TN 20 (10-97)

GN 02210.216 Debtor Alleges Payment - DCR Action

A. Procedure - Debtor Alleges Payment

When a debtor alleges a payment which is not reflected on RECOOP, find out the type of payment (credit card, Treasury Offset Program (TOP) collection, returned benefit check (ask if check was endorsed), refund via personal check or money order) and when and where payment was made.

NOTE: Regardless of the method of the alleged payment, if the debtor has been selected for or referred to TOP, explain that the balance of the debt is subject to offsets until it is collected (see GN 02201.029 for an explanation of TOP). Negotiate repayment of any balance.

B. Procedure - Returned Unendorsed Benefit Check

If an unendorsed benefit check is returned:

  • Suspend billing where necessary until the allegation is resolved, and

  • Refer to the DS for resolution

C. Procedure - Credit Card Payment

For credit card payment, refer to the Remittance and Accounting Unit (RAU) to determine if authorization for payment was obtained.

D. Procedure - Check, Money Order or Endorsed Benefit Check

Follow the procedure below for a check, money order or endorsed benefit check.

1. Refund Made Within Last 10 Days

If refund was made within the last 10 days, diary for 5 days and phone the debtor if there is still no record of the payment.

2. Refund Made More than 10 Days Ago

If refund was made more than 10 days ago:

  • Refer to the Remittance Cash Clerk to check the suspense file by both account number and debtor name.

  • If the payment is not in the file, refer to the DS for resolution in accordance with GN 02403.150.

3. TOP Payment

For a TOP payment:

  • Obtain a Collection Query, which displays information about the status of TOP and credit bureau reporting (see MSOM DMS 014.007 for more details on the Collection Query).

  • If any balance remains, negotiate payment and explain that the offset only reduced the debt owed.

  • If no offset is shown, refer to the DS for resolution.

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GN 02210.216 - Debtor Alleges Payment - DCR Action - 07/27/2012
Batch run: 07/27/2012