Accommodation Bond
Maximum Bond and Charge Interest Rate
The Maximum Bond Interest Rate is the maximum interest rate chargeable on accommodation bonds paid after the due date, periodic payments, and overdue fees under a resident agreement, bond agreement or extra service agreement which are deducted from the accommodation bond balance.
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Maximum Accommodation Bond Interest Rate
(previously Treasury Note Yield)
Low care need residents, residents entering extra service places and residents who enter an aged care home within 28 days of leaving another aged care home to which they have paid a bond may pay an accommodation bond.There is no legislative requirement for interest to be charged on overdue amounts of accommodation bonds. However, if interest is to be levied on overdue amounts, the accommodation bond agreement entered into between the service provider and the resident must specify details including the rate to be charged and the circumstances when that rate may be levied.
The maximum accommodation bond interest rate for residents who enter care in the
1 January 2012 to 31 March 2012 quarter is 8.62%.
This is the maximum interest rate that can be charged for residents:
- on lump sum accommodation bonds which are paid after the date due, including bonds which are unpaid at the time of departure from the aged care home;
- on periodic payments of accommodation bonds;
- on amounts owed which may be deducted from the bond balance; and
- in certain situations where the resident leaves the aged care home within 2 months of entering care.
In summary, the maximum permissible bond interest rate for residents who enter care is:
| Residents entering care in the 1 January to 31 March 2012 quarter | 8.62% |
| Residents entering care in the 1 October to 31 December 2011 quarter | 8.86% |
| Residents entering care in the 1 July to 30 September 2011 quarter | 9.00% |
| Residents entering care in the 1 April to 30 June 2011 quarter | 9.02% |
| Residents entering care in the 1 October to 31 December 2010 quarter | 8.92% |
| residents entering care in the 1 January to 31 March 2011 quarter | 9.02% |
| residents entering care in the 1 October to 31 December 2010 quarter | 8.74% |
| residents entering care in the 1 July to 30 September 2010 quarter | 8.80% |
| residents entering care in the 1 April to 30 June 2010 quarter | 8.16% |
| residents entering care in the 1 January to 31 March 2010 quarter | 7.95% |
| residents entering care in the 1 October to 31 December 2009 quarter | 7.30% |
| residents entering care in the 1 January to 31 March 2009 quarter | 8.76% |
| residents entering care in the 1 October to 31 December 2009 quarter | 7.30% |
| residents entering care in the 1 July to 30 September 2009 quarter | 7.13% |
| residents entering care in the 1 April to 30 June 2009 quarter | 7.16% |
| residents entering care in the 1 January to 31 March 2009 quarter | 8.76% |
| residents entering care in the 1 October to 31 December 2008 quarter | 11.31% |
| residents entering care in the 1 July to 30 September 2008 quarter | 11.75% |
| residents entering care in the 1 April to 30 June 2008 quarter | 11.69% |
| residents entering care in the 1 January to 31 March 2008 quarter | 11.15% |
| residents entering care in the 1 October 2007 to 31 December 2007 quarter | 10.75% |
| residents entering care in the 1 July to 30 September 2007 quarter | 10.37% |
| residents entering care in the 1 April to 30 June 2007 quarter | 10.37% |
| residents entering care in the 1 January to 31 March 2007 quarter | 10.37% |
| residents entering care in the 1 October to 31 December 2006 quarter | 10.19% |
| residents entering care in the 1 July to 30 September 2006 quarter | 9.87% |
| residents entering care in the 1 April to 30 June 2006 quarter | 9.61% |
| residents entering care in the 1 January to 31 March 2006 quarter | 9.63% |
| residents entering care in the 1 October to 31 December 2005 quarter | 9.62% |
| residents entering care in the 1 July to 30 September 2005 quarter | 9.68% |
| residents entering care in the 1 April to 30 June 2005 quarter | 9.63% |
