Over 665,000 applications for early super release in one week

The total value of processed early release of super applications in the first week of the scheme reached $1.3 billion, with the average benefit paid equalling $8,002, APRA has said. 

According to the Australian Prudential Regulation Authority (APRA), for applications paid in the first week of the scheme, trustees took an average of 1.6 days to make payments to eligible members after receipt of their applications from the ATO.

Given this was the first week of the early release initiative, trustees had no applications that were more than five business days old.  

APRA deputy chair Helen Rowell said, “This new data collection enables APRA, government and other stakeholders to monitor the take-up of the new scheme, and ensure trustees are processing eligible applications in a timely manner.

“Although this publication only covers the first week of a scheme that will run for several months, the initial data indicates trustees are moving quickly to make payments after receiving determinations from the ATO.”

Under the Superannuation Industry (Supervision) Act 1993, trustees are legally required to make early release payments to eligible members “as soon as practicable”.

“We expect trustees should generally be able to achieve this within five business days, however we recognise this may not be practicable in all cases, as trustees conduct fraud checks, and fulfil their legal obligation to look out for the best interests of all fund members,” Mrs Rowell said.

“APRA is closely monitoring trustee performance in this area and will consider taking appropriate action if evidence emerges of funds not releasing benefits to eligible members as soon as practicable.”