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Social Security Overpayments: Your Rights
by: New Orleans Legal Assistance   LSC LOGO
Q.Social Security says I have to pay money back.  Can it do that?
A.The Social Security Administration has a right to try to get repayment of benefts it gave you by mistake.  The agency can try to get the money back even if it wasn't your fault, or even if repayment hurts you financially.
Links:  For more information, visit the Social Security Administration's website, www.ssa.gov.
Q.What are my rights?
A.When the Social Security Administration sends you a letter saying you owe money for overpaid benefits, you have several choices:  (1)  Appeal the overpayment; (2)  Request a waiver ("forgiveness" of the debt); (3)  Appeal the overpayment AND request a waiver; or (4) Arrange a repayment schedule.
Q.What happens if I do nothing?
A.If you do nothing, the Social Security Administration will make you pay the entire amount back.  If you are getting monthly benefits, the agency will usually lower your monthly amount to recover the overpayment over time.  Sometimes the agency has the right to stop making monthly payments at all, for a time.  Social Security can also take your income tax refund. 
Q.How do I appeal or request a waiver?
A.

If you think the Social Security Administration has made a mistake in asking you to pay money back, or you think the amount is too much, you should consider appealing.  Even if you agree that the agency overpaid you, and you agree that the amount is correct, you also have the right to request a waiver.  These are two separate things, and you have to fill out separate forms with the agency to do both.  Call the agency at its toll-free number, 1-800-772-1213, or go to a local office.  You should act quickly.  Read the overpayment notice carefully because it explains the limited time you have to appeal.  

Q.

When do I have a right to a waiver?

A.

The Social Security Administration should approve your request not to pay money back if:  (1)  You were without fault in making the overpayment happen, and (2)  Adjustment or repayment would be unfair in some way or the overpaid amount is very small. 

The agency should find you "without fault" if:  (1) Your medical problems or disability kept you from understanding your responsibilities or the agency's rules (for example, you had a mental or emotional condition that affected your memory or understanding); (2) You did not know about the facts leading to the overpayment (for example, someone else was your payee and responsible for handling your money); or (3) Someone gave you wrong information.  Other things may also show that you were "without fault." 

The agency should decide that making you pay the money back is unfair if:  (1) The money was really received by a husband or wife that you were not living with at the time; (2) You would not be able to pay for food, clothing, medical care, or other necessary expenses if you had to pay the money back; or (3) In receiving and relying on the money, you changed your position for the worse or gave up a valuable right.  Other things may also make repayment or adjusting unfair.

Q.What if the Social Security Administration will not give me a waiver, or is taking too much money out of my monthly check? 
A.If the agency refuses to give you a waiver, you have the right to appeal within the 60 day time limit the agency gives.  If you cannot pay your bills, you should also talk with a Social Security Administration worker about adjusting your benefits so that the agency does not take so much money out each month.  You may also want to get a lawyer's help.  You may be eligible for free legal services from a law office near you.  Also, if the overpayment was caused by someone else who had a responsibility to help you (for example, a guardian or a representative payee), you may have a legal claim against that person. 
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Last Reviewed On: 08/17/02
 
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