National Insurance Collection Division: We will refund fines that were offset against benefits

June Green
December 29, 2015   
Parents who were supposed to receive retroactive payment of child benefits discovered: Because of debts they had accumulated, the National Insurance Company chose to offset the debt • Following the complaints, the National Insurance Company's collections manager pledged: "We will refund the fines and interest to those we offset from child benefits""
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 The Public Inquiries Committee, headed by MK Yisrael Eichler, convened following inquiries from parents of children who were supposed to receive retroactive payment of child benefits, in accordance with the coalition agreement between United Torah Judaism, Shas, and the Likud, but because of debts they had accumulated over the years to the National Insurance Institute, the Institute chose to offset the debt and not transfer the payments due to the children.

 Committee Chairman: "I assume that the offset was legal and debts must be paid. But not everything that is legal should be done. We have received many inquiries about the same problem.

""A mother of four children who was waiting for the amount she was owed found that you had offset the debt that her father owed from seven years ago. If it is legal, why didn't you offset it until now, and if you waited seven years, I ask that you make an arrangement with them to cancel interest penalties, as you did with all the debtors following the discussion in the Public Inquiries Committee.".

 Moshe Amit, Director of the Collection Division at the National Insurance Institute: "We paid retroactive payments to one million and seven hundred families in the amount of 560 million shekels. Of this, a total of 45 million shekels in insurance premium debts and other various debts totaling 3 million shekels were offset.

""I can promise you that we will conduct a scan of all these cases where we offset debts, and not discriminate against them compared to others. I hope we can do it within a month.".

""By the end of February, we will correct the account and return the fines and interest to those who we deducted from the child allowances, in addition to the principal amount that the parents owe.".


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