Learn about Refundable Accommodation Deposits in Australian aged care, including payment options, transfer rules, and how they work with daily payments.
Key areas covered:
- What is a Refundable Accommodation Deposit (RAD)?
- What payment options are available for accommodation costs?
- What happens to the RAD if a resident transfers to another facility?
What is a Refundable Accommodation Deposit (RAD)?
A Refundable Accommodation Deposit (RAD) is a lump sum payment made by an individual to a registered aged care provider for accommodation in an approved residential care home. It forms part of the deposited amount balance and is refundable when the resident leaves the facility.
What payment options are available for accommodation costs?
Residents have multiple payment options: they can make daily accommodation payments, pay a refundable accommodation deposit (RAD), top up an existing RAD to the agreed accommodation payment amount, or use a combination of both daily payments and RAD.
What happens to the RAD if a resident transfers to another facility?
When a resident transfers to another facility and there is continuity of care, the outgoing provider must transfer the refundable deposit balance to the incoming provider in accordance with the rules, unless specific circumstances prescribed by the rules apply.