| residents entering care in the 1 January to 31 March 2005 quarter | 9.43% |
| residents entering care in the 1 October to 30 December 2004 quarter | 9.44% |
| residents entering care in the 1 July to 30 September 2004 quarter | 9.51% |
| residents entering care in the 1 April to 30 June 2004 quarter | 9.57% |
| residents entering care in the 1 January to 31 March 2004 quarter | 9.31% |
| residents entering care in the 1 October to 31 December 2003 quarter | 8.82% |
| residents entering care in the 1 July to 30 September 2003 quarter | 8.78% |
| residents entering care in the 1 April to 30 June 2003 quarter | 8.75% |
| residents entering care in the 1 January to 31 March 2003 quarter | 8.84% |
| residents entering care in the 1 October to 31 December 2002 quarter | 8.96% |
| residents entering care in the 1 July to 30 September 2002 quarter | 8.84% |
| residents entering care in the 1 April to 30 June 2002 quarter | 8.31% |
| residents entering care in the 1 January to 31 March 2002 quarter | 8.28% |
| residents entering care in the 1 October to 31 December 2001 quarter | 8.95% |
| residents entering care in the 1 July to 30 September 2001 quarter | 8.89% |
| residents entering care in the 1 April to 30 June 2001 quarter | 9.86% |
| residents entering care in the 1 January to 31 March 2001 quarter | 9.86% |
| residents entering care in the 1 October to 31 December 2000 quarter | 9.86% |
| residents entering care in the 1 July to 30 September 2000 quarter | 9.950% |
| residents entering care in the 1 April to 30 June 2000 quarter | 9.650% |
| residents entering care in the 1 January to 31 March 2000 quarter | 9.078% |
| residents entering care in the 1 October to 31 December 1999 quarter | 8.730% |
| residents entering care in the 1 July to 30 September 1999 quarter | 8.720% |
| residents entering care in June, 1999 | 8.675% |
| residents entering care in May, 1999 | 8.649% |
| residents entering care in April, 1999 | 8.675% |
| residents entering care in March, 1999 | 8.687% |
| residents entering care in February, 1999 | 8.675% |
| residents entering care in January, 1999 | 8.700% |
| residents entering care in December, 1998 | 8.777% |
| residents entering care in November, 1998 | 8.888% |
| residents entering care in October, 1998 | 8.935% |
| residents entering care in September, 1998 | 8.947% |
| residents entering care in August, 1998 | 9.000% |
| residents entering care in July, 1998 | 8.852% |
| residents entering care in June, 1998 | 8.848% |
| residents entering care in May, 1998 | 8.899% |
| residents entering care in April, 1998 | 8.933% |
| residents entering care in March, 1998 | 8.960% |
| residents entering care in February, 1998 | 8.980% |
| residents entering care in January, 1998 | 8.915% |
| residents entering care in December, 1997 | 8.795% |
| residents entering care in November, 1997 | 8.649% |
| residents entering care in October, 1997 | 8.863% |
Maximum Accommodation Charge Interest Rate
The maximum permissible accommodation bond interest rate does not affect high care residents who pay the accommodation charge.The maximum interest rate on overdue payments of the accommodation charge for residents entering into accommodation charge agreements from 20 March 2010 is 6% per annum.
In summary, the maximum permissible charge interest rate for residents who enter care is:
| residents entering care from 20 March 2010 | 6% |
| residents entering care from 20 March 2009 | 4% |
| residents entering care from 17 November 2008 |
|
| residents entering care from 20 March 2008 | 8% |
| residents entering care from 20 March 2007 | 7% |
| residents entering care from 20 March 2006 | 6% |
| residents entering care from 20 March 2005 | 6% |
| residents entering care from 20 March 2004 | 6% |
| residents entering care from 20 March 2002 | 5% |
| residents entering care from 1 July 2001 | 6% |
| residents entering care from 20 March 2001 | 7% |
| residents entering care before 20 March 2001 | 6% |
For more information, call 1800 900 554 (free call except from mobiles).
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