If I Owe Money To Unemployment Will I Be Able To Collect Unemployment?


8 Answers

Monica Stott Profile
Monica Stott answered
Yes, you can be able to file and collect your unemployment claims if you owe the government. The fact that you are unemployed is enough reason to put your debt on hold.  If you are not working, how are you going to get the money with which you can pay the debt?

Well, this may depend on States. Even when the unemployment scheme follows the agreement between the federal and state government, it is administered by the state government. Therefore, the rules regarding what you may be eligible to collect as your unemployment benefits when you owe money may depend on your state. You have just a way to find out; file for an unemployment claim.

Yes, the best way you can find out whether you are still eligible to file unemployment claims while you owe money is to file for the benefits. Apply as soon as you can after you stopped working. A lot of people collect their unemployment claims even when they work and get paid as independent contractors covered by a Form 1099 or under the table in cash. When you file for your unemployment benefits as usual, the Department of Labour will review your claim for benefits and decide if you are eligible for unemployment compensation benefits.

In order to help improve on your chances of getting the benefits, you must:

- have a valid reason for not working

- have earned a minimum amount of money within a certain period of time

- be available to work

- be actively looking for a job.

In a situation where all these facts are clearly stated and proved where demanded, nobody or state will hold you accountable to your debt while you have no means of paying them. You are considered financially incapacitated and your benefits will still be given to you when you file. However, you must clear the debt, once you start working.
Lisa Marie Halsey Muniz Profile
I would call your unemployment office and talk to an eligibility worker for the most accurate information.  If you have not been kicked off of assistance for any reason and you qualify you can probably still get it.  Depending on what is available.  They will probably take a few checks as previously stated in another answer til it is paid in full or take a percent of your benefits each month and put towards your balance owing.  You really need to ask a case worker and they can tell you for sure what they would do for sure.
nettie Profile
nettie answered
You can sign up and usually they will keep as many checks as needed to pay off what you owe and then you will start getting them coming to you...hope this helps you.....
Anonymous Profile
Anonymous answered
There is a form you can fill out and enclose your first month's owe payment. They will then take a percentage out of your checks.

Just found this out. Hope it helps.
Anonymous Profile
Anonymous answered
If I owe money to the state of Virginia, and I moved to NY and worked for 9 months will I be able to collect UI in NY or will they put a stop on it because I owe VA?
Kyoko Katayama Profile
Kyoko Katayama answered
Who is "them"?
michael finnegan Profile
Depends on "them"
If you owe your former employer(s) money, that has no bearing on current lack of work entitlements. If you owe UC funds back, it is probably because they determined you received funds you weren't entitled to. There is probably a block on your account preventing the filing for benefits until the balance is cleared up (plus they'll add interest to the balance). Afterwards (if they still determine you haven't lost your eligibility) you can file for those weeks, but you may need to schedule an interview, or appeal for a hearing to get your status reinstated.

Lots of red tape and lousy attitudes: They can stop your disbursements within 24 hours of a determination, but could take 30-45 days to straighten out the mess, then another 21 days before they release the appropriate funds. Good Luck.

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