Reissue a payment returned from a financial institution 103-04040020

Services Australia has a responsibility to make sure that the customer's payment is replaced (if eligible) as quickly as possible.

When a payment has been returned to the agency by a financial institution, a Manual Follow-up (MFU) activity titled 'unsolicited refund' will show on the customer's record stating 'Unsolicited direct credit return'.

Before reissuing the payment to the customer, the Service Officer must check the customer's:

• payment destination details are correct
• entitlement to the payment

If the customer advises payment delivered via direct credit or RTGS has not been received, and claims to have been advised by the financial institution that the payment has been returned, but it does not appear as a returned payment on the customer's record, follow the process in Reissue a payment at a customer's request procedure.
Note: it can take up to 2 working days from the date a payment via direct credit or RTGS was automatically returned to show on the customer's record.

Any unsuccessful payments delivered via the NPP will be returned immediately.

If a payment has only been partially returned, the system will only allow reissue of the returned amount.

Where the customer requests the full payment be reissued, they must be advised that if the original funds cannot be fully recovered, a Duplicate Instalment debt will be raised for investigation. If it is determined that the customer benefited from the original payment, they will be liable for the debt.

If a financial institution, customer or third party has returned a payment via bank cheque or cash to a service centre, due to it being received in error or because the customer objects to receiving the payment, a manual return needs to be created. Follow the process in Processing a returned payment.

Note: it can take more than 2 working days from the date payment was returned by bank cheque to show on the customer's record.

For customers who have a payment issued from their Income Management account returned from a financial institution, the funds will be automatically re-credited to their Income Management account. A new payment will need to be issued to the customer from their Income Management account.

The Paid Parental Leave Employer Processing Team (PPLEPT) is responsible for re-issuing Parental Leave Pay (PPL) returned payments where PPL delivery is via the employer. See Delivery of Parental Leave Pay (PPL).

If an ABSTUDY third party payee such as an Education institution, Residential college or Boarding schools/hostel has changed their bank account details without notifying the agency, this will result in payments to these third parties being returned and a MFU activity created.

The Third Party Payment Details (PDD) screen, accessible by ‘S’electing the payment line on PS and selecting ‘Continue (enter)’ twice, will display any rejection/reissue details. See the Returned payments to third parties step in the Process tab.