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    Question about unemployment overpayment

    I had to pay back money that i was paid by unemployment because my employer won their case against me after I recieved the money.

    My lawyer told me that these types of debts could not be discharged in Chapter 7. I sent in a payment and it was returned to me with a letter that states:

    "Your account has been written off (FWO) due to the statute".

    Then on the top of the check they returned back to me the wrote -0- at the top.

    So am I safe to assume that this debt was also charged off in the bankruptcy?

    #2
    I cannot tell you why the $$ was returned to you however your gut reaction that your bk had something to do with it is a good one because your lawyer was wrong.

    Unless there was a finding of fraud in the receipt of the overpayment, overpayments are dischargeable. Your attny has confused the overpayment with the type of debts that would not be dischargeable under 11 USC 523(a)(7). The overpayment is not a "fine, penalty or forfieture payable to and for the benefit of a governmental unit."

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      #3
      Thanks for the reply, i am really hoping it was D/C. Does anyone know what the (FWO) stands for?

      Comment

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