Debt waivers and write offs 107-20090157
This document provides the process for waiving or writing off Centrelink debts.
Waivers and write offs
Services Australia may not enforce its legal right to recover a debt in some circumstances. Legislation allows for Centrelink debts to be waived or written off. Consider waiving a debt before any other non-recovery action.
Considering a waiver
A waiver is permanent. Recovery of the debt cannot be pursued at a later date.
The decision to waive a debt is subject to review. If, upon review, the decision to waive the debt is set aside and substituted with a new decision, the (previously waived) debt may be recoverable.
Consider a waiver if:
- a customer or their nominee asks
- factors indicate that waiver may apply
A decision to waive a debt can be made:
- before or after determining the debt
- before or after the debt has been recovered
Other factors:
- a debt may be waived partially or in full
- a debt can occur at any time during a payment period
- only part of the debt may be subject to waiver
Considering a write off
Write off stops recovery action either for a defined or an undefined period. At any time, the write off can be reversed and recovery proceedings begun where circumstances change. Unlike a waiver, write off does not extinguish the debt.
Consider:
- waiving a debt before taking any other non-recovery action, and
- the cost effectiveness of recovery