I was paying by Direct Pay (DD to the other parent) and CMS set a figure per month to pay. I set up a Direct Debit to pay directly into their account, as I have done for the last 12 years, no problem. A year later, unbeknownst to me, that amount was short by £50, (so £50 x 12 months = £600) As the CMS couldn't get hold of me (they stopped sending me letters expecting me to go online, which I struggle to do and phoned me during working hours when I cannot answer the phone) they applied a Deduction of Earnings. Now they say I owe £1862.43! I have paid every month in good faith the amount in the letters I DID receive and the other parent accepted those payments. (I believe they knew it was underpaid but chose to delay telling the CSA in order to hit me with a huge bill at the end of the year, crippling me financially)
Question, if the other party knew the payments were underpaid for the whole of last year, are they allowed to backdate the whole year?
One caseworker suggested it may only be backdated 3 months, or until the last review which would be October last year. (it is March now)
The point is I was paying every month what I thought was the correct amount, and the other party accepted that, no hint that I was underpaying.
Hi,
Sorry to hear. They send out a payment plan that covers 12 months. So if you did not notice the exact amounts and were paying less, then I don't think much can be done about this. If the arrears are genuine, then you can call CMS and tell them can they arrange a repayment plan, to spread arrears out over 2 years or more, to make it more affordable for you.
Also, if you make consistent payments for 6 months with DEO, then you can ask to be taken off, and go back to direct pay/direct debit, so you no longer pay extra charges.