I PCS’d back to US in Sept 2019, just got a debt letter from DFAS for $17K!

nimbus

New member
I’m a civilian, and have been at this same address ever since I returned 4+ yrs ago. And this is the first time they’re telling me I have a debt? AND, I retired 2.5 years ago…so it’s not like they couldn’t find me for the first 1.5 years after I returned. And, if the money was really a big deal, why am I getting my pension?

I just got this letter today, and haven’t made any calls or done anything (do I even have any paperwork after this long?), but I’m wondering if anyone else has heard of this? Any ideas?

I found this link on another website, about asking for a waiver:

https://www.dfas.mil/civilianemployees/debt/debtwaivers/#:~:text=waiver%20is%20approved.-,The%20Application%20Process,the%20VA%20local%20Payroll%20Office, but it seems to be for people who are currently employed.

I also saw that these debts go away after 5 yrs and they take 120 points off your credit score (I’m at about 806 now, so don’t care). And 5 years…shoot, it’s been over 4 already, I can wait them out.

Thanks for your ideas/comments/suggestions. P.S. I’ve never contacted my congressperson before, but am starting to wonder if this might be the time! ;-)
 
@makubexx Hi all, I've managed to get thru to 5 different people at DFAS and , though friendly, no one knows anything. I just submitted a request to my Representative in the House (Don Beyer, I'm in VA). To find out how to do this for your representative, go to beyer.house.gov (put in your representative's last name!) and then look for services, help with a federal agency. I'll keep you all posted as I go thru this process.

BTW, the last person I talked to at DFAS travel said, "Usually when it's this old, it's because someone was going back through your records and found a mistake." And that's my problem, 4 years later?!
 
@nimbus Again, it sucks they didn’t catch it early but if it’s legitimate, you’d still owe it. Best case, you’ll get them to incorporate an improvement into the system to catch these sooner.
 
@makubexx That's as may be, but I've made 10 different phone calls & no one has been able to tell me what it's for. And a few tell me there's nothing showing under my SSN. So I'm definitely not paying until they can tell me what it's for & why it's taken so long.
 
@nimbus I agree with you. You should 100% make sure the debt is validated as legitimate. Just making sure everyone is aware that you can’t escape a legitimate debt unless it passes some type of statute of limitations.
 
@nimbus Are you retired Navy? There was a big discussion a few months back about Navy retirees being hit with debts. If you’re on FB, check out the Military Retirement FB groups. It was in there. I forget what it was concerning. Definitely contact your Congress member.
 
@nimbus The debt doesn't just go away after five years. Once it gets transferred to treasury collections, they have the ability to offset your tax refund to collect; so you want to adjust your withholding so that you don't have a large tax refund each year. There is no statute of limitations for tax refund offsets, so long as you were notified of the debt prior to 10 years after it was incurred (See 31 CFR § 285.2).

Also, current DoD civilians with a delinquent DFAS debt will have the debt forwarded to the individual's current pay servicing office, who can potentially initiate involuntary salary offset. Involuntary salary offset against a current Defense Department civilian employee may not exceed 15 percent of disposable pay, unless the individual provides written consent for deduction of a greater amount.
 
Thanks!! I'm civilian. DoD, then army in Germany, back to DoD.

I've only looked on reddit, but fb is next.
 
@nimbus Submit an “askDFAS” ticket. If you were directed to pay through Pay.gov, include the reference number on the letter in the ticket.

Your congressman will just send a congressional inquiry to DFAS. Granted, they respond to them faster than they respond to you, but no difference in outcome.

Debt and claims inquiry #1-866-912-6488 can also assist.

Yours truly,
Milpay Tech in Charge
 
@doge9000 This is one of the 10 phone calls I've already made. I am "out of service" (retired) and they couldn't help. I'll try an askDFAS now. Thank you.
 
Hi all! Well, after sending in an askDFAS on Friday, I heard back today! GOOD NEWS! :).

Got an email that my request had been updated. A few interesting quotations: “I would like to apologize for this situation. I totally take responsibility for that issue. I am working on getting this cancelled and worked out with my lead and supervisor. We do have your debt paid in full and have that voucher for it.”

Doesn’t give me much faith in their system, but whatever, it’s over.

I’ll print all this out just in case the collections agency calls me!

Thanks everyone for a your suggestions. AND ESPECIALLY, the suggestion to contact askDFAS! I’m amazed at how quickly they got back to me.

Best!
 

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