Forum Discussion
What they do not tell you about accessing your super
Well, it's been an interesting day.
I've spoken to my super fund several times in the last couple of months about accessing super on the grounds of financial hardship. The information I was given was that once Centrelink confirmed I was eligible I would be able to lodge a claim.
What I was not told, at any time, was that they will only release enough to cover debts that are currently in default--that if you are foolish enough to borrow money from friends or family to cover expenses such as rego, power, water, rates etc. you will not be able to make a claim. That money suddenly becomes a personal debt rather than a living expense. Even if you can demonstrate that your immediate living expenses are higher than your income, you don't qualify.You actually have to wreck your credit rating and get disconnected from services before there is any chance of getting hold of your money.
So, if you are intending to attempt to access your super in the foreseeable future do not borrow any money to cover any bills that are overdue until you are certain you are doing the right thing.
I am furious. I've been escalated up the line of management, all of whom have apologised profusely for the oversight. The calls have been recorded, so there is no question about what information was given to me. We've had a little listen to them to make sure. There is also no redress--it's just too bad. They will improve their service delivery, so I am told. Like hell they will, the parasites.
I'm gong to do the whole letter to my MP thing, but the legislation is the legislation and there is no getting around it. This also applies if you want access on compassionate grounds, you must be in default to the service provider and the bills must be unpaid.
Of course, you should check with your fund to make sure, but you now have some idea what you should be asking. I suggest you ask some very pointed questions because there is no way they will tell you what you need to know otherwise.
41 Replies
- @Vangirl they have changed it since i tried accessing my own money. I think maybe its time agin to try. Maybe if that has been updated some other things have been updated that might be in our favour. We can only try i guess.
@arpie you make a great point and i never thought about it but its got me thinking now a d i would like to know the answer or if its actually happened to anyone out there?. - F-F-F-F-For crying out loud - that is disgraceful, @Sister!! Time for the Ombudsman, methinks! ;)
- @zoffiel I'm there with you. I'm amazed at my Super fund. I'm not sure if they've been difficult or just bloody incompetent. It took months to get money out of them, now because of their studios it's paid in the wrong financial year which has other flow on issues (which I flagged with them back in May), they never sent me a statement and when I finally got it - they've not pause me for January. Oh - and I have no case manager because mine left a few months ago and they haven't passed my file on to anyone else.
- So if you DON'T die within the 2 years (after getting your own money!) do they ask for it back?
This is SO WRONG - that they won't readily give you your own money for requirements NOW!!! - Not yet, @kmakm I'll see how things pan out. The other thing I did once I realized my insurance was still current was start making small voluntary contributions--only a few bucks, but I means they can't suddenly decide to apply their own rule and cancel that premium. I hope I'm giving someone in that office nightmares :)
Just wanted to point out to others reading this that the definition of terminal illness changed a few years ago and is now two years - so you now should be able to access your super and/or any life insurance if your doctors certify that you have less than two years to live.Pebbz1981 said:@Zoffiel, I tried accessing my super once i was diagnosed with metastatic, i though i can pay of the debts and spend some money on sprucing up the house and go on a holiday with my husband, you know enjoy the money before i am gone. My oncologist filled out all the forms and did everything possible to help me get the money which belongs to me.........There "doctors" said claim denied........WHY? a terminal illness has to have a lifespan f less than 1 yr...... I said to them well i am terminal and i hope i get to live longer then 1 yr , i hope i live 10 yrs and more.
So even though the money belongs to me and now i keep paying fees on it so each year it gets less and less, i am not enititled to pull it out. Eventually by the time i have left my husband will be left with nothing. Ridiculous. That and private health cover....Dont even get me started on them haha.Indeed @kmakm. The other conversation that no-one there wants to have concerns my income insurance. They have continued to deduct premiums even though I made no contributions for over 18 months. That's against their own policy which states the deductions stop after there has been no contribution to the fund for 6 months. No one can explain how that was allowed to happen. Current activity at the financial services royal commission might shed some light on that. Pure bloody greed and the belief that there will be no penalty for noncompliance.
Now they are offering to cancel the current policy. Why would they want to do that, I wonder? I've said no. Since I haven't been able to make a claim and the policy was taken out before my diagnosis, I want to know if I am still able to make a claim if I'm employed when the cancer returns or I suffer one of the multiple treatment related catastrophes that we know are lurking in the background. Like heart disease brought on by chemotherapy for example. I had no pre-existing condition when I took out the policy as I had no evidence of disease and hadn't had any cancer treatment for nearly 5 years. So, I should be still covered if I need to make a claim and I am employed at the time, yes? The product disclosure statement doesn't cover that situation--thus their desire to get rid of that policy. Oh, the wriggling and thrashing that is going on. It's costing me $30 a month out of my fund, but there is no way I'm going to roll over on this one. No doubt I'll get screwed over in the end, but I am not going to make it easy for them.
- @Zoffiel You and every other member of your super fund via the fees that are being gouged out of your money...
