Recovery of payment

Every Advance Payment of Benefit is to be recovered from the client at a rate that will ensure the Advance Payment of Benefit is repaid within 24 months, unless exceptional circumstances exist.

The exception to this is Advance Payment of Benefit for safety footwear.

An Advance Payment of Benefit for safety footwear when the client gets a Participation Allowance for attending a Job Seeker Development Activity should be recovered at $5.00 or more a week, unless exceptional circumstances exist.

When a client has other debts, priority should be given to recovery of the Advance Payment of Benefit and recoverable assistance.

When a client is suffering hardship, you can consider reducing their current debt repayments.

The rate of recovery must be negotiated with the client, considering all their circumstances.

When setting the rate of recovery, you need to consider the following factors (where relevant):

• the circumstances of the client and their dependents
• the ability of the client to meet their needs and the needs of their dependents
• the amount of the debt - we want clients to pay off their debts as fast as they can, but always bear in mind the circumstances of the client and their ability to repay without placing them in undue hardship. If the debt is large you should consider a higher repayment rate if the client can afford to pay
• the effect the rate of recovery will have on the client's ability to support themselves
• whether the rate of recovery would cause undue hardship to the client or their dependents
• the effect the rate of recovery would have on the client's ability to fulfil their work and social obligations e.g. ensuring their child is enrolled with a Health Practitioner or enrolled with a medical practice that is part of a Primary Health Organisation if required to do so
• the ability of the client to get a further Advance Payment of Benefit or recoverable assistance if needed

If the client does not agree with the rate of repayment you must record why you decided to set it at that rate.

It is important that the client knows what amount will be deducted from their benefit, and when the deductions will end.

When possible, Advance Payment of Benefit needs to be recovered within 24 months to maximise clients' access to further Advance Payment of Benefits.

Clients, who request a reduction of their recovery rate that will extend beyond 24 months, must be considered against and meet the exceptional circumstances criteria.