Can NYS Department of Labor unemployment overpayment be forgiven - options for $2,800 notice?
I just received an overpayment notice from NYS Department of Labor saying I owe back $2,800 from my UI claim last year. The letter mentions something about 'fault' vs 'non-fault' overpayments but I'm confused about what that means for getting this forgiven. I was laid off from my retail job and filed everything correctly as far as I knew. Has anyone had luck getting an unemployment overpayment waived or forgiven? I really can't afford to pay this back right now and I'm scared they'll garnish my wages at my new job.
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Lauren Wood
Yes, there are waiver options for overpayments! If it's classified as 'non-fault' (meaning you didn't intentionally do anything wrong), you can request a waiver. You'll need to prove financial hardship and that repayment would be against equity and good conscience. The key is responding within 60 days of the notice date and providing detailed financial documentation.
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Dylan Baskin
•Thank you! Do you know what kind of financial documentation they need? I have bills and bank statements but not sure what specifically proves hardship.
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Ellie Lopez
i got one of these last year for like $1,200 and they did waive it but it took FOREVER. had to fill out a bunch of paperwork about my income and expenses. they want to see that paying it back would cause serious financial problems
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Dylan Baskin
•How long did the waiver process take? I'm worried about them starting collection action while I'm waiting for a decision.
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Chad Winthrope
The waiver process can take several months, but they typically won't start collection efforts while your waiver request is pending. Make sure you understand WHY the overpayment occurred first - if it's due to unreported wages or failure to register for work search, that's usually considered 'fault' and harder to get waived. Non-fault situations like agency error or unclear instructions have better waiver chances.
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Paige Cantoni
•What if you can't figure out why the overpayment happened? My notice doesn't really explain the reason clearly and I'm confused about what I supposedly did wrong.
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Kylo Ren
If you're having trouble reaching NYS Department of Labor to understand your overpayment details or need help with the waiver process, I used claimyr.com to get through to an actual agent. They have a video demo at https://youtu.be/qyftW-mnTNI that shows how it works. Really helped me understand my situation instead of just guessing from the confusing paperwork.
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Dylan Baskin
•That's interesting - did they charge you for it? I'm already worried about money so don't want to spend more if I don't have to.
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Kylo Ren
•They focus on getting you connected rather than the cost aspect. For me it was worth it to actually talk to someone who could explain my specific overpayment instead of being stuck in phone limbo for weeks.
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Nina Fitzgerald
The whole overpayment system is such a mess!! They send these scary letters but don't explain anything clearly. I had a friend who got one and it turned out to be NYS Department of Labor's mistake but she still had to fight for months to prove it. Keep all your documentation from when you filed - pay stubs, work search logs, everything.
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Jason Brewer
•Agreed, the notices are deliberately confusing. Most people just panic and start paying without understanding their rights.
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Victoria Brown
I went through this exact same situation last year with a $3,200 overpayment notice. The key thing is to act fast - you have 60 days from the notice date to request a waiver hearing. Don't ignore it hoping it will go away! I filled out Form IA 735.1 (Request for Waiver of Recovery of Overpayment) and included detailed financial info showing I couldn't afford repayment without serious hardship. It took about 4 months but they did approve my waiver. The most important thing is proving it was "non-fault" - meaning you didn't intentionally provide false information. If you were just following what you thought were the correct procedures after being laid off, that's usually considered non-fault. Get started on that paperwork ASAP!
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Liam Fitzgerald
•This is super helpful Victoria! I'm definitely within the 60 day window so I'll look for that Form IA 735.1 right away. When you say "detailed financial info" - did you have to show like monthly budget breakdowns or was it more general? I'm trying to figure out exactly what they need to see to prove hardship. Also really relieved to hear yours got approved, gives me hope this might work out.
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