Payment plan for levies and fees

Helping you maintain financial stability

What is a payment plan?

A payment plan is an application, approved by a committee, to allow a property owner to repay their overdue levies via periodic instalments over an agreed timeframe. Payment plans are for owners who are genuinely experiencing financial hardship. The committee can act if debts remain outstanding at the end of the payment plan period.

 

Why do we pay levies?

Levies and fees are critically important because they pay for the safety, insurance, maintenance, and necessary utilities for common property areas. When you buy into a property that has levies and fees, you legally agree to make these contributions as required. What’s more, paying levies on time ensures your property is well maintained to hold or increase its value.

 

What if I’m struggling to pay my fees and levies?

While the success of community living relies upon each owner making their contribution, sometimes we fall on financially hard times, and regular payments aren’t possible. When this happens, your strata, body corporate, or owners corporation manager can help you apply and submit a payment plan to your committee. Your committee will assess the reasons you provided when applying for a payment plan, calculate whether the property can afford to have you on a plan and decide to accept or deny.

 

Will fees apply for obtaining a payment plan?

There is no fee for having a payment plan accepted and actioned. However, collection fees already accrued before
initiating the plan will be added to your account. If you are struggling with your levies and fees, being proactive is important and will save money.

 

Will I incur interest on my unpaid levies?

Maybe, this depends on the action your property decides to take. New South Wales, Queensland, and Victoria all have maximum penalty interest rates set out in legislation for late levies and fees. However, whether interest rates are applied or not must be voted upon at a general meeting. To find out more about your circumstances and incurring interest, talk to your strata, body corporate, or owners corporation manager.

 

What is the minimum instalment or payment I can make?

Your committee will decide if your payment plan and the rate at which you choose to pay is sufficient.

 

Submitting your payment plan

Once you have completed the form and given it to your manager, your manager will submit the payment plan formally to your committee for review and determination of the outcome. Should your application be successful, collection action will cease, and fees will be added to your property’s account. Your payment plan will be monitored until completed.

 

How do I apply for a payment plan?

• Complete and sign the levies and fees in arrears application form
• Include details about your financial hardship and why you need the payment plan
• Notify your strata, body corporate, or owners corporation manager
• Submit the completed form to your manager