Overpayments and Collections
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.
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. Both federal and state law allow the department to intercept your federal income tax refund if your fault overpayment is due to under-reported or unreported earnings.
- The department may file a lien against your real and personal property for a fault overpayment.
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 intercept 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.
- The department may file a lien against your real and personal property for a fault
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. Please include your full name, last four digits of your Social Security number and phone number on the check or money order. Your canceled check or money order will be your receipt. All payments should be sent to Office of UC Benefits, UI Payment Services, P.O. Box 67503, Harrisburg, PA 17106-7503.
You may also use your Visa, MasterCard, Discover, or American Express card within the UC System to make payments toward an overpayment of UC benefits. You must log in with your username and password to access the site. If paying online, a convenience fee will be charged to cover the department's administrative costs.
PUA overpayments (including PUA-related FPUC and LWA benefits) must be paid by cashier's check, certified check, or money order and mailed to Office of UC Benefits, UI Payment Services, P.O. Box 67503, Harrisburg, PA 17106-7503.
Please visit the Online Overpayment FAQs for more information.
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.