New Streamlined Waiver Process for Certain Overpayment Debts

Our Office of Communications prepared an important announcement about overpayment debts that we would like to share with you.

At the onset of the COVID-19 pandemic, we took unprecedented measures to protect both the public and our employees. These measures included closing our more than 1,200 field offices to in-person service, allowing our employees to work remotely, and pausing certain actions that could have resulted in a reduction, suspension, or termination of benefits or payments under titles II, VIII, or XVI of the Social Security Act (Act).

The decision to defer certain workloads and resulting overpayment debt collections protected benefits during a critical time in the COVID-19 pandemic. Examples of deferred workloads include Supplemental Security Income (SSI) Redeterminations; Limited Issues involving SSI entitlement; SSI and Title II Post-eligibility changes; Medical CDR Decisions (Cessations); Work CDR Decisions (Cessations); Age 18 Redeterminations; Disability Hearing Unit Determinations; certain Insufficient Evidence Determinations; Expedited Reinstatement; Non-disability hearings; and late filing and failure to appear dismissals.

Beginning on August 31, 2020, we resumed these workloads, including certain overpayment debt collections that we have not manually processed since mid-March. As we resume these workloads, we anticipate identifying a number of overpayments that we would have stopped earlier had we not deferred certain workloads due to the COVID-19 pandemic.

In our continued effort to address the effects of the COVID-19 pandemic, our Commissioner issued a new rule to streamline the overpayment waiver process for qualifying overpayments. Under this rule, we may waive recovery of certain overpayment debts accrued between March 1 and September 30, 2020, using a more efficient waiver process for qualifying debts we identify by December 31, 2020.

We will not apply the streamlined waiver process to overpayment debts resulting from fraud or similar fault, or involving misuse of benefits by a representative payee, nor will the process apply to debts we processed timely.

It is important to note that under our rules individuals still need to request a waiver.  Individuals may make a verbal request over the phone, and our local offices will assist them.  If the qualifying overpayment accrued between March 1 and September 30, 2020, we will presume the individual was without fault in causing the overpayment and will determine recovery would be against equity and good conscience, without requiring the individual to provide additional information.  Overpayment notices we mail beginning August 31, 2020, will include language advising recipients they may call their local Social Security office to request a waiver.  The telephone number for the local office also will be in the overpayment notice and is available at www.ssa.gov/locator on our website.

Individuals may also request a waiver for overpayment debts that do not qualify under our new rule, although the normal waiver process would apply.

Please encourage your clients to call their local office to request a waiver if they think they have a qualifying overpayment debt.