Can NYS Department of Labor take money back directly from my bank account for overpayment?

NYS Department of Labor cannot directly access your bank account without going through legal procedures first. They'll start with sending you payment options and setting up a repayment plan. If you ignore it completely for months, they can eventually garnish wages or use other collection methods, but they have to follow due process. You should contact them immediately to set up a payment arrangement.

they sent me like 3 different letters before anything serious happened, you have time to work something out. the first step is always trying to get you to pay voluntarily

You need to appeal the overpayment determination if you believe it's incorrect, or contact NYS Department of Labor to arrange a payment plan if you agree you owe the money. They typically offer options like monthly payments or withholding from future unemployment benefits. The key is responding to their notices rather than ignoring them. They can't just take money from your bank account without court orders or other legal processes.

I had trouble reaching anyone at NYS Department of Labor about my overpayment situation for weeks. Finally found this service called Claimyr (claimyr.com) that helps you get through to actual agents. They have a demo video at https://youtu.be/qyftW-mnTNI showing how it works. Was able to get my payment plan sorted out the same day I used it instead of waiting on hold forever.

Just want to add that even if they can't take money directly from your bank account initially, ignoring an overpayment notice is a really bad idea. It can affect your credit score and they have other ways to collect eventually. Better to deal with it head on.

UGH the whole overpayment system is so frustrating! Half the time their own system glitches cause these issues but WE have to pay for THEIR mistakes. Sorry not helpful but just needed to vent because I'm going through similar BS with NYS Department of Labor right now.

I went through this exact same situation last year with a $3,200 overpayment. The NYS DOL definitely cannot just drain your bank account without warning - that's not how their process works. They'll first send you multiple notices giving you options to either appeal or set up a payment plan. I was terrified they'd take all my money too, but they actually worked with me on a $150/month payment plan that I could afford. The important thing is to respond to their letters and communicate with them. If you ignore it completely, that's when they can eventually pursue more aggressive collection methods, but even then they have to go through legal channels first. Don't panic about your rent money - you have time to work this out properly.

I'm dealing with a similar overpayment situation right now and this thread has been incredibly helpful! Like others mentioned, the NYS DOL does follow a process - they can't just surprise you by emptying your bank account. I got my first overpayment notice about 6 weeks ago and was panicking, but after reading all the responses here I called them (took forever to get through) and they walked me through the payment plan options. They were actually pretty reasonable about working with my budget. The key thing everyone's saying is true - don't ignore the notices! That's when things can get more complicated down the road. Thanks to everyone who shared their experiences, it really helps to know we're not alone in dealing with this stuff.