Last amended: 29 July 2010
Acceptable types of accounts
Payment can be made to any Australian transaction account, held at any financial institution, provided the account has:
- a valid BSB code, and
- an account number of 9 digits or less.
Payments cannot be made to debit accounts such as credit cards, and fixed term investments such as term deposits.
Direct credit payment to account of pensioner
Generally, the account into which direct credit payments are to be made must be an account that is nominated and maintained by the person to whom the pension is payable. In order to ensure that the payment is being made to the pensioner, ideally the account title should match the current pensioner name as recorded on VIEW. However, payments can still be made to the account if a link can be established between the payee name and a historical name recorded in notes on VIEW.
Where appropriate, a file note should be added that differences in the payee name and the pensioner name have been investigated and a link exists between the two names.
Direct credit payment to joint account
The account into which direct credit payments are to be made can also be a joint account maintained by the pensioner jointly (or in common) with someone else.
Direct credit payment to family trust account
Payment into bank accounts
Section 58F VEA
A family trust bank account can be the destination for pension payments provided that the veteran's control of the trust satisfies the maintenance test as in section 58F of the VEA.
Direct credit payment to account of agent
Where a pensioner's payments are being made to an agent, the direct credit may be made into an account operated by the agent if this is requested by the pensioner. The payment may be made to an account held solely in the agent's name, or to a joint account held by the pensioner and agent.
Direct credit payment to account of trustee
Where a pensioner's payments are being made to a trustee, the direct credit may be made into an account operated by the trustee if required.