What is one possible consequence of an unreported overpayment?

An unreported overpayment can indeed lead to a loss of Supplemental Security Income (SSI) eligibility. When recipients fail to report changes in income or resources that result in an overpayment, they may face penalties, which can include having their benefits suspended or terminated. The Social Security Administration (SSA) monitors compliance with reporting requirements, and if an overpayment is identified due to unreported information, it can impact the individual’s ongoing eligibility for SSI.

In addition to loss of eligibility, the individual may also be responsible for repaying the overpaid amount, which can lead to financial hardship. The other options do not align with the implications of an unreported overpayment; for example, unreported overpayments do not automatically grant additional benefits or increase cash benefits. Further, the assumption that there would be no consequence is misleading, as the SSA actively seeks to rectify any overpayments and enforce reporting standards.