Suspension of payments of Assistance for Isolated Children (AIC) 102-10030040
This document outlines whether AIC payments should be suspended, and the processes for manually coding a suspension.
Suspension of payments
Payments may be suspended if:
- a customer is temporarily not qualified for payment, or
- the payment is not payable as a result of:
- changes in their circumstances
- failure to comply with the requirements for payment, or
- details are required to make sure that payments are directed correctly (such as a valid address or bank account details)
The decision to suspend a customer’s payment is an action which has potentially a great impact on a customer.
Customer contact
Before a payment is suspended, information must be requested from the applicant. An appropriate request for information must be issued and the appropriate time for a response must have passed. For further information, see the Process page.
For information on requesting information, see Requesting information (CLK).
The decision maker must be satisfied that there is sufficient evidence that the applicant/student is either temporarily not qualified for the payment or the payment is not payable. A decision to suspend a payment has the potential to impact on the applicant and must be made in accordance with legislation and the relevant process to avoid causing financial hardship.
Suspension does not necessarily indicate a loss of qualification, and full arrears may be issued if payment is subsequently restored.
Reasons for suspension
AIC payments may be suspended if:
- the applicant's or student's circumstances have changed
- they have failed to comply with the requirements for payment, or
- more details are required to make sure that payments are directed correctly
If a payment is suspended, tell the applicant:
- the suspension reason, and
- their review and appeal rights, to avoid placing them in financial hardship
Nominee arrangements
If the applicant has a correspondence nominee, contact must be attempted with the nominee before the payment is suspended.
Notification of suspension
Applicants must be told of the decision to suspend their payment. If an automatic letter is not issued by the system, a manual letter must be issued with:
- the reason for the suspension
- date of effect
- the information or documentation required to enable payments to be restored
- reference to the relevant act, and
- the applicant's review and appeal rights
When the payment is suspended, additional appropriate actions are also required. For example, issue a letter, code a manual review, record details of the decision on a DOC, etc. For further information, see the Process page.
Unfavourable decisions
When making an unfavourable decision, speak to the customer:
- explain the decision
- give them a chance to provide more information, and
- advise their review and appeal rights
Applicant contacts after suspension
Explain the reason for suspension. Tell the applicant what documents are required or what is required for the payment to be restored.
Related links
Codes for Assistance for Isolated Children (AIC) cancellation, suspension and rejection reasons
Restoration of Assistance for Isolated Children (AIC)