thread: Article: Pay up, parents: childcare hoppers rort rebate

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  1. #1
    BellyBelly Life Subscriber

    Jun 2005
    Blue Mountains
    5,086

    The arrangements child-care centres put in place around the payment of bills and whether they continue to offer their service to parents who owe significant debts, is a business decision for the centre," she said.
    That says it all really. People are rorting the system because of leniant child care centres. If the centres refused services when fees aren't paid, then the attendance records wouldn't include that much that is unpaid.

    We only use registered care (preschool) so not sure if it's different, but I claim using payment receipts. Maybe the automated system for approved care is different? But it does come down to the centre itself cracking down on people paying their fees.

  2. #2
    Registered User

    Dec 2006
    In my own private paradise
    15,272

    That says it all really. People are rorting the system because of leniant child care centres. If the centres refused services when fees aren't paid, then the attendance records wouldn't include that much that is unpaid.

    We only use registered care (preschool) so not sure if it's different, but I claim using payment receipts. Maybe the automated system for approved care is different? But it does come down to the centre itself cracking down on people paying their fees.
    yeah unfortunately it lands on the shoulders of the child care centre and how they manage non-paying families. they could pull their place - but at what point do they do that? the government pay the rebate on what the centre advise they have charged, not what has been paid. the child care centres have to put in usage statements to be able to claim CCB and it's on that basis that CCR is paid.

  3. #3
    Registered User

    Dec 2005
    6,706

    Our centre requires a two week bond, and to be paid two weeks in advance at all times. Two weeks notice on leaving, which if you leave without giving notice, they will not return the bond and will use that to cover unpaid fees in the notice period. I don't know at want point they'd refuse to take the child with fees unpaid and I don't really want to find out either.

    I get that there are parents doing what they can to rort the system, but the ability to do so comes from the centres allowing them to get so far behind in fees. I can understand them wanting to help families with financial difficulties, but $8000 in unpaid fees? That just seems to be poor business decisions, really.

    BW

  4. #4
    Registered User

    Dec 2005
    In Bankworld with Barbara
    14,222

    Astrid I think it's a bit of both - there would undoubtedly be families doing it that tough that they leave without paying (embarrassment maybe?) and then there would be others who would deliberately rort the system and rip off centers. Maybe the only way around it is a register that the centers can use to list non-fee paying families so the new center can check them out and decide if they want to let those families attend or not. Afterall childcare is a business and if there are people out there who are doing the wrong thing then it just makes it so much harder for everyone else who does the right thing.

  5. #5
    Registered User

    Jan 2007
    848

    I read this today and thought wowsers. How on earth do they get places at other centres!? The waitlists for other centres here is absolutely huge so I can't imagine how they get into various centres for hopping.

    Also, how very disruptive for the child to start at a new centre every couple of months or whatever the cycle of the hopping is. I can't imagine.

    Our childcare centre takes a bond of a month fees when you sign up and 4 weeks notice to leave.

  6. #6
    Moderator

    Oct 2004
    In my Zombie proof fortress.
    6,449

    I suppose the Centre itself benefits from submitting their usage statement and including the unpaid for days as they would be getting the CCR, so at least they get something for those days used.

    Certainly agree that it is a poor business decision to allow a debt to become so large.

    Maybe they could introduce a reporting system where families who don't pay their fee are forced to have the CCR paid to the centre rather than being able to claim quarterly.

  7. #7
    Registered User

    Mar 2009
    2,269

    Seems a bit cheap to put all the blame on child care centres leniency... I mean, just because somebody could do this doesn't make it right or resolve their responsibility in the situation. Child care centre owners are people too and I don't think they deserve to be taken advantage of. Hopefully though; once bitten, twice shy.