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Centrelink puts 6-month freeze on debt recovery
Government debt recovery activities related to social security payments, the family tax benefit and child care subsidies are set to be paused for the duration of the coronavirus pandemic.
Centrelink puts 6-month freeze on debt recovery
Government debt recovery activities related to social security payments, the family tax benefit and child care subsidies are set to be paused for the duration of the coronavirus pandemic.
According to Services Australia, Centrelink debt won’t be referred to external collection agencies for the next six months.
Tax refunds also won’t be chased for the purpose of settling government debts.
The government agency said it won’t be asking Australians to repay any monies owed “unless the debt relates to fraud or serious non-compliance”.
“This means that during these difficult times, you can focus on your personal situation.”
The pause will initially last for a six-month period – until October 2020.
For those individuals who already have a payment arrangement in place and can continue to pay off such debts, this pause will not apply.
For anyone who does need to reduce or stop their repayments for a period, they are encouraged to contact Centrelink’s debt line.
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