Hb deductions from other LA’s

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  • #21642
    rexking
    Participant

    I was just wondering if any authorities are making deductions of benefit from claimants in their area in respect of overpayments that are outstanding at another authority.
    We are currently making deductions for another authority but they have refused to do the same for us and I wondered if this is a common issue ❓

    #5609
    Kay_Tade
    Participant

    Sorry but as this method of recovery is not covered by the regs then the LA is well within their right to refuse your request, though it’s good practice to agree to a request.

    I would suggest, as the LA have refused to respond in kind to your “good practice”, you should let them know you could cease the current recovery arrangement you bothh have. 😈

    #5610
    Anonymous
    Guest

    We are currently doing this with a couple of our neighbouring authorities and also identified a case further afield where the authority are recovering the overpayments.

    I cannot understand the arrangement between the two that you have explained, surely if you have agreed as “good practice” to recover one of their overpayments, the process should be returned.

    Can i ask how other authorities are carrying out this arrangement?

    We have set up that the LA who recovers the overpayment will receive payment once the full amount is recovered for smaller debts, and receive 6-monthly payments for larger debts.

    #5611
    Kay_Tade
    Participant

    [quote:ecfa367e6e=”featherstonec”]I cannot understand the arrangement between the two that you have explained, surely if you have agreed as “good practice” to recover one of their overpayments, the process should be returned.[/quote:ecfa367e6e]

    That is exactly the reason why most of the authorities I have worked with refuse to get into a recovery arrangement plan with another authority. As there is nothing legally binding there is not much an authority can do if their request is refused, even though they may already have an arrangement with the same LA. 🙁

    But I still think it is a workable and handy arrangement(All parties willing).

    #5612
    mcmahow
    Participant

    For info:

    According to the HB/CTB DWP Overpayment guide, under the title Methods of Recovery and Methods available section 4.100 it does say that you can apply to another LA to ask them to deduct the overpayment from the claimant’s ongoing HB/CTB entitlement in their area.

    We have done in our area and we have recovered a few on behalf of other LA’s.

    #5613
    Anonymous
    Guest

    I would like to offer this but first need to clarify how we recover another LA’s debtors’ HB debt. Can someone who has Academy tell me how it is practically done or pass on any contact details of someone who knows, so we can find out? That would be really appreciated.

    We don’t currently offer it so we haven’t requested it from others but feel that we should offer it, and can only then request it from others.

    #5614
    Anonymous
    Guest

    *bump*

    I have recently started to do this – can someone tell me how you “pay” the other authority the money you have recovered.

    Is it an adjustment that you do in Northgate (I am assuming it is but would not expect it to be a manual payment) or
    do you raise a cheque manually via your finance department and then send that out, and if this is the case is there anything else that has to be done in Northgate once the recovery fropm entitlement has ceased.

    #5615
    trishc
    Participant

    Assuming you have already put the other LA’s OP onto Northgate as a manual under, then yes, once you have actually recovered some or all of it, your finance dept sends them a cheque. No, you don’t do anything else to Northgate (or it gets confused).

    #5616
    Anonymous
    Guest

    Ok – thanks trish – thats very helpful

    #5617
    Anonymous
    Guest

    The main reason why some LA’s dont do this is down to resource and of course the bigger LA’s will always be taking a hit by the smaller LA’s.

    There again, it is guaranteed recovery so it will look good in your figures.

    It has has its pros and cons

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