EDD disqualification weeks - do I have to repay benefits or just serve penalty weeks?
Just got the most confusing info about my 7-week disqualification from 2021 and I'm trying to make sense of it! Back during COVID, I had this issue where I got disqualified for 7 weeks of benefits (about $4,250 total). I appealed but the judge ruled against me in 2022. I've been stressing about repaying this money for YEARS, but never actually received an overpayment notice in the mail. So today I finally called the EDD overpayment hotline (took forever to get through btw) and the rep told me something that surprised me - she said since these are DISQUALIFIED weeks, not overpayment, I don't actually have to repay the money?! She explained it stays on my record for 3 years or until next time I apply for unemployment, when I'll need to "serve" those 7 penalty weeks (meaning no benefits for 7 weeks). Does this sound right to anyone? I'm shocked because I've been worrying about coming up with $4K+ for years. Just want to confirm this is actually correct before I stop worrying about it. Has anyone else had disqualified weeks vs. actual overpayment?
18 comments

Dmitry Popov
This is actually correct. There's an important distinction between disqualification and overpayment in the EDD system. When you're disqualified, it means you weren't eligible for benefits during those weeks, but instead of making you pay back the money, EDD places a "penalty" on your record. You'll need to serve those weeks (go without benefits) next time you file for unemployment. Overpayments are different - those happen when you were paid more than you should have been (like if you reported income incorrectly or EDD made a calculation error). Those DO require repayment plus potential penalties. Just to be clear - this only applies to standard disqualifications. If they determined fraud was involved, that's a whole different situation with different repayment requirements.
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Sofia Morales
•That's such a relief to hear! So if I understand correctly, I just need to be prepared that if I ever need unemployment again, the first 7 weeks I won't get any money? But I don't need to worry about coming up with $4K right now?
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Ava Garcia
im going thru something similar and got a notice that i was DQd for 5 weeks but im supposed to repay the money??? this doesnt make any sense now!!! the letter literally says "overpayment" but also "disqualification" so which is it EDD!! why cant they be clear about anything!!!
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Dmitry Popov
•You might have both a disqualification AND an overpayment. Check if your notice specifically mentions False Statement Penalty Weeks or Wilful False Statement. Those cases often require both serving penalty weeks AND repaying the money. The standard disqualifications (like not being available for work) typically just require serving weeks next time.
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StarSailor}
I had literally the exact same situation during covid! I was disqualified for 9 weeks and I never got an overpayment notice either. I just reapplied for unemployment last month and yep, I had to serve those 9 weeks with no benefits before I started getting paid. It was rough not getting anything for 2 months but at least I didn't have to pay back the original amount from 2021. So yeah sounds like what they told you is correct.
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Sofia Morales
•Thank you for sharing your experience! That actually makes me feel a lot better knowing someone else went through the same thing. I'm not currently unemployed but it's good to know what to expect if I ever need to file again.
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Miguel Silva
there's actually 2 different types of disqualification - Section 1257(a) is for eligibility issues and you just serve penalty weeks next time, but Section 1257(b) is for willful misrepresentation and you have to repay PLUS serve penalty weeks. which one was on your judge decision?
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Sofia Morales
•I'd have to dig up my paperwork to find the exact section, but the EDD rep didn't mention anything about willful misrepresentation. My issue was about availability for work during COVID. I'll look for those section numbers though - that's really helpful info!
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Zainab Ismail
If you're really concerned, you could try calling EDD again to double-check. I've been helping my mom with her unemployment issues recently and found a service called Claimyr that helped her get through to an EDD representative quickly instead of calling for days. It's at claimyr.com and they have a video showing how it works: https://youtu.be/JmuwXR7HA10?si=TSwYbu_GOwYzt9km Might be worth using if you want absolute confirmation from another EDD rep about your situation. My mom found it helpful to get different info from different reps since sometimes one person explains things better than another.
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Sofia Morales
•Thanks for the tip! I'll check that out. You're right that sometimes getting a second opinion from another rep is helpful. The first person I talked to wasn't super clear about everything.
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Connor O'Neill
This doesn't sound right to me. I got disqualified for 5 weeks during COVID too and I HAD to repay it all plus a 30% penalty on top!! I think the rep gave you wrong info. They ALWAYS want their money back. I would call again and talk to someone else.
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Dmitry Popov
•You likely had a False Statement Penalty which is different from a standard disqualification. Did your notice mention that you provided false information? That's treated differently than regular disqualifications for availability or eligibility issues.
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Yara Nassar
The rep is right! My brother's situation: disqualified for 11 weeks in 2020, appealed and lost, never got overpayment notice. He filed new claim in 2023, served the 11 weeks (no payments), then benefits started. No repayment required. Depends on WHY you were disqualified though.
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Sofia Morales
Thanks everyone for the helpful info! I'm going to call EDD one more time to confirm and make sure I understand everything correctly. Will update if I learn anything new that might help others in the same situation. The unemployment system is so complicated sometimes!
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Ava Garcia
•please update us!! im still trying to figure mine out too
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Sofia Morales
UPDATE: I called again and spoke to a different rep who confirmed what the first one said. Because my disqualification was related to availability for work (Section 1253) and NOT false statement/willful misrepresentation (Section 1257b), I only need to serve the weeks next time I apply, no repayment needed! Such a relief!
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StarSailor}
•Glad you got it sorted out! The EDD system is so confusing with all these different rules and sections.
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Miguel Ramos
This is such valuable information! I've been in a similar situation and was panicking about potential repayment. It's really helpful to see the distinction between Section 1253 (availability issues) and Section 1257(b) (false statements). For anyone else dealing with this, I'd recommend checking your determination letter carefully for which specific section your disqualification falls under - it makes all the difference in whether you just serve penalty weeks or have to repay money. Thanks for sharing your experience and the update!
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