What happens when a representative payee steals Social Security Disability income for personal use?

Question

What happens when a representative payee steals Social Security Disability income for personal use?

Answer 1

Nothing unless it is reported and reasonable proof is available. I was about to do this very thing for my niece. She had a representative payee (hired by the state as her guardian) for the last year who was paying her bills late and I recently found out- partial payments only. She was released as her rep payee and she was supposed to file an accounting. She didn't. Her landlord said she had past due bills to pay. These were all supposed to have been paid in full. If her SSI check didn't cover her bills I was supposed to be contacted. I wasn't. So I sent her a letter, copied to the law firm she works for, the judge who appointed her, and to SSA. Suddenly she got an accounting and a check.



First step is to get an accounting of what the rep payee says is spent. See how many of those you consider legit. Than ask for a detailed accounting and receipts if you still disagree.



If the payee won't provide any of this than you need to go to your local social security office with ID and your SS# and tell them what you told us.

Answer 2

Social Security processes it by obtaining an accounting of how the money is spent and if it is true the the rep payee is expected to repay it.



Usually the beneficiary complains because they don't understand that if the payee charges room and board that the amount of the room and board becomes the rep payee's money and they can use it however they like - as long as the beneficiary's needs are being met. It is seldom that a rep payee truly misuses a beneficiary's funds but it does happen. And when that happens it is imperative that social security appoint a new payee asap while investigating the misuse allegation.



If the rep payee is charging room and board the money is theirs to do with as they please. For example if you live with the rep payee and the rep payee charges you $400 a month for room and board, the $400 becomes their income and they can use it as they see fit. That isn't misuse of benefits.



If you live with the rep payee and the rep payee doesn't charge room and board but the money is used to help pay the rent or the utilities or to buy groceries then the money isn't being misused as you are being provided with a place to live, utilities to use and groceries to eat.



If your needs are being met then the payee isn't misusing the benefits - it's as simple as that.



Source: I was a social security claims rep for 32 yrs.

Answer 3

First go to SSA and ask to file to be your own payees as the Representative Payee is stealing from you. You have a right to file to be your payee; however SSA makes the decision. If you file because your payee is stealing from you and SSA does not immediately stop the payments to your payee make as much noise as you can. Go to your newspaper and your representatives in congress and get a disability advocate if one is available.



Second, it is absolutely illegal for a payee to steal from a beneficiary. However, you are up against proving the theft according to legal standards. You should certainly report the theft to SSA as well as your local police. You will probably need a lawyer to pursue the complaint as SSA will drag its feet and try to cover up the problem.



Unfortunately SSA is not nearly as pro active here as the agency should be. Good luck.

Answer 4

Contact a Social Security Disability Rights Lawyer (they are paid by Social Security) and explain your situation and concerns. If someone is stealing from you, they can see that the issue is taken care of.

Answer 5

Hi they can be prosecuted like any on else the law will deal with them as is normal.

Answer 6

There is a # ytou can call~social security fraud.