Unemployment Insurance fraud

[Sunshine06]

What is the name of your state (only U.S. law)? Georgia

Does anyone know what happens when you collect unemployment benefits, get a job, and still collect benefits for about a month? Do you just pay the money back, go to jail, or both? I'm not sure if it's state or federally funded but if you are caught doing so will the government take it back out of your check or tax refund check? Will you not be able to get grants and school loans? If you are ever unemployed again will they deny you benefits because of prior fraud? Can you get convicted and it affects you getting anything (job, home loans, car loans, grant money for school, etc,)? I appreciate any advice, Thank you.What is the name of your state (only U.S. law)?

[commentator]

Has this situation already occurred, in that the person has already done it, and it has not been picked up yet? Or has this person who drew these benefits already been contacted by the fraud and overpayment unit?Rest assured, you will be caught if you haven't yet, because the system cross matches wages with unemployment benefits.

Each separate week that this person filed for after they begun working at the new job will be picked up as an overpayment. Since the person had to lie on their weekly certification for each week, it is considered actual fraud. It was NOT a mistake, a case of not knowing, or misunderstanding. "Did you do any work this week for which you have been paid or will be paid?" is the question that was lied about. That will mean they will assess a 10% penalty on the overpayment, and can prohibit your receiving benefits for a penalty period.

That said, you probably would never go to jail. What will happen is that the overpayment unit will start trying to get this money back from you. It is state money, they will not get your federal income tax refund or keep you from signing up on PELL grants. But they can stop you from applying for state educational benefits, and get your state income tax refund. They can also garnish your wages. This can certainly hurt your credit rating, injure your situation with your new employer. If you ignore their calls and attempts to resolve this, they may very well do this.

If you are out of work again, absolutely destitute, and have no means to pay them back, you can ask for a waiver of the overpayment. You must submit a very detailed income statement, which will be verified, and they will then write off the payment. If you are working somewhere else and you get laid off again, you will not be able to get a new claim set up, or draw any more benefits from your claim until you have first paid the state system back this overpayment. This overpayment will stay on your record for a long long time, and when you apply to do something at the state level, like apply for a business license, or register a car or boat, it will pop up again and again.

If I were you, and I had not been caught yet, and I knew I had drawn too much unemployment, I think I might contact the overpayment unit at the state level, and confess; let them determine how much your overpayment is, and ask about repayment arrangements. At this point, no one but you and they will know what has happened, and you can keep this from getting any worse.

[Sunshine06]

Thank you so much for your advice! I'm only 22yrs old and i don't want to get into any more trouble. I will take your advice and call them and tell them what i have done before they contact me. Thanks again.