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.

4.3.8.70 Effect of garnishee order on instalment of PLP

Introduction

An instalment (1.1.I.80) is absolutely inalienable until the instalment of PLP has been paid into a bank account. At that point, the payment loses its character as an instalment and consequently its inalienability.

However, instalment amounts that have been paid into an account are protected, under some circumstances, from a garnishee order made by a court. Garnishee orders do not apply to a saved amount (1.1.S.10). The saved amount is worked out as follows:

  • Step 1 - work out the total amount of the instalments that have been paid to the credit of the account during the 4-week period immediately before the court order came into force.
  • Step 2 - subtract from the Step 1 amount the total amount withdrawn from the account during the same 4-week period.
  • The result is the saved amount.

Act reference: PPLAct section 66 Protection of instalment, section 97 Effect of garnishee etc. order

Policy reference: PPL Guide 6.3.4.20 Debt recovery by garnishee notice

Last reviewed: