• The Valuables Team, go to step 2

• Accounting and Payments Service (A&PS), go to step 2

• An Enquiry Centre, go to step 6

• Enter the following ‘Thank you for the personal cheque received on dd/mm/yyyy for the amount of £XXXX XX’

And, before issuing the LFC

• Go to step 3

• The details of the bank account that the tax credits are being paid into is provided

• Send the LFC to the claimant

And then

• Go to step 6

The details of the bank account that the tax credits are being paid into is not provided, go to step 4

• ‘To enable me to stop the payments going into your account can you please confirm that the account number on the cheque is the account number the tax credit payments are being paid into’

• ‘If not can you please provide details of the account that the tax credits are being paid into’

• ‘This must include the account name, sort code, and the account number or reference number if the account is with a building society

• Send the LFC to the claimant

And then

• Go to step 5

• Telephoned the person and obtained all the account details, go to step 6

• Written for the account details or the person says they will call you back, clerically BF the papers for one week to await a reply

• If the account details are provided within the week, go to step 6

• If the account details are not provided within the week, contact the person weekly at different times until you receive a reply. When the account details have been provided, go to step 6

Note: If after 3 more attempts you cannot obtain the account details, take no further action. You must make a note on form TC648 that no account details can be obtained and forward it to the Valuables Team

• Complete form TC687 with the following information

• The full name of the person whose account the tax credit has been paid into

• Your management unit details

• The reason for referring the failed payment

• Name and address of the bank or building society

• The account number and sort code

And

• Request the Bank Liaison Team ‘Trace the payment reference number, and the correct claimants surname and postcode’

And then

• Go to step 7

• BF the papers for 4 days to await a reply from the Bank Liaison Team

And then

• Go to step 8

• Receive a reply from the Bank Liaison Team within the 4 days, go to step 10

• Do not receive a reply after 4 days

• Telephone the Bank Liaison Team and ask them what the current position is

And then

• Go to step 9

• That their enquiries are not complete, BF the papers for a further 2 days to await a reply. When a reply is received

• Ask them to fax you a copy of the completed form TC687

And then

• Go to step 10

• It will take longer for them to get the information

• Ask them for a date that they expect to get the information

And

• BF the papers to that date. When a reply is received

• Ask them to fax you a copy of the completed form TC687

And then

• Go to step 10

Note: You must keep the Valuables Team updated on the current situation

• They have the details to hand and their enquiries are complete

• Ask them to fax you a copy of the completed form TC687

And then

• Go to step 10

• Use Function TRACE CITIZEN

• Enter the correct claimants surname and postcode only from the details on the form TC687

And

• From the traced claimants details, make a note on form TC648 of the claimants NINO

And then

• Go to step 11

Note: If you cannot trace the claim. Follow the guidance in No Trace Of Claim and attach the form TC687 to the referral form used in this guidance

• Go to the View Award Summary screen

• Double click on any of the earlier payments and make a note of the account details

• Double click on the latest payment and compare the account details

And then

• Go to step 12

• Are the same, go to step 13

• Are different, go to step 21

• Go to the Maintain Payment Suspension screen

• Select ‘Invalid Bank Details’ from the Suspensions Available To Be Set drop down list

• Click on the [Add] button

• Click on the [OK] button. When the message ‘Are you sure you wish to suspend payments on this application’ displays

• Select ‘Yes’

Note: This will prevent further payments from going astray. The suspension will be automatically lifted when new account details are captured

And then

• Go to step 14

• Enter the following ‘TCMZ Payment suspended due to incorrect bank details’

  Notes:

  You must follow the guidance in How To Correctly Complete Application And Household Notes when you record the note

  And also

  Follow the guidance in Maintain Household Notes

And then

• Go to step 15

• To provide new or correct bank account details

• Whether they have received any tax credit payments, and if they have

• How many payments have they received

And

• On what date they received them

Follow the guidance in Contacting The Claimant

• If the claimant provides the correct account details, go to step 17

• If the claimant cannot provide the correct account details or you are waiting for a written reply, go to step 16

• Select the ‘Suspended Payments’ Work List

• Set an action date for 28 days in the future, making sure the Retained checkbox is ticked

• Use Function MAINTAIN HOUSEHOLD NOTES

• Enter the following ‘TCMZ Payments are suspended due to incorrect account details held. Awaiting reply from claimant’

Notes:

You must follow the guidance in How To Correctly Complete Application And Household Notes when you record the note

And also

Follow the guidance in Maintain Household Notes

And then

• Go to step 17

• States that they have not received any tax credit payments, go to step 18

• States that they have received tax credit payments (including any manual payments), go to step 20

Or

• If the information is not provided by the action date, delete the entry from the work list and then go to step 22

• Go to the Postings screen to check if any manual payments have been made

• Use Function MAINTAIN HOUSEHOLD NOTES

• Check if any notes have been made relating to a manual payment being made

• If no manual payments have been made, go to step 19

• If manual payments have been made, go to step 20

• Click on the payment to be cancelled to highlight it

• Click on the [OK] button. The Cancel Applicant Payment screen will display

• Select the appropriate reason for cancelling the payment from the Cancel Applicant Payment screen

• Click on the [OK] button to cancel the appropriate payment. You will be taken back to the Record Applicant Failed Payment screen
• In the Record Applicant Failed Payment screen, click on the [Cancel] button. This will create an entry on the ‘Applicant Failed Payment’ Work List

Note: If you cancel the wrong payment, follow the guidance in Wrong Payment Cancelled

• Amend the bank account details on the computer with the new ones

Follow the guidance in Changes

And then

Go to step 21

Note: Once new account details have been entered, all suspension reasons and any work list entries will be removed and all cancelled payments will be issued to the claimant

• If the bank account details have already been changed, enter the following

• ‘TCMZ Cheque retd for £XXXX XX recd from a person who has recd payment incorrectly. Repayment of money from incorrect bank account. Bank details already amended and money is being paid to the claimant’s correct account. Cheque to A & PS Cumbernauld’

Notes:

You must follow the guidance in How To Correctly Complete Application And Household Notes when you record the note

And also

Follow the guidance in Maintain Household Notes

And then

• Go to step 22

• If you have amended the bank account details and reissued money to the correct account, enter the following

• ‘TCMZ Cheque retd for £XXXX XX received from a person who has recd payment incorrectly. Repayment of money from incorrect bank account. Bank details amended and money reissued to claimants account. Cheque to A & PS Cumbernauld’

Notes:

You must follow the guidance in How To Correctly Complete Application And Household Notes when you record the note

And also

Follow the guidance in Maintain Household Notes

And then

• Go to step 22

• The claimants correct account details

• The claimants name, NINO, and address

And

• The details of the person who has received the payment incorrectly

Note: If the cheque or cash was received at an Enquiry Centre or A&PS Cumbernauld, there is no need to send a form TC648 to the Valuables Team

• The claimant details

• The action you have taken

And then

• Store the papers. Follow the guidance in Preparing and Sending Documents for Storage