There’s an interest rate change for the Pension Loans Scheme
12 December 2019
Find out what the Pension Loans Scheme (PLS) interest rate change means for you.
The Minister for Families and Social Services sets the interest rate for the Pension Loans Scheme (PLS).
On 11 December 2019, the Minister announced a change to the interest rate. The rate will reduce from 5.25% per annum to 4.5% per annum from 1 January 2020.
If you have a PLS loan
If you have a PLS loan you don’t need to do anything. The new rate will apply to your loan from 1 January 2020.
We’ll send you a letter to tell you about the change.
If we’re assessing your PLS application
If we grant your application on or after 1 January 2020, we’ll apply the new interest rate to your loan.
If we grant your application before 1 January 2020, the current interest rate will apply to the loan up until 31 December 2019. The new rate will apply to the loan from 1 January 2020.
How to check your rate
To check which rate applies to your loan, use your Centrelink online account through myGov. Sign in, select Manage Payments in the menu then select the Pension Loans Scheme Overview service. The new rate will display after 1 January 2020 when either:
- a loan payment has been made
- interest gets added to your loan.
Read more about the Pension Loans Scheme.
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Page last updated: 17 December 2019