Social Security Demanding Woman Pay Back $40,000 Sparks Fury

A woman in Louisiana has said her Social Security payments have been stopped after she was hit with a huge overpayment demand.

Janet Decuir, from Carencro, received a notice from the Social Security Administration (SSA) in 2023 telling her that she owed in excess of $40,000 in overpayments. She was told she only had 30 days to pay the sum back and said her disability benefits were suspended immediately.

The SSA has come under significant scrutiny in recent months after it emerged that some of America's most vulnerable people—the elderly, disabled, and survivors of those who have previously claimed—are being asked to pay back enormous sums after they were overpaid benefits by the government agency. The agency recently announced plans to implement a change to the way income data is reported and collected.

Previous Newsweek reporting found that some people owe as much as $80,000 to the SSA, a sum that is nearly impossible to pay back for someone on limited state income.

Decuir will not have her full Social Security Disability Insurance (SSDI) amount issued to her again until 2025, according to a report by KATC. After reaching out to the SSA, she said she received a payment adjustment giving her three years to pay the agency back.

"This is my most recent SSDI saying I'm not going to get it until 2025 and I wrote nope because I'm going to fight it," she told KATC.

The situation is becoming desperate for her. "I've had no income for 11 months and I can't find work. I tried work from home jobs and nurse jobs. I just can't do it anymore," she said.

A spokesperson from the SSA's Dallas Regional Public Affairs office KATC that they had "reached out to assist her."

"We know receiving an overpayment notice can be upsetting and may raise questions. We work with people to navigate this process. Because each person's situation is unique, we handle overpayments on a case-by-case basis," they said.

A spokesperson from the SSA press office clarified to Newsweek that Decuir has been contacted but said privacy laws preclude them from discussing individual cases.

"Our payment accuracy rates are high, although overpayments can occur given the number of people we serve, the frequent changes in their circumstances, and the statutory complexity of the programs. Regarding the Social Security program itself, which includes payment to retirees, surviving spouses, and disabled workers, only one half of one percent of paid amounts are overpayments—an extremely low percentage."

Those who have been hit with overpayment demands are entitled to submit a waiver or reconsideration request. If this is completed within 30 days of the demand, the agency will not begin collection until a decision is made. This can sometimes result in a complete or partial waive of the sum owed if the claimant can prove they would be unable to pay for basic necessities or they were not at fault for the overpayment being made.

The SSA spokesperson continued: "We do not pursue recoveries while an initial appeal or waiver is pending. We examine each waiver request to determine, among other factors, if the person caused the debt and their ability to repay. Even if they do not want to appeal or request a waiver, the notice says to contact us if the planned withholding would cause hardship.

"We have flexible repayment options—including repayment of as low as $10 per month. Each person's situation is unique, and we handle overpayments on a case-by-case basis."

Some benefit claimants have had their payments waived, though many have told Newsweek they have struggled to get help for their overpayment demands.

Update 2/22/24, 11:55 a.m. ET: This article was updated with comment from a Social Security Administration spokesperson.