Home Equity Access Scheme - Quarterly Report

The Home Equity Access Scheme (the Scheme) is a voluntary arrangement that allows people of Age Pension age to supplement their retirement income through an Australian Government loan secured against their home or other suitable Australian real estate. Other qualification criteria apply, including residency. Participants can access regular fortnightly payments, capped lump sum advance payments, or both.

Fortnightly loan payments can ‘top up’ any pension payment the person receives to a maximum of 150 per cent of the maximum fortnightly rate of Age Pension. For example, a maximum-rate age pensioner can receive an extra 50 per cent of the pension as a Scheme loan, a non-pensioner can receive the full 150 per cent of the maximum Age Pension rate, and a part pensioner can receive an amount in between. Participants can also access up to two lump sum advances in any 26-fortnight period, to a combined total of no more than 50 per cent of the maximum annual rate of Age Pension. Any lump sum advance will reduce the maximum fortnightly loan amount a participant can receive over the subsequent 26-fortnight period.

A Scheme loan accrues compound interest. Any amount received under the Scheme, and interest accrued, is attributed as a debt secured against real assets nominated by the participant. Voluntary repayments can be made at any time but are not required. Any outstanding amount is recovered on the sale of the secured real estate (unless rolled over to a new property) or from the person’s estate. A No Negative Equity Guarantee limits the recoverable debt to the equity in the property used to secure the loan.

For more information about the Scheme, please visit the Department of Social Services' website at: https://www.dss.gov.au/home-equity-access-scheme