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That's correct. You can request an Overpayment Recovery Reduction through your UI Online account or by calling EDD. If approved, they may reduce the standard 25% collection rate to as low as 10% depending on your financial situation. You'll need to provide evidence of financial hardship.
Just wanted to add my experience for anyone else going through this - I had a similar situation with penalty weeks + overpayment last year. The key thing to remember is that once your penalty period ends, you should start receiving benefits again automatically when you certify, BUT they will deduct for the overpayment. In my case, they took exactly 25% each week until my balance was paid off. The good news is that the disaster waiver for the waiting period means you'll get paid for both weeks on your first certification back. Make sure to keep checking your UI Online account - it should show your payment history and remaining overpayment balance. If something looks off after a few days, definitely call EDD to verify everything is processing correctly. Good luck!
Thank you so much for sharing your real experience! This is exactly what I needed to hear. It's reassuring to know that the system should work automatically once the penalty period is over. I'll definitely keep a close eye on my UI Online account after I certify on March 2nd to make sure the payments and overpayment deductions are being calculated correctly. The disaster waiver for both weeks is such a relief after going 10 weeks without any income. Really appreciate everyone's help in this thread!
I'm going through this exact same nightmare right now! My check is 10 days late and I've been checking my mailbox obsessively every day. It's so stressful when you're counting on that money for rent and groceries. Reading through everyone's experiences here has been really helpful though - at least I know I'm not the only one dealing with this mess. The fact that so many people are having the same issue with their UI Online showing 'paid' but no check in the mail makes me feel like mine isn't lost, just stuck somewhere in this broken system. I'm definitely switching to direct deposit the second this check finally shows up. Thank you everyone for sharing your stories - it really helps to know we're all in this together!
I totally understand that obsessive mailbox checking - I've been doing the exact same thing! It's day 12 for me now and the anxiety is real, especially with bills piling up. But reading everyone's experiences here has been such a lifesaver. Knowing this is affecting so many people and that UI Online showing 'paid' means the money is allocated to us has really helped calm my nerves. I'm going to hang in there a few more days and then definitely make the switch to direct deposit. We'll get through this! Hopefully both our checks show up soon 🤞
I'm in the exact same boat - my check is 8 days late and I've been losing sleep over it! Reading through all these comments has been such a huge relief though. I had no idea about the vendor change or the USPS staffing issues, so knowing this is a widespread problem and not just my payment getting lost makes me feel so much better. My UI Online shows 'paid' too, so sounds like we're all dealing with the same system delays. I'm definitely going to wait it out a bit longer and then switch to direct deposit immediately. Thanks everyone for sharing your experiences - it really helps to know we're not dealing with this stress alone!
Update for everyone: EDD is supposed to be launching a new direct deposit system in mid-2025 that will allow claimants to receive benefits directly to their bank accounts without using Money Network cards at all. This was announced in their latest stakeholder meeting. Not helpful for current issues, but at least there's a change coming eventually.
Has anyone tried using Zelle or other instant transfer services? I discovered that if you link your Money Network card to Zelle through your regular bank's app, you can sometimes move money instantly instead of waiting days for ACH transfers. Not all banks support this with prepaid cards, but Chase and Wells Fargo worked for me. Also, some credit unions will do same-day transfers if you call them directly and explain the situation. Worth checking if your bank has any expedited transfer options specifically for unemployment benefit cards.
I'm also in a similar boat - just exhausted my benefits and looking at EDD positions! One thing I haven't seen mentioned here yet is that they also have seasonal hiring surges. A friend who works in their Sacramento office told me they typically do big hiring pushes right before tax season (January-March) and again before the holidays when claim volumes spike. So timing your application might matter. Also, for those worried about the long wait times - I've heard that some offices are more desperate for staff than others. Rural offices sometimes move faster through the hiring process than the big city ones because they get fewer applicants. Might be worth looking at positions outside your immediate area if you're willing to commute or relocate. The state does offer relocation assistance for some positions too.
This is really valuable insight about the seasonal hiring patterns and rural offices! I hadn't thought about looking at positions outside the city, but that makes total sense - less competition and potentially faster processing. Do you happen to know which rural offices are typically most in need of staff? I'm in the Bay Area but would definitely consider commuting or even relocating if it means getting hired faster. The relocation assistance sounds like a nice bonus too. Thanks for sharing this tip - it gives me hope that there might be ways to speed up this notoriously slow process!
I just wanted to add something that might help with the immediate financial pressure while you're waiting for the EDD hiring process - have you looked into gig work or freelance accounting services? Since you have an accounting background, you could potentially pick up some bookkeeping clients through platforms like Upwork or even local small businesses. I know it's not ideal when you want stable employment, but it could help bridge the gap during those 3-6 months of waiting for state employment. Also, don't forget to check if your local One-Stop Career Centers have any rapid employment programs or connections with employers who need immediate hires. Sometimes they have relationships with companies that aren't widely advertised. The combination of applying for EDD positions AND having some income coming in from temporary work might take some of the financial pressure off while you wait for the state bureaucracy to move. Hang in there - it sounds like you have a solid plan forming!
Amina Diallo
After reading through all the responses, here's a summary of the best approach: 1. Be completely transparent with the warehouse about your timeframe and get it in writing 2. When it's time to leave, provide proper notice and clearly state you're returning to your primary seasonal employment 3. Maintain good standing with both employers 4. When you file for unemployment after your seasonal job ends, be prepared to explain your work history during the benefit year 5. During your eligibility interview, clearly explain the higher wages and established nature of your seasonal employment as the reason for leaving the temporary position This approach gives you the best chance of maintaining eligibility while still earning income during your off-season.
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CosmicCowboy
•Thank you so much for summarizing everything! This community has been incredibly helpful. I feel much more confident about how to handle this situation now. I'll definitely be transparent with the warehouse job and get everything documented properly.
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Javier Morales
I'm dealing with a similar situation right now! I work in forestry (seasonal May-September) and just got offered a part-time retail job for the winter months. Reading through all these responses has been super educational. One thing I want to add - if you do take the warehouse job, make sure you understand their policies around rehiring. Some places will mark you as "not eligible for rehire" if you quit, even with proper notice. That could limit your options if you need temporary work again next winter. Also, consider asking the warehouse if they have any temporary or seasonal positions available instead of permanent roles. Some employers are more understanding when they know upfront that it's meant to be temporary employment. Good luck with whatever you decide! Seasonal work definitely has its challenges when it comes to navigating the off-season.
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