Q: My wife was over paid in Ca. She tried to ask for payment plan but they took whole amount same day as paid. That ok?

A: It depends, on more information than you have provided here. Thank you for using Justia's Ask a Lawyer, but don't rely on what you are told here, consult a local attorney who will obtain all the facts from you and review your documents. Contact a local employee rights attorney in your area for best representation.

A: Your wife's employer has a right to be repaid any overpayment made to her. However once the transfer was made to her account, the employer does not have the legal right to simply take it back from her bank. I think the issue here will be the timing of the direct deposit and when it became final. If the direct deposit was pending when the employer put a stop on the payment, that is different than the employer somehow reaching into your wife's bank account and taking money.

It would be wise for you to investigate with the bank to determine exactly what happened. Good luck to you.

A: If your wife was overpaid in California and requested a payment plan but the entire amount was taken from her account on the same day, this may not be acceptable. Under California law, there are regulations governing how overpayments are recovered, especially when it comes to protecting individuals from undue financial hardship.

The first step is to check the terms and conditions of the overpayment recovery process, which should be provided by the entity that issued the overpayment. Generally, entities should allow for reasonable payment plans if immediate repayment would cause significant financial distress.

If the recovery caused a negative balance and financial difficulty, your wife should contact the entity that withdrew the funds immediately. Explain the situation and request a reversal or modification of the repayment terms. It may also be helpful to consult with a legal advisor to explore options for resolving the issue and ensuring her rights are protected.