The process modules in PSC 1-6 or the RAU in ODO receives debit/credit information and claims packages for each debit/credit listed (except for C-stops where Treasury sends the claims packages directly to the claimant). The claims packages are forwarded to the appropriate module for the following action:

1. a. 

   Record the overpayment using the DMS, SMED screen.

2. b. 

   Send an overpayment notice to the payee providing the proposed recovery action and the right to reconsideration, waiver, personal conference, or a different rate of adjustment (or refund by installment). Refer to GN 02210.000.

3. c. 

   Begin recovery of the overpaid amount following normal recovery procedures.

4. d. 

   File the blank FMS-1133, check photocopies and the FMS-3858 for future use if claimant protests the overpayment.

5. e. 

   Annotate PHUS via SSA-1257-U2 with the amount of the courtesy disbursement/replacement check (see SM 00630.210).

6. f. 

   After 60 days, if an appeal is not received or an overpayment is not protested, add the phrase, “DCN Abuse - Input as C-stop through mm/yy” in the SPMSG field. Additional DCN abuse should not occur during this period; however, if it does, change the date to reflect the new 24-month period.

   EXAMPLE: A claimant incurs a DCN in July, 2006. Because the claimant has abused the system, the warning statement should be put in Remarks/Special Message field as: "DCN Abuse - Input as C-stop through July, 2008." Any non-receipt allegations made from July 2006 through July, 2008 will be input as a C-stop; allegations beginning in August 2008 can be input as a B-stop.

When a DCN occurs, Treasury sends claims packages for both checks. Ideally, the claimant would look at the check photocopies and would either deny signing one or both checks or would admit to the overpayment. Since the claimant died before the DCN was resolved, the reason for the forgery determination now is to determine if an underpayment exists and to see if there is someone entitled to receive it (see GN 02301.030 – Underpaid Person is Deceased), or determine if forgery was involved. Below are several scenarios and instructions to process each:

1. a. 

   Deceased and no protest made to overpayment:

   • •

     See GN 02201.013 for collection efforts.

2. b. 

   Deceased and protest was alleged prior to death:

   • •

     Do not record/post the overpayment (if not already on the record).

   • •

     If the FMS-1133 is already filled out by the beneficiary or can be completed by an individual eligible to receive an underpayment:

   • •

     Show the exact date of death and attach one or more specimens of the deceased beneficiary’s signature and the check photocopy. Retain copies of the claims package and documentation.

   • •

     Return the FMS-3858 and completed FMS-1133 to Treasury’s Questioned Documents Branch (QDB) for their investigation to:

     Department of the Treasury
     
     Bureau of the Fiscal Service
     
     P.O. Box 51318
     
     Philadelphia, PA 19115–6318

   • •

     Once QDB makes a determination, Treasury sends a claims disposition notice to the PC/DBCSA/ODO. If forgery was established, the money will be reclaimed from the presenting bank; and

   • •

     If appropriate, pay underpayment to person eligible to receive it. See GN 02301.001.

3. c. 

   If the FMS-1133 has not been completed by the beneficiary and there is not an individual eligible to receive the underpayment who could fill out the FMS-1133:

   • •

     Prepare a cover note of explanation providing the date of death of the beneficiary. Indicate that no one is available to complete the FMS-1133, and that we are requesting a forgery determination.

   • •

     Attach one or more specimens of the deceased beneficiary’s signature to the note and the check photocopy. Do not send the FMS-1133 or the FMS-3858. This will only confuse the issue and will likely result in the package being returned because it is incomplete.

   • •

     Send the signature specimens and check photocopy to Treasury’s Questioned Documents Branch at:

     Department of the Treasury
     
     Bureau of the Fiscal Service
     
     P.O. Box 51318
     
     Philadelphia, PA 19115–6318

4. d. 

   Establish a 60-day diary for Treasury processing of the case. If no response is received within 60 days, prepare an FMS-3864 and follow up with DT on the disposition of the claim. CP&R can also be queried for the status/call Treasury’s general inquiries number at 855-868-0151.

5. e. 

   If a completed FMS-1133 was not possible and only the note of explanation with the check photocopy and signature specimens were sent to Treasury’s QDB (in GN 02406.300C.2.c.), Treasury’s response to SSA will be by letter. If forgery is determined, no reclamation can be done because a completed FMS-1133 (the instrument needed to reclaim from the bank) was not available. Therefore, if an underpayment is due an eligible survivor, the money should be paid but Treasury will not reimburse SSA.

6. f. 

   If there was no forgery, an overpayment exists. See GN 02201.013 for collection efforts.

See GN 02406.310 for information on reconsideration of an overpayment resulting from a DCN.

1. a. 

   Send the overpayment notice (i.e., the SSA 8170, SSA-8171, or SSA 8172).

2. b. 

   Prepare a file for the blank FMS-1133, check photocopies, and the FMS-3858.

3. c. 

   Make the usual system input (notice date, collect decision, etc.).

See GN 02406.300C.2. and SI 02101.003 (SSI Underpayment Due – Individual Deceased – General).

See GN 02406.700 for complete description and action to be taken when a DCN occurs.

See GN 02406.310.

After 60 days, if an appeal is not filed or an overpayment is not protested, add the phrase, “DCN Abuse - Input as C-stop through mm/yy” in the RMKS segment field. Additional DCN abuse should not occur during this period; however, if it does, change the date to reflect the new 24-month period.