What to do when a foreign pension is suspended or wrong

Terms used

• Widerspruch — The Widerspruch is a formal written objection to a German pension decision, filed with the pension insurer.
• Bezwaar — The bezwaar is a formal objection to a Dutch pension decision, filed with the SVB.
• Recours amiable — The recours amiable is the first appeal to a French pension fund's appeals commission, before any court.
• Sozialgericht — The Sozialgericht is the German social court that hears pension disputes.
• Reclamación previa — The reclamación previa is the required first complaint to the Spanish pension body before going to social court.

Key rules

• Find the cause: The paying body's latest letter or online message normally says why payment stopped, so read it before anything else.
• Arrears: Back-payment rules differ by body, so ask in writing how far back yours will pay.
• Deadlines: Appeal deadlines run from the decision or notice date and range from six weeks to 60 days, so act quickly.
• Overpayments: Do not ignore a repayment demand; ask for a review within the time limit in the letter.

Start by finding the reason

A stopped pension is usually an admin problem, not a lost entitlement. Read the latest letter or online account message from the paying body first. It normally says why payment stopped.

The usual causes are:

• A life certificate or verification letter was not returned.
• You moved and did not report your new address, or mail came back.
• Your bank account closed or changed and the body was not told.
• The body asked for tax or residence information and did not get it.
• Your marital status or income changed, which matters for means-tested benefits.
• The body was told of a death, or believes one has happened.

Each body has its own rules, so the letter is your best guide. The checklist below walks you through the checks.

If payment stopped: get it restarted

Contact the paying body by its international helpline, online account or post. Send the missing item: the signed life certificate, your new Spanish address, new bank details or proof of residence. Then ask it to restart payment.

Most bodies pay arrears from the date of suspension once the requirement is met. Some limit back-payment when the delay was long. If yours was long, ask in writing how far back it will pay, and keep a copy of everything you send.

If you were overpaid

Foreign pension bodies usually start with a written demand. Then they either deduct from future payments in instalments or ask you to repay by transfer. In cross-border cases they may ask the Spanish authorities to help recover the money.

If you think the demand is wrong, do not just ignore it. Ask for a review or reconsideration, and appeal within the time limit stated in the decision letter. If that fails, the last step is a tribunal or court in the paying country. If you cannot repay in one go, ask about instalments.

If the calculation or decision is wrong

Each country has its own appeal route. You can usually file from Spain, by post or online. The decision letter states your exact deadline, and deadlines can change, so check it before you rely on the periods below.

• UK: ask the International Pension Centre for a mandatory reconsideration, normally within one month of the decision. Then you can appeal to the independent tribunal.
• US: ask the Social Security Administration for reconsideration within 60 days of receiving the notice. The law presumes mail takes 5 days to arrive. Later steps are a hearing before an administrative law judge, the Appeals Council and federal court.
• Germany: file a Widerspruch (an objection) with the Deutsche Rentenversicherung within one month. If it is rejected, bring a claim to the Sozialgericht within one month of the decision on your objection.
• Netherlands: file a bezwaar (an objection) with the SVB within six weeks. Then you can appeal to the court.
• France: first send a recours amiable to the pension fund's commission de recours amiable within two months. Then you can go to the pôle social of the tribunal judiciaire.

The Spanish social security office (INSS) can help pass on forms under EU and bilateral coordination rules. This route is for foreign pensions. A Spanish pension follows a different route, starting with a reclamación previa.

Watch for

Deadlines run from the date of the decision or notice, not from when you read it. Send your challenge before the deadline even if you are still gathering evidence. The warning below lists the most common traps.

Timeline and deadlines

• UK: ask the International Pension Centre for a mandatory reconsideration: normally within 1 month of the decision

• Germany: bring a claim to the Sozialgericht (social court): within 1 month of the decision on your objection

• Netherlands: file a bezwaar (objection) with the SVB: within 6 weeks of the decision

• France: send a recours amiable to the pension fund's appeals commission: within 2 months of the decision

Checklist

• Check whether a life certificate or a verification letter is still unanswered.

• Check whether the body has your current Spanish address and bank details.

• Check whether the body needs tax or residence information, or news of a change in marital status or income.

• Ask the body to restart payment and to pay arrears from the suspension date.

Pension traps for people moving to Spain

• A missed life certificate stops your payments: If your life certificate (the form proving you are alive) is not returned by the deadline, the paying body normally suspends your pension until it arrives. It may later stop the pension altogether. Return the correctly signed certificate as soon as it arrives, with a request to restart payment. Most bodies then pay arrears back to the suspension date, but some ask for extra proof after a long delay. If it is late, call the body's helpline, such as the UK International Pension Centre, the Dutch SVB or the German Renten Service.

• An unreported move or address change can suspend payment: If you do not tell the paying body that you live in Spain or have changed address, letters come back, bank payments fail and the pension can be suspended. You may also have to repay overpayments, lose yearly increases and end up with the wrong tax or healthcare status, such as your S1 card. Tell each body yourself through its own channel: online account, helpline, form or post. For US Social Security, use the Federal Benefits Unit at the US Embassy in Madrid. Also report a closed or changed bank account, and answer any verification letter.

• Do not assume your pension keeps rising: Yearly increases are not automatic for everyone abroad. US Social Security applies its cost-of-living increase in Spain, and Canadian pensions are indexed abroad, though Old Age Security has residency conditions. The Australian Age Pension rate is frozen after 26 weeks abroad, with exceptions for countries with a social security agreement, and Spain has one. A UK pension can also be frozen if you do not report the move. Before you move, ask your paying body whether your pension will be increased while you live in Spain, and budget on the lower figure until you have that in writing.

Frequently asked questions

Will I get back the money missed while my pension was suspended?

Usually yes, because most pension bodies pay arrears from the suspension date once you supply the missing item. Some limit back-payment when the delay is long, so act quickly and ask the paying body in writing how far back it will pay.

How does a foreign pension body take back an overpayment?

The usual way is a written demand, followed by deductions from your future payments in instalments or a request to repay by transfer. In cross-border cases the body may also ask the Spanish authorities to recover the money. If you disagree, ask for a review first.

How long do I have to challenge a US pension decision?

You have 60 days from receiving the notice to ask the Social Security Administration for reconsideration, and mail is presumed to arrive 5 days after the date on the notice. A hearing before an administrative law judge comes next if you are refused.

Can I challenge a foreign pension decision while living in Spain?

Yes, you can usually file from Spain by post or online with the body that made the decision.