Document ID: chunk:federal_register_of_legislation:C2024A00104:section:308
Version: federal_register_of_legislation:C2024A00104
Segment Type: section
Provision Reference: s 308
Character Range: 483610–485002

308  Amounts that must be deducted from refundable deposit balances—retention amounts
 (1) Subject to rules made for the purposes of subsection (3), a registered provider must deduct one or more amounts (a retention amount) from a refundable deposit balance.
 (2) A retention amount is to be calculated in accordance with the rate of retention prescribed by the rules:
 (a) on a daily basis; and
 (b) by reference to the refundable deposit balance on that day.
 (3) The rules may prescribe the following:
 (a) when a registered provider may deduct retention amounts from a refundable deposit balance;
 (b) any other matter relating to retention amounts.
 (4) A registered provider must not deduct a retention amount from a refundable deposit balance:
 (a) more than once in any one month period; or
 (b) after the end of the period of 5 years beginning on the day a refundable deposit was first paid by the individual.
 (4A) A registered provider must not deduct a retention amount from a refundable deposit balance in any one year period if the sum of all retention amounts deducted from the refundable deposit balance in that period is equal to or greater than 2 per cent of the refundable deposit.
 (5) Despite subsection (1), that subsection does not apply in relation to an individual's refundable deposit balance if the individual is in a class of individuals prescribed by the rules.