Cover up payee in LWP

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What happens if a representative payee misuses funds?

849.501 Misuse of benefits by a representative payee. (b) The penalty for a representative payee found to be in violation of paragraph (a) of this section is a fine, imprisonment for not more than 5 years, or both.

How to get rid of a payee?

To request removal of a rep payee, a beneficiary should contact their local office and explain their goal. They will need to complete the appropriate SSA form, which will ask the beneficiary to explain why they can handle their own benefits.

What do I do if my representative payee dies?

When a representative payee dies, applicable regulations and SSA policy require that SSA will re-evaluate the beneficiarys ability to manage his/her own funds or select a new representative payee.

What is considered misuse of Social Security funds?

A representative payee may be an individual or an organization. An allegation of representative payee misuse is any information that raises a suspicion that a representative payee used benefits for a purpose other than for the beneficiary. SSA must immediately investigate an allegation of misuse.

Can a representative payee get in trouble?

Remember, the law requires representative payees to use the benefits properly. If a payee misuses benefits, he or she must repay the misused funds. A payee who is convicted of misusing funds may be fined and imprisoned. NOTE: A payee is appointed to manage Social Security funds only.

What if my payee is stealing my money?

What Happens If I Think My Representative Payee is Misusing (Stealing) My Benefits? Tell SSA right away. We will investigate all allegations of misuse, gather facts and evidence, and make a decision on whether misuse has occurred. You will receive a letter from SSA telling you what we found out.

What happens if a payee misuses funds?

Who is liable if your representative payee misuses your benefits? (a) A representative payee who misuses your benefits is responsible for paying back misused benefits. We will make every reasonable effort to obtain restitution of misused benefits so that we can repay these benefits to you.

What if I no longer want to be a representative payee?

If youll no longer be the payee, you must notify us immediately. This is important, because well have to select a new payee as soon as possible. When youre no longer responsible for the beneficiary, you must return any benefits, including interest and any cash you have, to us.

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