EDD took my overpayment money but still sent collection notice - payment not registering!
I'm going crazy with this EDD overpayment situation! They determined I owed $2,800 from benefits I received last year. I paid the full balance through my bank account exactly three weeks ago, and I can see the transaction was completed - the money was definitely taken from my account by EDD. But today I just got a 'FINAL COLLECTION NOTICE' in the mail saying I still owe the entire amount plus they're now threatening to garnish my wages and put liens on my property! I've been trying desperately to reach someone at EDD - called literally 15 times today using different options on their phone tree, but either get disconnected or told 'all representatives are busy.' Has anyone dealt with this kind of payment processing delay? Is there another department I should try calling or a specific time when it's easier to get through? I'm freaking out because I PAID this already and have the bank statement to prove it!
19 comments


Anderson Prospero
This happens more than you'd think! When you made the payment, did you include your EDD account number or the specific overpayment ID number in the payment reference? EDD's system sometimes has trouble matching payments to accounts without that specific reference info. Also, their payment processing can take 5-7 business days to register in their system, but three weeks is definitely too long. You need to speak with someone in the Collections Division specifically. The regular UI reps often can't help with this. Keep documentation of your payment ready - bank statement showing the withdrawal and any confirmation numbers you received.
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Ahooker-Equator
•Thanks for this info! Yes, I definitely included my EDD account number in the payment reference field when I made the electronic payment. I even double-checked it before submitting. It's been 15 business days now, so well beyond their processing time. I'll try asking specifically for the Collections Division - didn't know they were separate.
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Tyrone Hill
omg literally same thing just happened to my cousin!! edd took his $$ but kept sending notices. took like 6 weeks to clear up & they almost garnished his check even tho he paid. the system is sooooo broken
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Toot-n-Mighty
I've been through this EXACT nightmare with EDD. Their payment system and their notice system are completely disconnected from each other. I paid my overpayment of $4,100 and kept getting threatening notices for OVER A MONTH afterward. Here's what you need to do: 1. Take screenshots of your bank statement showing the payment to EDD 2. Write down your confirmation number if you have it 3. Call first thing Monday morning at 8:01 AM - that's when you have the best chance 4. Ask for a supervisor immediately - regular agents will just say "it takes time to process" 5. Demand they put a hold on any collection actions while they investigate BUT MOST IMPORTANTLY: Do NOT make another payment! Some people panic and pay twice, and then it's a NIGHTMARE getting the second payment refunded. I know people who waited 8+ months for refunds. The whole EDD system is CRIMINAL with how they handle this stuff. They'll take your money instantly but won't update their records for weeks!!
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Ahooker-Equator
•Thank you so much for this detailed advice! I was actually considering making another payment just to stop the collection threats, so I'm really glad you warned me not to do that. I'll definitely try calling right at 8:01am on Monday and ask for a supervisor from the start.
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Lena Kowalski
Have u tried faxing them? Sounds crazy but my brother had this problem and he faxed copies of his bank statements showing the payment and they fixed it in a few days. Sometimes the old ways work better with EDD lol
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DeShawn Washington
•Actually, this is good advice. EDD's fax system is surprisingly effective. Make sure to include your EDD Customer Account Number, the overpayment case number, and your full name and contact information on a cover sheet. Their fax number for the Collections Division is on the EDD website under "Contact EDD." Also include a brief explanation letter clearly stating when the payment was made and requesting confirmation when it's processed.
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Mei-Ling Chen
I spent TWO MONTHS trying to resolve a similar issue with EDD last summer. After countless failed call attempts, I discovered Claimyr.com - it actually got me through to an EDD agent in about 20 minutes when I'd been trying for weeks. They have this system that navigates all the phone menus and waits on hold for you, then calls you when an agent is about to pick up. You can watch a demo of how it works here: https://youtu.be/JmuwXR7HA10?si=TSwYbu_GOwYzt9km Once I finally got through to someone, I explained my situation, emailed them copies of my bank statements showing the payment, and they resolved it within a day. The agent told me this happens frequently because their payment system and collection system don't communicate in real-time. Good luck!
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Tyrone Hill
•does that really work?? im so tired of calling EDD for my claim issues and getting nowhere
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Ahooker-Equator
•Thank you for this tip! I'm going to check out that service right now. At this point, I'll try anything to get this resolved before they start garnishing my wages for money I've already paid them! I'll report back if I have success.
