Overpayments and Collections
A non-fault overpayment occurs when you receive UC benefits you are not entitled to receive through no fault of your own. The overpaid amount will be deducted from future benefit payments during the Benefit Year when the overpayment occurred and the three-year period immediately following that Benefit Year. The deductions may not exceed one-third of your WBR when the deductions are made. However, if the total overpayment is $99 or less, the full weekly benefit amount may be applied to the overpayment. You may repay the entire overpayment in full in order to ensure that future benefit payments will not be reduced or delayed.
A fault overpayment occurs when you receive UC benefits to which you are not entitled by reason of your fault.
You must repay a fault overpayment with interest.
The department will apply 100% of your future benefits towards a fault overpayment until the overpayment is recovered or the recoupment period ends. Fault overpayments on AB Dates prior to June 12, 2012, may be recovered until the end of the six-year period following the Benefit Year when the overpayment occurred. AB Dates of June 17, 2012 or later have a ten-year recoupment period.
The department may file a lien against your real and personal property for a fault overpayment.
A fraud overpayment occurs when you knowingly give false information or knowingly withhold material facts to obtain UC benefits or increase your benefits. The recovery provisions that apply to fault overpayments also apply to fraud overpayments. In addition:
You may be assigned penalty weeks. A penalty week is a week when you are unemployed and otherwise eligible to receive UC, but benefits are denied because of past fraud.
You may be charged a penalty equal to 15% of the amount of the overpaid benefits.
Both federal law and state law allow the department to garnish your federal income tax refund to recover a fraud overpayment.
You may be criminally prosecuted. Prosecution could result in a fine, imprisonment, restitution and loss of future benefits. (See the Warning in UC Introduction.)
Repaying An Overpayment: When repaying an overpayment, interest or penalties, please send a check or money order payable to the UC Fund. Do not send cash. Include your full name, last four digits of your Social Security number and daytime telephone number on the check or money order. Your cancelled check or money order will be your receipt. All payments should be sent to Office of UC Benefits Policy, UI Payment Services, P.O. Box 67503, Harrisburg, PA 17106-7503.
You may also use your Visa, MasterCard, Discover, or American Express card to make a payment on the department’s convenient and secure online payment site. To make online payments, go to www.uc.pa.gov and choose the link, “View/Pay My Overpayment Online.” You will need your Social Security number and PIN. If paying online, a convenience fee will be charged to cover the department’s administrative costs.
Dishonored Check Penalty: If you give the department a check that is not honored by your bank, you will be charged a penalty. The dishonored check penalty is $10 for dishonored checks less than or equal to $10, the face value of the check for checks between $11 and $99, and $100 for checks of $100 or more.