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Refunds and Exemptions for Overpayments: FAQ Guide Part 2

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Navigating overpayment issues can be complex, especially when dealing with reinstatement checks, credit reports, bankruptcies, and federal tax liens. This article addresses frequently asked questions to help people understand and resolve these situations effectively.

Question 1: Why was my last refund check returned to me with a letter that said “satisfied”?

The phrase “Repayment has been satisfied” indicates that your debt to the Division has been paid in full. His personal check has been voided and returned. If you paid with a money order, you can request a refund at the point of purchase using the transaction receipt.

Question 2: I paid my debt in full. Why does it still appear on my credit report?

To obtain an Order of Satisfaction letter, visit the New Jersey Superior Court Judgment Lien Search. This document confirms payment and can be used to address discrepancies on your credit report.

Question 3: My debt was discharged through bankruptcy. Why am I not receiving Unemployment Insurance benefits?

Update the system manually by contacting the Bankruptcy Unit in the Benefit Payment Control Office. Please provide your details in writing to the specified address and include your telephone number.

Question 4: My debt was discharged through bankruptcy. Why is a lien still showing up on my credit report?

Bankruptcy discharge does not automatically remove the lien from your credit report. After one year, file an application with the Superior Court to discharge the lien. Contact your bankruptcy attorney for guidance.

Question 5: What is the Treasury Offset Program, and why is my federal tax return being withheld?

The Treasury Compensation Program (TOP) collects delinquent debts owed to federal agencies and states. Delinquent debts due to overpayments may result in federal tax refunds being withheld. Contact the New Jersey Department of Labor for more information or to establish a formal agreement.

Question 6: My federal tax return was held, but I resolved or waived my overpayment. How do I recover funds from my federal tax return?

For more information on how to resolve issues related to the Treasury Compensation Program, please contact the appropriate department at 609-659-4050.

Resolving overpayment issues requires understanding the specific processes that are involved. Whether confirming satisfaction, addressing credit report discrepancies, navigating bankruptcy, or dealing with federal tax return holds, individuals can take proactive steps to resolve these issues by following the guidelines provided in this comprehensive FAQ guide. Also, for more detailed information and additional questions, please see Part 1 of this guide on our website.

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