Ex-couple in child support program question government keeping late fees
CBC News | Posted: December 21, 2017 10:00 PM | Last Updated: December 21, 2017
'Fees are an important tool to increase compliance,' says maintenance enforcement
A separated couple that currently uses the provincial maintenance enforcement program to manage their child support payments is questioning the extra fees that are billed to the paying parent.
Tanya Reeves and Roy Gaudet have been separated for 12 years and recently became aware of deterrent charges (late fees) and service fees associated with the program.
"It seems like they're taking money away from the people and putting it somewhere else for charges, it just doesn't seem right," said Roy Gaudet, who now works as a trucker in New Brunswick.
Gaudet said there were times when he was unable to pay the full child support and times he was late. He said several years ago the couple went to court to work out a wage garnishment agreement.
"They take it [the garnishment] off my cheque every week," he said. "I liked it that way, because then I never have to worry about being behind."
'It just doesn't seem right'
However, Gaudet said he was surprised to learn about extra fees tacked onto to the child support account. Over the years he's been billed hundreds in extra fees, which go to government.
The maintenance enforcement office would not address this case specifically, but in a statement told CBC News that a deterrent charge is $25 for each month a payment is late. There are fees as well if the payment is not made in full. The office said extra fees are also possible when enforcement is required.
Gaudet thinks anything extra he pays in fees should go to his two children. "It shouldn't be going to government ....They must have budget for looking after themselves" said Gaudet. "It just doesn't seem right."
Tanya Reeves said government should be more transparent about the fees and payors should be told what dollar amounts are going toward fees.
"These fees should be listed on their website, how they come about to charge this amount, that amount, tell people, let people know what the fees are, don't hide behind them," said Reeves.
Maintenance enforcement said both the payor and payee have access to information on payments and amounts owing through the online service site or the automated phone system. "The payor can check the fees owed online and over the phone as well," the statement continued.
Nearly $58K in fees collected last year
The enforcement office added that the payor is informed of deterrent and service fees when entering the program.
The maintenance enforcement office billed just over $127,000 in deterrent fees and $44,150 for enforcement fees last year. However the office collected far less — $57,960 in total.
It seems like they're taking money away from the people and putting it somewhere else for charges. — Roy Gaudet
"Fees are an important tool to increase compliance with support payment obligations," said Michael Zimmerman, acting manager of family law, via an email statement to CBC.
"If payments are late or if a payor fails to meet support obligations there are fees charged to the payor," said Zimmerman. "Fees are collected only when all support obligations are paid in full."
The enforcement office said the deterrent fees are not only to encourage payors to pay on time, but they also help offset the cost of enforcement.
It pointed to enforcement actions such as wage garnishment, or collecting funds from federal sources like tax refunds. It said every effort is also made to enforce registered orders and agreements.
"Government's first priority is to ensure child and/or spousal support is paid to Island families," the statement reads.
'Emotional roller coaster'
Reeves said she first noticed the fees after $600 in fees were mistakenly taken from the child support payment she received — it was returned after Reeves complained but she said it did cause her days of worry and stress.
"They can't just do this to people," said Reeves. "They took money right at Christmas time for me — it's been an emotional roller coaster ride."
"I want an explanation," she said. "They hide it from people and they shouldn't, payor or payee."
The enforcement office wouldn't talk about this specific case, but said that, "fees are never charged to the person receiving support."
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