The way that a person covers the accommodation charge (RAD) is at their option and can be paid in full, in part or by “instalments”. Where the full RAD is not paid all that has to happen is that interest is charged on the unpaid portion and this can be paid as a monthly amount or it can be deducted from whatever RAD could be paid.
The first thing you need to do is get her a fresh ACAT assessment if the current one is more than 120 days old or if it is under 120 days but does not currently provide for Permanent Aged Care.The second thing you should do is appoint us to advise you on the best way to structure what resources you have to meet the entry and ongoing costs of the care.
This is partly true and partly an ‘urban myth’. The urban myth part comes from a confusion between the old ‘Bond” system that applied before 2014 where a fixed amount per year was deducted before the refund of the balance was made (subject to a cap). Under the new system the RAD is actually a refundable accommodation deposit and this is refunded in full (and this is government guaranteed) unless the resident has allowed deductions to be funded from the RAD.
What does not get refunded are the fees that cover the contribution by a resident to the daily care that they get whilst in the facility. These fees include the basic daily care fee, the means tested fee and any fee that they have agreed to for additional services.