I am in serious financial trouble and need some advice.
My family and I have been served a social security overpayment notice for the amount of close to $16,000. The ssa is going to be cancelling my son’s disability and I am trying to work on a payment arrangement with them. As I am not working and making as much as I used to, do you know anything about how they go about collecting the monies they say that you owe and the percentages of what you have to pay back if you do not have any assets and you are living with your parents whom won’t say you are helping with the rent or expenses?
Also, not to help matters we don’t have checking accounts or anything of the sort anymore because we have given up everything to try and make it right now. Any advice on setting up arrangements or how others have dealt with this would be great.
I’m so sorry to hear this unfolded the way it did. Social Security overpayments are a pain because generally people are not in a position to repay money owed. Unfortunately the Social Security Administration does have some far reaching powers and if you don’t do anything they will intercept your tax refunds and garnish your wages. They will also report the unpaid debt to the credit bureaus.
The better thing to do would be to call the Social Security Administration and negotiate a repayment plan for the overage. If you proactively contact them and work to come up with an affordable plan it gives you the best chance of developing a repayment plan you can meet. Just remember to not over promise a monthly payment you can’t consistently make.
If you do not agree that you have been overpaid, or if you believe the amount is incorrect, you can appeal by filing form SSA-561. You have 60 days from the date you received the original overpayment notice to file an appeal.
If they’ve already given you a number to contact them on, use that. But if not you could try 1-800-772-1213, 7 a.m. to 7 p.m., Monday through Friday.
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