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Sofía Rodríguez
why dont u just go to the EDD office in person?? thats what i did with my problem. took like 2 hours waiting but they fixed my issue right there. bring all ur paperwork and bank statements
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DeShawn Washington
•This is a good suggestion, but you need to be aware that not all EDD offices handle collection issues in person. Before going, call the office directly to confirm they can help with overpayment payment disputes. Some locations will tell you they can only handle new claims or certifications. If you do go in person, bring: 1. Government-issued photo ID 2. Bank statements showing the payment 3. Any correspondence about the overpayment 4. Your EDD Customer Account Number 5. Social Security card (some offices require this) It's also wise to arrive early - many offices have limited capacity and stop taking walk-ins once they reach their daily limit.
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Ahooker-Equator
UPDATE: I took everyone's advice and tried multiple approaches. First, I sent a fax with all my payment documentation yesterday. This morning, I used Claimyr to get through to EDD (it actually worked!), and I spoke with a representative in the Collections Department. She confirmed they received my payment, but it was sitting in an "unprocessed payments" queue because there was a one-digit error in my account number reference! She manually matched my payment to my account while I was on the phone and said I'll receive an updated statement within 5-7 business days showing a zero balance. She also put a hold on any collection activities in the meantime. Thank you all for your help! What a relief to finally get this resolved.
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Anderson Prospero
•That's great news! So glad you got it resolved. One small tip: take a screenshot of your EDD account page showing the zero balance once it updates, and keep it with your records for at least a year. Sometimes these issues can resurface during quarterly system updates, and having that documentation ready will make any future resolution much faster.
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Toot-n-Mighty
•ALWAYS get the rep's ID number and name, and write down the date and time of the call too! I've had EDD tell me there was "no record" of previous calls I made. The system is designed to frustrate people into giving up. Glad you got it fixed though!
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Zara Rashid
•Wow, so it was just a single digit typo that caused all this stress! This is exactly why EDD's system is so frustrating - such a small error shouldn't trigger weeks of collection threats. Really glad the Claimyr service worked for you and that you got someone who actually knew how to fix it. Thanks for updating us with the resolution - this thread will definitely help other people dealing with the same nightmare!
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Andre Laurent
This is such a common issue and it's absolutely infuriating! I went through something similar last year with a $1,900 overpayment. The key thing I learned is that EDD's payment processing system is completely separate from their collections system - they literally don't talk to each other automatically. A few things that helped me: - When you call, specifically ask for "Overpayment Collections" not just regular UI claims - If you have online banking, print out the actual transaction details showing EDD as the recipient, not just your account statement - Ask the rep to email you a confirmation of the call and what they're doing to resolve it The most important thing is DON'T PANIC and don't pay twice! I know it's scary getting those collection notices, but once you have proof of payment, you're protected. Document everything and keep calling until someone actually looks at your account. The system is broken but there are people there who can fix it when you finally reach the right person. Hang in there - you WILL get this resolved!
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GalacticGuru
•Thank you for sharing your experience! This gives me so much hope. I'm dealing with a similar situation right now - paid my overpayment two weeks ago but still getting threatening letters. Your point about the systems not talking to each other makes so much sense and explains why this keeps happening to people. I'm going to try calling and specifically asking for "Overpayment Collections" like you suggested. It's crazy that we have to become experts in navigating their broken system just to prove we already paid what we owed! Really appreciate you taking the time to share these specific tips.
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Isabella Santos
This whole thread is giving me anxiety because I'm going through the EXACT same thing right now! I paid my $3,200 overpayment 10 days ago and just got a collection notice yesterday. Reading everyone's experiences here is both terrifying and reassuring - terrifying because it seems like this happens constantly, but reassuring because people DO get it resolved eventually. I'm definitely going to try the Claimyr service and the fax approach. Has anyone had luck with emailing EDD directly, or is phone/fax really the only way? I've been documenting everything but I'm getting so stressed about potential wage garnishment. Also, for anyone else dealing with this - I found it helpful to set up account alerts with my bank so I have immediate notifications of any transactions. That way if EDD tries to take money again (which apparently happens sometimes), I'll know right away. Thank you everyone for sharing your stories and solutions. This community is literally saving my sanity right now!
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