January 14 2020.

The new and improved Pension Loans Scheme

In the 2018-19 Federal Budget, the Government announced an expansion of the Pension Loans Scheme (PLS). Legislation has now passed through Parliament for the changes to come into effect on 1 July 2019.

The PLS, in its new format, allows qualifying Age Pension-age Australians who own property to take out a loan, irrespective of whether they qualify for an Age Pension payment.

The loan is in the form of a fortnightly payment from Centrelink up to 150% of the maximum Age Pension rate. For a single person, this loan potential is about $36,000 per year, and for a couple, about $54,000. Full or part pensioners will be able to borrow the difference between their current Age Pension and the maximum 150% rate.

Please findInformation on the new and improved Pension Loans Scheme (PLS)

Click here to read the update.