Social Security Administration Makes Major Policy Shift on Clawing Back Overpayments

After receiving criticism for policies that put pressure on vulnerable and older Americans ‘ finances when the agency demanded abrupt repayment, the Social Security Administration ( SSA ), the federal agency that administers Social Security payments, announced that it is changing how it recovers overpayment of benefits.
According to reports from “60 Minutes” and “KFF Health News,” the SSA has been overpaying recipients, many of whom are disabled, billions of dollars, before instantly stopping benefit checks in order to recoup the money it sent in error more than providing them with fair repayment terms.
While the SSA is required to pay back paid benefits by the law, the company had occasionally dock people’s full Social Security payments or issue surprise demands that they pay up tens of thousands of dollars within 30 days, leaving some people economically impoverished or even putting them on the verge of homelessness.

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