The following statement is attributed to Peter White, chief executive officer of FBAA.

Increasing Medicare levy could see people default on mortgage payments

There has recently been publicity around the National Commission of Audit report’s recommendation that Australians earning more than $88,000 – or families with a combined income of more than $176,000 – should be charged a two per cent increase in the Medicare levy surcharge which currently sits at 1-1.5 per cent.
The FBAA urges the Government to consider the impact on the family budget and in particular, the ability of people to meet their mortgage payments. This extra cost may be prohibitive for some people, and the increased commitment could cause people to fall into arrears resulting in credit impairment.
The Finance Brokers Association of Australia is the national peak industry body representing Australia’s finance brokers.