Tax credits have an overpayment from year 07/08 and another 09/10.
The historic one has not been repaid / agreed repayment yet - they are still considering my BR details. They have been unable to recover it from my current award as its not from the previous years payments.
The other however is being recovered direct by reducing my current payments by £5 a week (i am on income support since losing my job).
I told them i was BR then informed them i was disharged. They have continued to take payments from me , when i contactedthem today they say they will not consider my situation further until i send them my discharge certificate from the court. Only then they will decide if either/both of them will be wiped. And if they will stoptaking payments from me + actually owe me the money back which they have been taking since April.
Told them i cant afford to buy the certificate. They wont accept print out from insolvency register.
How much is the overpayment? Set against 60 pounds it might be worth getting the discharge cert if it means those debts are wiped off too & you get the money back you are already paying.
the 07/08 (aprox 500/600) one is not currently being recoved as its historical it cant be taken from my current award - obviously they will have asked for repayment originally, prior to my BR which was Nov 09.
the 09/10 (Also aprox £600 remaining) was for the award period of up until April. I was BR Nov 11th 09 , discharged April 14th 10. Im not sure exactly when they will class as this one having been formally requested for repayment. But I do have a tax cedit award notice from 09 (prior to BR date) showing that I have the overpayment and it will be recovered from the next years award.
The reason I had the overpayment is because when my agency work ended they gave me the "4 week run on" of tax cred which i was entitled to, but also still made a couple of payments into my bank in the period which they already gave me the run on for. (if that makes sense) So they knew this would create an overpayment.
It possibly would be worth getting the £60 to buy the certificate they want (eventhough no one else has needed it from me) but they wont tell me if either of them will written off or not , wont tell me if they will stop taking payments from my current award , or if they will repay what they took from me since april if they infact should not hav taken it. So not sure what to do.
I get income support now due to my work ending and i have a pre school child , so cant afford to buy it if i dont need to (if it isnt going to benefit me)
Basically if the formal repayment request was made after the date of the bankruptcy then the amount will not be included in the bankruptcy and will still have to be repayed in some way
early discharge, tax credits still taking payment
Posted - 28 August 2010 : 10:17:35
