Document ID: chunk:federal_register_of_legislation:F2025C00076:reg:74
Version: federal_register_of_legislation:F2025C00076
Segment Type: reg
Provision Reference: reg 74
Character Range: 100931–102052

74  Payment if agreed accommodation bond not paid
 (1) This section applies if the care recipient:
 (a) has agreed to pay the accommodation bond in whole or in part as a lump sum; and
 (b) leaves the residential care service or flexible care service after being provided with care for more than 2 months; and
 (c) does not pay the accommodation bond before leaving the service.
 (2) The care recipient may be required to pay the interest equivalent, in relation to the care recipient's accommodation bond balance, to the approved provider.
 (3) The interest equivalent is the amount worked out in accordance with the following formula:
where:
D is the number of days in the period:
 (a) beginning on the first day of the month in which the lump sum was to be paid; and
 (b) ending on the last day of the month in which the care recipient leaves the service.
I is the lower of:
 (a) the interest rate stated in the care recipient's accommodation bond agreement; and
 (b) the maximum permissible interest rate for the care recipient's entry day.
LS is the amount of the accommodation bond agreed to be paid as a lump sum.