Identification Number:
GN 02210 TN 61
Intended Audience:See Transmittal Sheet
Originating Office:DCBFM OFPO
Title:Methods of Recovery for Title II, Title VIII, Title XVI, and Title XVIII Overpayments - Part I
Type:POMS Transmittals
Program:All Programs
Link To Reference:
 

PROGRAM OPERATIONS MANUAL SYSTEM
Part GN – General
Chapter 022 – Overpayments
Subchapter 10 – Methods of Recovery for Title II, Title VIII, Title XVI, and Title XVIII Overpayments - Part I
Transmittal No. 61, 07/26/2021

Audience

PSC: BA, CCRE, CS, DCR, DS, LDCR, LDS, PETE, RECONR, SCPS, TSA, TST;
OCO-OEIO: BTE, CS, EIE, FCR, PETL, RECONE, RECOVR;
OCO-ODO: BTE, CCE, CST, CTE, CTE TE, DSE, PAS, PETE, PETL, RCOVTA, RECOVR;
FO/TSC: CS, CS TII, CS TXVI, CSR, CTE, DRT, FR, OA, OS, RR, TA, TSC-CSR;

Originating Component

OFPO

Effective Date

Upon Receipt

Background

The Office of Financial Policy and Operations, Office of Payment and Recovery Policy conducted editorial review of the procedure to reflect current best practices.

 

Summary of Changes

GN 02210.214 Debtor Willing to Repay

 

Removed instructions to establish a diary and the follow-up action for that diary, from :

• Section A, 2nd bullet in Step 6

• Section A, Step 7

• Section B, Steps 7 through 10

These diaries are not necessary because the inputs from the prior steps will go to RECOOP.  RECOOP will automatically send a series of notices as a reminder.

  • Changed the mailing address to the Lockbox address

GN 02210.214 Debtor Willing to Repay

A. Debtor agrees to full refund in a lump sum

When a debtor in non-pay status agrees to repay the full amount of a debt in a lump sum, follow the steps in this chart.

Step

Action

1

Explain that payment is due immediately.

2

If the debtor wants to pay by check or money order, instruct the debtor to:

  • Make the check or money order payable to Social Security Administration (SSA);

  • Include the full debt account number/Social Security number (SSN) on the check or money order; and

  • Enclose the payment stub and send the check or money order in the pre-addressed return envelope.

  • If the debtor does not have a pre-addressed envelope, provide the mailing address:

    Social Security Administration P.O. Box 5480
    Portland, OR 97228-9816

    Note: Inform the caller that this address is for payments only. Do not send correspondence to this address.

3

If the debtor wants to make a full refund via credit card, follow GN 02210.205.

4

If a debtor requests future payment, negotiate the earliest date possible. Under no circumstance, agree to a date that exceeds six months into the future. Obtain a Collection Query (see MS 01114.007).

Explain to the debtor that the Treasury Offset Program (TOP) and credit bureau reporting (if applicable) selects the debtor if we do not receive repayment within 60 days after the date of the due process notice. If the 60-day period expired, explain that the collection tools are already in effect, immediate full refund prevents offset, and updates the credit report to show a debt balance of zero (for non-BIC “C” Title II and Title XVI debtors). (For reporting Title XVI debts to credit bureaus, see SI 02220.014.)

5

If proposed due date for full repayment is more than six months in the future, negotiate an installment agreement and follow GN 02210.214B.

6

If the proposed due date for full refund is less than six months in the future, and TOP and credit bureau reporting (if applicable) has not selected the debtor , explain that we use those collection tools if we do not receive repayment within 60 days after the date of the due process notice. If the 60-day period expired, explain that the collection tools are already in effect and that immediate full refund prevents offset and updates the credit report to show a debt balance of zero (for non-BIC “C” Title II and Title XVI debtors.) (For reporting Title XVI debts to credit bureaus, see SI 02220.014.)

 

 

B. Debtor agrees to installment payments

When a debtor in non-pay status agrees to repay by installments, follow the steps in this chart.

Step

Action

1

Negotiate an installment amount that satisfies the debt within 12 months.

2

If unsuccessful, negotiate an installment amount that permits recovery within 36 months.

3

If not possible, negotiate the highest installment amount that is not less than $10.00 per month for both Title II and Title XVI debts.

4

Once the debtor agrees to an amount:

  • Negotiate the due date for the payment. If we referred the debtor for TOP and credit bureau reporting, explain that those collection tools remain in effect.

  • Advise the debtor that installment payments will stop offset if it has begun. SSA will still accept the payments but offset will continue. Explain that SSA will not refund any offset monies (except for excess collection).

  • If TOP and credit bureau reporting (if applicable) selects the debtor but has not yet been referred, explain that we must receive payment within 60 days of the date of the due process notice, or we will use the collection tools.

  • Advise the debtor that the debt will remain eligible for TOP and credit bureau reporting until we receive a payment and will be inactivated only as long as payments are made according to the agreement. However, upon default of one or more installment payments, the system will refer the debt to Treasury for collection, where it will remain until the debt is paid in full.

  • Advise the debtor to make the payment by check or money order payable to SSA;

  • Show the full debt account number/SSN on the check or money order; and

  • Mail the first installment using the pre-addressed return envelope and payment stub, if available.

  • If the debtor does not have a pre-addressed envelope, provide the mailing address:

    Social Security Administration
    P.O. Box 5480
    Portland, OR 97228-9816

    Note: Inform the caller that this address is for payments only. Do not send correspondence to this address.

5

Record the results of the conversation to the DMS RMKS screen. (See DMS 009.003).

6

For Title II, input the installment amount via the Record Installment Agreement (DRIN) screen.

For Title XVI, input the installment amount via a G TAC by completing the MSSICS Overpayment Decisions (UOPD) screen and select the RECOVER BY INSTALLMENTS Decision. (See SM 01311.235 and MS 00304.008).

7

Consider renegotiation of an existing installment amount when there are missing installments or remittances that are less than the established installment amount. When the debtor misses installments or pays less than the established amount, mention that we will use TOP and credit bureau reporting (if applicable) if the debt meets all criteria (for criteria for the collection tools, see GN 02201.030, GN 02201.031, and GN 02201.032.)

8

If a debtor wants to pay monthly installments via credit card, follow GN 02210.205.

 

 

 

 

 

 

 

 


GN 02210 TN 61 - Methods of Recovery for Title II, Title VIII, Title XVI, and Title XVIII Overpayments - Part I - 7/26/2021