Overpayments

Overpayments may be created in the following ways:

	If a participant/recipient receives an amount in excess of their entitlement, this amount is an overpayment.
	If a participant/recipient does not honour an Agreement to Reimburse or Assignment, the amount that was agreed to or assigned is an overpayment.
	If a participant/recipient had previously acquired an overpayment under the Family Benefits Act, General Welfare Assistance Act or Ontario Disability Act the overpayment is recoverable under the Ontario Works Act.

An overpayment may be recovered through monthly deductions from a recipient's basic financial assistance.

The rate of recovery will be 5% of the income assistance, if the participant continues to be otherwise eligible for income assistance under the Act. This amount may be increased up to 10% where there is evidence of the capacity to pay, or it may be increased to greater than 10% at the recipients request. This amount may also be reduced if it will cause the recipient undue hardship.

Prior recipients of social assistance who have outstanding overpayments are encouraged to submit post-dated cheques, or to make other suitable repayment arrangements with their local office.

Under the Ontario Works & Ontario Disability Support Program Acts both the recipient and their spouse/same sex partner are equally responsible for any overpayment created while they were in receipt of social assistance together.

An overpayment incurred through Ontario Works or Ontario Disability Support Program is now transferable between programs, and between any offices within the province of Ontario.

If you have incurred an overpayment under the Family Benefits or Ontario Disability Support Program, are no longer in receipt of social assistance, and have not been in contact with their office to make repayment arrangements, the overpayment balance can be referred to a collection agency. The referral to a collection agency usually occurs approximately six weeks after social assistance has terminated. For further information please contact your local O.D.S.P. office.