The Guides to Social Policy Law is a collection of publications designed to assist decision makers administering social policy law. The information contained in this publication is intended only as a guide to relevant legislation/policy. The information is accurate as at the date listed at the bottom of the page, but may be subject to change. To discuss individual circumstances please contact Services Australia.

6.7.2.70 Debt recovery by deductions from payments to third parties

Summary

SSAct section 1234A provides that debts incurred under the following acts may be recovered by deductions from the social security payment of person who is not the debtor, with that person's consent:

  • Social Security Act 1991
  • the 1947 Act
  • Student and Youth Assistance Act 1973
  • Data-matching Program (Assistance and Tax) Act 1990
  • Farm Household Support Act 1992
  • Social Security (Fares Allowance) Rules 1998, or
  • Student Assistance Act 1973 Part 8 as in force before 1 July 1998.

Repayment of money recovered from a bankrupt debtor

Where money has been recovered from a bankrupt person by means of deductions by consent under SSAct section 1234A from the payment of a person who is not the debtor, the money should be repaid to the person from whose payments it was deducted.

Act reference: SSAct section 1234A Deductions by consent from social security payment of person who is not a debtor

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