Centrelink Payment: Starting June 12, 2025, Australians who repay their Centrelink debts in person at Australia Post outlets will face a new rule: a minimum payment of $5 will now be required for over-the-counter transactions.
Services Australia has announced the upcoming change, which aims to streamline in-person payment processing and reduce low-value transaction handling costs.
The new policy applies to payments made using cash, cheque, credit card, or EFTPOS at any Australia Post office.
If your repayment amount is under $5, you’ll need to use alternative options such as direct debit, BPAY, or Post Billpay online, all of which remain unaffected by the change. Services Australia is advising individuals who make small, frequent repayments to consider switching to one of these methods for more flexibility and ease.
The update follows another recent shift in Centrelink debt repayment options — the removal of foreign currency cheques and money orders as acceptable payment methods, which took effect in December 2024.
While Centrelink still issues cheques for payments, recipients are reminded that cheque payments can take up to two weeks longer to arrive compared to direct deposits.
Australians repaying Centrelink debts have multiple options available, including lump-sum payments, setting up regular payment arrangements, or having deductions taken from ongoing Centrelink payments.
Those using a credit card for repayments should also be aware of potential interest and cash advance fees charged by financial institutions. For more information on how to repay Centrelink debts or to update your repayment method, visit Services Australia’s official guide.