$ using the online portal.

I had to pay back the overpayment due to the auto-certification by CA EDD. Believe me, it's been an absolute nightmare. I know many of you are in the same struggle with EDD, that's why I'm sharing this post.

After months of trying to establish contact, I eventually got through an agent who's very knowledgeable.

Tue 12/22/20 4:30pm- I called the Benefit Overpayment Collection Section at 1-800-676-5737, got through a live agent after jumping many hoops of automated voice prompts (Check for address to send payment, eventually press 0 for representative).

This is what he recommends:

**1) Absolutely DO NOT send the money to the overpayment P.O.Box (PO Box 66000, Anaheim, CA 92806) as suggested by a different EDD rep. Because one of two things will happen since no overpayment account has been set up yet, they won't know where to place the money. a) They send the check right back to you. b) Or worst, they deposit the check into a temporary holding account and your money will be suspended in there, causing even bigger problems.

*2) Wait for the overpayment letter to come in the mail. Due to excess backlog, they haven't started to set up the overpayment accounts and send out the letters yet but they are getting close. Once you receive the overpayment letter, you can submit the Letter and Claimant ID online, and pay back the overpayment directly from your Bank of America EDD Debit Card. Safe and easy. But now it's just a waiting game for them to do their part in order to issue you the letter.

3) Although he understands everyone is concerned about the tax deadline, he cannot give out any legal tax advise.

This has been an unnecessarily difficult journey but please don't spend the money and just wait for the overpayment letter to come in the mail.

Hope this helps!

 

[varzr]

@nodu I'm on pua and they notified me of overpayment an lowered my bennifit to $89 a week an absolute discracrce in my book as if anyone can live off that.
I turned in 2yrs of taxes not sure how they messed that up.

But they've been collecting overpayment$$$ from me and I've never received an email or notice in my acct.

It just popped up one day that I had an op balance.

 

[lordsmrfixit]

@varzr Is that too pay off the over payment? Or do you have to pay off the over payment and survive off of $90 a week?

 

[anamarina]

@nodu I’m in the same boat. That did an incorrect auto certification back in May (during weeks I wasn’t eligible) so I was mistakingly given $4200 dollars. I’ve tried to cal multiple times since May and can never get a live person.
I just want to return the money! I just got a 1099G tax form in the mail that includes the $4200, so now I’m even more eager to get this rectified!

 

[reaper21]

@anamarina i also just received 1099G tax form. Have you decided what to do about the overpayment?

 

[anamarina]

@reaper21 Haven’t made any decisions yet! Just came back on here hoping to find an answer or recommendation... I’m really not sure how to proceed

 

[nodu]

@anamarina I also just received the 1099G tax form but no overpayment letter yet. I'm holding off on paying my taxes until the 4/15/21 deadline, hoping that I'll receive the overpayment letter before then. If I still don't receive the overpayment letter by then, worst case scenario is I'd have to pay taxes on the $7000 overpayment, then find a way to get the tax money refunded next year for 2021 taxes. A huge headache, but that's the only solution I can think of right now without further complicating the tax situation with the IRS.

 

[seymoure]

@nodu Good post!

I went through this exact same thing. They auto certified and I was sent back pay 2 times with my old company.

I called and basically said the same thing BUT said depending on a claimants situation you may granted a forgiveness on the over payment.

She referred me to this page and said to wait for the letter then file to a waiver.

Here is the link

https://edd.ca.gov/Unemployment/ret...minder3&utm_medium=sms&utm_campaign=retrocert

"To be considered for a waiver, you must complete the Personal Financial Statement, which will be mailed to you along with the Notice of Potential Overpayment. The information you provide on the statement will be used to determine whether an overpayment would cause extraordinary hardship."

"ou received a Notice of Overpayment (DE 1444) because you were paid Unemployment Insurance (UI) benefits that you were not eligible for. Visit Benefit Overpayment Services for information on how to repay an overpayment.

The EDD classifies overpayments into two categories: fraud or non-fraud.

Fraud: If the EDD finds that you intentionally gave false information or withheld information and, as a result, received benefits that you should not have received, the overpayment is considered fraud. Withholding or giving false information to obtain benefits is a serious offense that can result in penalties and criminal prosecution. With a fraud overpayment, you can receive a penalty equal to 30 percent of the overpayment amount. Additionally, you can be disqualified for 5 to 23 weeks. You must repay fraud overpayments and penalties.

Non-Fraud: If you received benefits you were not eligible for and the overpayment was not your fault, the overpayment is considered non-fraud. You will receive a notice telling you if the overpayment must be repaid.

If you do not repay your overpayment quickly, the EDD can deduct the money from your future UI or State Disability Insurance benefits. The EDD can also:

• Reduce or withhold your federal and state income tax refunds.
• Reduce or withhold your state lottery winnings.
• Reduce or withhold other money the State owes you.
• File a claim against you in court.
• Charge you court costs and interest.
• Record a lien on your property."

I hope this info helps

 

[varzr]

@nodu I have to pay off overpayment an survive on the $89 a week

 

[cloelace]

@varzr How do they make you pay back? What are the penalties of not doing so?

 

[jean100]

@cloelace Interest and they take your tax returns until it's paid. I'm talking from experience.

 

[xcalibre]

@nodu I’m just concerned I’ll be hit with interest or fees. I was unemployed for the first time but only for two weeks. They auto certified my benefits without me knowing and I just want to give them the money back

 

[mavarick1]

@xcalibre have you called?

 

[xcalibre]

@mavarick1 I can’t get thru to anyone

 

[ldw0021]

@nodu Same thing happened to me in April . I ended up receiving a letter of overpayment and sent off a check . My check was cashed and no follow up letter received .

 

[anamarina]

@ldw0021 Interesting you’ve received an overpayment letter. I’m going to hold off filing my taxes and cross my fingers that I get a letter in the next month.

 

[ldw0021]

@anamarina My overpayment wasn’t even discounted on my tax statement from the EDD . So I’m paying taxes on it even though I sent payment .

 

[anamarina]

@ldw0021
So the headache never ends

 

[bukovica1986]

@nodu Same thing happened to me. I can’t get through to anyone and I can’t really afford to pay a bunch of fees and taxes on something like this. I have all the money they mistakenly sent and I just want to give it back. Is there any way they’ll get these letters out before tax season officially kicks off?

 

[reaper21]

@nodu any updates on what to do?