Refund of OP repayment deductions already taken before successful MR

Earlier this year, client reported to UC that her daughter would go abroad for 2 months.  UC made admin error and input client’s daughters DOB as date she left UK, big overpayment created and deductions started.  Client requested MR which was successful and UC accepted that there was no OP at all as client had reported absence in time. By that time, they had already taken 3 lots of £81 OP deductions. Client was told by UC that she needs to contact Debt Management to get a refund. She called Debt Management who said that they can only collect money but not make payments, and that they would need authorisation from UC to return the money. Client reported outcome of this call on her journal. They replied again that she needs to contact Debt Management.
Does anyone know what the proper procedure is?  Can DM issue repayment without further involvement from UC, or does UC have to initiate the process?

Top marks for a unique way of creating an overpayment. Understandable given the volumes involved.

I think UC and DM are correct here. DM have collected for a period at a set rate. They will know that recovery has stopped but they may not know why. They need someone on the UC side to tell them that the whole thing was an error. Once they have that they will refund.

UC on the other hand are also technically correct. The conversation for recovery of the money should be with DM. What they won’t understand is the need for them to give DM a clue as to how to act i.e. consent to refund. The claimant should respond on the journal with a polite version of “Yeah thanks I know that, what I need is your consent for them to refund.” The reply to that, good or bad, can be emailed to DM (they will provide emails once you have a relationship with them in my experience) or by post. Regardless of the quality of that response DM will usually okay a refund if they can see UC are being a little bit “not very bright”.

My first, and to date only, UC appeal was an OP decision which was a giant mess from start to finish and which we won. Both UC and Debt Management went on to ask us to forward a copy of the appeal decision on multiple occasions. UC adamant at the time that they didn’t get copies of decision notices… Presenting officer remarked at the hearing that he didn’t think UC appeals team knew what they were doing which was not reassuring.

Did get the refund eventually. Hope UC appeals have improved since then.

UC appeals have not improved at all. It’s a source of amusement for tribunals in the sense that they seem to look at any UC PO with overwhelming pity.  The tone is very much “Look, these appeal papers are appalling. The claimant is almost certainly going to win. What makes it worse is that as a PO you have turned up to present this when you really ought to have gone back and said that you could not credibly explain or defend it at all.”

The truly sad bit is that the tone of many of the UC subs is very much “We know exactly what we’re doing. The problem is that you don’t understand this new system.” I am truly embarrassed for them.

Thanks for the replies.  My case was not even an appeal, UC corrected their own mistake in their MR.  I think I will start by writing to DM with a copy of the MR decision and ask them to confirm what else they need from UC as UC will not provide this on their own initiative.

I think you are being far too nice. UC have made a ridiculous error and failed to refund the collected overpayments (which ought to have happened automatically so far as your client was concerned). I think your client should just be making an immediate complaint and requesting a compensatory payment in addition to the refund.