EDD overpayment demands during appeal - do I have to pay before my hearing?
I filed an appeal for my EDD disqualification about 6 weeks ago and mailed all my supporting documents to the Appeals Board right after. So far, complete silence - no hearing date, no confirmation, nothing. Meanwhile, I just got a notice demanding I repay $4,200 they initially gave me before disqualifying my claim, saying I need to pay immediately or face collections! My question is: do I legally have to repay this money while my appeal is still pending? And if I win my appeal later, will they even refund what I paid? This system feels rigged against us. I can barely make rent and now they want thousands back before I even get a chance to present my case. Has anyone dealt with this nightmare scenario?
18 comments
Andre Rousseau
same thiing happend to me last yr!! they sent me those scary overpayment notices while my appeal was stil pending. i ignored them bc my advocate told me to wait for the hearing. but they kept coming! soooo stressful
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Carmen Vega
•Did they actually start garnishing wages or anything while you waited? That's what I'm worried about. Did you eventually win your appeal?
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Zoe Stavros
You do NOT need to repay during your appeal process. According to EDD regulations, collection activities are supposed to be paused while an appeal is pending. Here's what you should do: 1. File a formal request for "Stay of Collection" - there's a specific form for this on the EDD website 2. Keep copies of your appeal confirmation and all documents 3. If you receive any collection notices, respond in writing referencing your pending appeal case number 4. Call the Appeals Board (not regular EDD) to confirm they received your documents and request a status update If you win your appeal, any amounts you've paid would be refunded, but honestly, the system is so backlogged it can take months to get that money back. Appeals are currently taking 8-12 weeks just to get scheduled in most offices.
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Carmen Vega
•Thank you SO much for this information! I had no idea about the Stay of Collection form. Going to look for it right now. Do you know if I need to fill out a separate form for each week they're claiming I was overpaid, or just one form for the entire amount?
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Jamal Harris
i think edd is just sending out these notices automatically even when they kno u have an appeal. its like their left hand doesnt talk to the right hand. total bureaucratic nonsense if u ask me. DONT PAY IT!!!! fight it all the way
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GalaxyGlider
•While I understand your frustration with EDD processes, giving blanket advice to simply not pay could be risky depending on individual circumstances. Sometimes partial compliance while appealing is the safer route. Each case is different based on the reason for disqualification.
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Mei Wong
I went through exactly this with my restaurant job claim last year. After I got disqualified, they demanded $6,700 back while my appeal was pending. I was freaking out! I called Claimyr (claimyr.com) to get through to an actual EDD agent - they have this service where they connect you directly to EDD instead of waiting for hours. The agent confirmed I didn't need to pay during appeal and put a note on my account. They have a video showing how it works: https://youtu.be/JmuwXR7HA10?si=TSwYbu_GOwYzt9km My appeal took 10 weeks to schedule but I eventually won and didn't have to pay anything back. The stress was unreal though.
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Carmen Vega
•Thanks for the tip, I've been trying to call EDD for days and can't get through. I'll look into this service. Did you have to do anything special to get the collection hold noted on your account, or did the agent just do it automatically when you explained?
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Liam Sullivan
I'm an unemployment advocate and deal with this situation frequently. Here's what you need to understand: 1. Technically, overpayment collection CAN proceed during appeal unless you specifically request a stay of collection (Form DE 1447) 2. The appeal process is currently taking 10-14 weeks in California due to massive backlogs 3. If you win your appeal, you will be entitled to a refund of any amounts paid, but this can take an additional 4-8 weeks to process Your best strategy is to request the stay of collection immediately, then contact your local state representative's office - they often have EDD liaisons who can help expedite appeals in financial hardship cases. Good luck!
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Amara Okafor
•This is correct advice. I work with UI claims, and I've seen many people make the mistake of ignoring overpayment notices thinking their appeal automatically stops collection. It does not! You must specifically request the stay. Also, be aware that interest continues to accrue during this time unless you have the stay properly documented.
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Andre Rousseau
anyone else notice how they NEVER send u money this fast but when they want it back suddenly the system works perfectly?? 🙄🙄 edd is such a mess
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Jamal Harris
•OMG YES!!!! took them 12 weeks to approve my original claim but only 3 days to send a collection notice. the whole system is designed to make us give up
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GalaxyGlider
I had success appealing an overpayment last year by gathering additional documentation beyond what I initially submitted. My hearing was scheduled about 9 weeks after I filed the appeal. Regarding your specific question: You should request a formal stay of collection using form DE 1447. This form specifically asks EDD to pause collection activities pending your appeal outcome. Without this, collections can technically proceed despite your appeal being active. I'd also recommend sending a follow-up letter to the Appeals Board confirming they received your documentation. Include your appeal case number, contact information, and request confirmation of receipt. Documentation is everything in these cases!
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Carmen Vega
•Thank you! I think I'm going to do exactly this. I just found the DE 1447 form online and will send it tomorrow. Did you hand-deliver your documents or mail them? I'm worried about things getting lost in their system.
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Giovanni Colombo
my friend had something similar and she just set up a payment plan for like $10/month during her appeal. that way she was technically complying while not really paying much. when she won they cancelled the whole thing. might be worth considering if ur worried
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Zoe Stavros
•This is actually a smart approach if you're concerned about your credit or potential tax intercepts. Even a minimal payment plan shows good faith compliance while your appeal proceeds. Just make sure to get the payment plan in writing and keep documentation of every payment made.
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Amara Okafor
I see a lot of conflicting advice here, so let me clarify as someone familiar with the process. You have several options during an appeal: 1. Request a Stay of Collection (form DE 1447) - this is your BEST option 2. Set up a minimal payment plan as a backup if stay is denied 3. Request a waiver of overpayment if repayment would cause financial hardship Collection CAN legally proceed during appeal unless you get the stay. If you win your appeal, you'll receive a Notice of Affirmative Decision and any payments made will be refunded, but this can take 30-45 days to process. Current appeal timelines in California are running 8-12 weeks minimum. Call the Appeals office directly (not regular EDD) at their specific number to check your status.
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Carmen Vega
•This is extremely helpful, thank you. I didn't know about the waiver option either. Would you recommend doing both the stay of collection AND applying for the hardship waiver at the same time? Or is that overkill?
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