Debt in grief: Centrelink's ‘insensitive’ letter adds pain to mourning daughter’s loss

When people lose a loved one, the grief can be all-consuming.

The last thing they need during such a time is additional stress, especially from unexpected and insensitive bureaucratic demands.

Yet, this is precisely what happened to a Victorian woman named Casey, whose experience with Centrelink has sparked a wave of sympathy and outrage across the nation.


Casey was already grappling with the profound loss of her mother to an aggressive form of lung cancer when she received a letter from Centrelink that added insult to injury.

The letter expressed condolences for her loss but simultaneously demanded the repayment of a $668.80 overpayment that her mother allegedly owed from December 2022.

The timing of this letter, arriving a full year after her mother's passing, struck Casey as not only insensitive but also absurd.


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Casey expressed her frustration on social media after receiving a letter from Centrelink demanding repayment of her late mother's debt. Credits: Shutterstock


Taking to social media, Casey shared her disbelief and frustration with the world.

‘Apparently, they've just noticed they've overpaid her. She has been dead for a year and they're only now coming for a debt from two years ago. I'm really, really glad to have the sympathy of Centrelink right now, she said sarcastically, before describing the letter as 'dog s***'.

Casey said she was ‘gobsmacked that this was even something I needed to worry about’.

‘Honestly, all I want is an apology, and time to heal. It's just such a traumatic situation to have continually brought up and rubbed in my face,’ she continued.

The mourning young woman, who has a younger brother, stated that her mum, who succumbed to an aggressive type of lung cancer, 'was a stay-at-home mum our whole lives'.

‘She had no savings, her estate had nothing in it,’ Casey added.


Hank Jongen of Services Australia, responsible for overseeing Centrelink, clarified that when a deceased individual has an outstanding debt, ‘we are legally required to contact the executor of their estate to see if there are sufficient funds in the estate to repay the debt’.

He mentioned that they cease pursuing debts when the estate is closed or if there are insufficient funds in the deceased person's estate to cover the outstanding amount.

‘We sincerely apologise for any distress caused and have a dedicated team available to help people experiencing difficulties,’ Mr Jongen added.


The comments on Casey's video revealed that her experience is not an isolated one.

Many Australians shared their own stories of receiving similar letters from Centrelink after the death of a loved one.

‘The same thing happened to my mum. I gave them the address of the cemetery so they could go and collect it from her,’ one commenter said.

‘We were in a similar situation, not your debt, not your problem. do not pay,’ another advised.

Yet, there were also those who defended Centrelink's actions, suggesting that the agency was simply following protocol.

‘They have rules they have to obey,’ one pointed out.

‘It's a business and they need to make sure the books are correct. Just business, don't (take) it personally. You are in Australia,’ another said, to which Casey replied, ‘If the government is so strapped for cash they should probably try taxing mining companies instead of bothering the families of deceased people for money.’

You can watch Casey’s video here:


Source: Tiktok / @seagooseeee

Casey’s story sheds light on the challenges many Australians encounter when dealing with government agencies.

While Centrelink aims to assist individuals with services like the age pension, many experience concerning issues with the agency.

Thousands of seniors are left waiting for their age pension, enduring agonising waits due to bureaucratic processes and system inefficiencies.

Additionally, numerous Centrelink customers have reported months of frustration with call hang-ups and lack of assistance, highlighting a broader issue of accessibility and customer service within the government department.
Key Takeaways
  • A Victorian woman named Casey was heartbroken after receiving a letter from Centrelink demanding repayment of her deceased mother's debt.
  • Centrelink expressed sympathy for the loss but insisted on recovering the $668.80 overpayment from December 2022.
  • Hank Jongen from Services Australia stated that they are legally required to contact the executor of an estate about outstanding debts if funds are sufficient.
  • The issue has sparked a public backlash, with many sharing similar experiences, although some acknowledge Centrelink's legal obligations.
Have you or someone you know faced a similar situation? How was it resolved? We encourage you to share your thoughts and experiences in the comments below.
 
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what gets me.is that the scum they let in from the middle east, get more than the pensioners, by nearly double it is absolute bullshit.
hello there,just read your post, and yes do aggree with you, used live in a suburb that heaps of so called refugees where placed, and they received far greater benefits than genuine aussies, along with having these bludgers turn up the crime rate just blew out , still got the dole though, without the rubbish an aus got. along with that , this lot were given the chance to get their drivers licenses ina group lot , gee,
 
When my mum passed, I went to c/link, yes they had offices and people. Spoke with a worker who knew me well. Reported my mothers passing, everything solved.
Many months later got a bill from c/link so I sent it on to her grave site. Never heard if she paid it. As I was executor, I know I never paid it.
 
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I had an issue with payment from "My Aged Care".
My pensioner father was assessed as eligible for a support package from "My Aged Care" in 2021. In 2022 some months later, the package was still pending. Father was hospitalised due to a constipation issue at a local hospital, which I could walk to from home. Father was kept at this hospital for some time then with little notice, shipped to another hospital some distance away. Not having a car, I could no longer visit regularly. This hospital also kept father for some time, then insisted that I install a hospital bed, air mattress and ramp before he be allowed to return home. I was on Carer's payment and had been for some time, so did. not have access to excessive funds to pay for the equipment. I contacted "My Aged Care" to see when the funding would be available and I was told it was pending, but no actual date was given. In fact I got better information from the local Deaf Support Centre I'd contacted on behalf of father, their contact told me funding could only be a month away. Anyway, I was told (by hospital staff) to put father in a nursing home until the bed etc was installed. Despite my contacting "My Aged Care" again and even getting a local MP involved, payment was still "pending".
Father was a falls risk. I knew that. I walked beside him at home to ensure he was safe. However, the nursing home, without consulting me, listed him NOT a falls risk. He was left unmonitored, fell and broke his hip. Father was returned to the local hospital, survived the hip operation and then, again, with little notice to me, shipped to the other hospital some distance away. Still no notification of payment from "My Aged Care"!
The staff at the second hospital said they would rehabilitate father so he could return home, but failed to notice that his hearing aids had failed and he could not communicate with the staff and with everyone wearing masks (Covid), he couldn't even lip read. Father also had failing eyesight, so he didn't even know who was attending him.
Unable to communicate, unable to see his family (I couldn't get there regularly and they refused to allow my sister, who had a car, come in with me), father became uncooperative and they said, as a result, unable to rehabilitated. Father even tried to "escape" the hospital and go home, and unmonitored by staff he fell and damaged his collarbone.
The hospital decided to ship father to a nursing home in another distant suburb, equally inaccessible without a car. The hospital staff also for some reason, refused to tell me where he was being sent, despite frequent requests from me. When I was evidently contacted by that nursing home later, it took me nearly three hours to get there!
Eventually, I was forced to put father in another local nursing home, despite the fact that both father and I wanted him to return home. He was put in a bed too short for him (he was over 6ft) and he had to sleep with his legs curled up underneath him.
Father's legs would frequently fall out the side of the bed and drag him to the floor. The staff were then forced to drag him across the floor to the lifter because it didn't fit under the bed. I was only allowed to visit two hours a day and was often kicked out the room during my visits, when father needed changing. I could hear him crying the other side of the door.
Father was left alone, most of the day except for my two hour visit and meal times. He couldn't watch TV, he had no radio (no powerpoint available), no entertainment of any sort, he never ever got a shower. He just lay there, unable to get up, nearly 22 hrs a day. He died of loneliness and isolation and constant torment, unable to even stretch out his legs. Due to a Covid outbreak in the nursing home, I wasn't there to say goodbye.
All of this torment could have been avoided if My "Aged Care" had provided the funding faster. We could have purchased or rented the equipment and father could have come home and not gone to the first nursing home where he was injured. He might still be alive, regardless, I could have been there with him to say goodbye. I miss father every day.
 
Isn't it great when services Australia seek monies from people they say have been overpaid and our illustreous PM can send one hundred million dollars to aide Ukraine and cant do anything about the Australians who cant afford to even eat or heat themselves in the winter. I'm not very smart but this seems very wrong to me.
 
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This is ridiculous - Centrelink is fully integrated with Birth, Marriage and Death registers in each territory and state. So if person is deceased and appropriate record is created in state register, any any government agency would have access to retrieve a death certificate that stored digitally even without consent of relatives. The whole process is broken - Centrelink demand information that agency already has on their fingertips. System simply is optimised to stop any payments to people who recently died.
I lost a member of my family last year who had been on benefits. After gathering his information, I went off to Centrelink to notify them of his death. When I got to spoke to someone, they took his things but said to me that I will get a phone call. An hour later, I got that call and they said we already know of his death because the information came through from the Dept of Births Deaths and Marriages.
I was in terrible grief and cancelling everything in someone's life isn't easy. It would be really helpful if we knew that all the Govt departments (spoke) to each other efficiently and saved us the trouble, as you say.
Medicare, Service NSW, Centrelink, Aged Care, NDIS. There's a lot to do.
 
I lost a member of my family last year who had been on benefits. After gathering his information, I went off to Centrelink to notify them of his death. When I got to spoke to someone, they took his things but said to me that I will get a phone call. An hour later, I got that call and they said we already know of his death because the information came through from the Dept of Births Deaths and Marriages.
I was in terrible grief and cancelling everything in someone's life isn't easy. It would be really helpful if we knew that all the Govt departments (spoke) to each other efficiently and saved us the trouble, as you say.
Medicare, Service NSW, Centrelink, Aged Care, NDIS. There's a lot to do.
That's why Services Australia website has the form to fill out. It covers all those departments with Government payments. Centrelink offices might have the relevant form as well, but I can't be sure about that.
 
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When my mother passed I informed Telecom, by phone, that the phone would no longer be required. THE FIRST WORDS FROM THE PERSON WHO ANSWERED SAID, "WHO SHOULD WE SEND THE BILL TOO"? IT WAS FOR $15.00 I JUST HUNG UP.. This is how they train their staff to reply .
Same here. We gave the address of the mortuary
 
I know it’s a terrible letter to receive from Centrelink but as it says, they are legally required to send it. If there is no money left in the estate, then they close the file.
 
Got a letter from Centrelink claiming she was overpaid a year after she passed away... needless to say I just ignored it and it went away. Bugger them....
 
My 89yr old mother passed away last month. There's a form that requires relatives/people to advise Centrelink of a death. The instructions are that you can't just make a phone call and tell them. You can fill the form out online and print it, or print the form and fill it out. The form needs to be physically returned via Australia Post.
It wouldn't surprise me if a letter turned up from Centrelink in the future, because that's what they do.
When my husband passed last year I rang and informed them and answered some questions and that was the end of it. No problems yet!!!
 
When my husband passed last year I rang and informed them and answered some questions and that was the end of it. No problems yet!!!
That's good. Centrelink has recouped money from my mother's account being the difference from the date we notified them.
 

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