The State Government has extended the No Interest Loan Scheme (NILS) and the Aged-Care Supported Accommodation (ASCA) program in two major steps aimed at alleviating financial stress for low-income households across NSW.
The government has committed $21.5 million to administer NILS for another five years, continuing its long history of providing fee- and interest-free loans to low-income earners since it was established in 1981.
The scheme helps eligible applicants borrow up to $2000 for appliances, furniture, car repairs or medical expenses, or up to $3000 for housing-related costs such as rental bonds or recovering from a natural disaster.
With cost-of-living pressures squeezing many households, NILS supports individuals and families who need it most while helping them avoid harmful or high-cost credit programs for essential items. During the 2023-24 financial year, the program provided a record 13,485 loans.
Families with dependents collectively earning up to $100,000 a year, or singles earning up to $70,000 a year, are eligible for a NILS loan.
The scheme also provides financial relief for people who have experienced family or domestic violence in the past 10 years, as well as those living on a pension.
In a further boost, the government will also fund the ASCA program from 1 July 2026 to 30 June 2031 with more than $8.5 million.
The ASCA program supports not-for-profit organisations that assist older residents living in retirement villages, boarding houses and nursing homes.
These organisations provide guidance on older residents’ rights under the Retirement Villages Act 1999 and the Residential Tenancies Act 2010, including representation at tribunal hearings and assistance with dispute resolution. In the last financial year, 4849 individuals received legal services or community support through the ASCA program.
This is part of the State Government’s plan to ease cost-of-living pressures on young people, families and downsizers.
Minister for Better Regulation and Fair Trading Anoulack Chanthivong said the government understood the pressure facing households across the state.
“We understand the pressure households in every corner of NSW are facing — whether they need to replace a stove or a fridge, or are just trying to get help securing a new rental property,” Mr Chanthivong said.
“The No Interest Loan Scheme protects vulnerable people from turning to high-interest, predatory borrowing schemes which can lead down a slippery slope of debt.
“These programs have a long history of supporting the people who need it most, including older residents and domestic violence victim-survivors — and we’re proud to be continuing this legacy.”
NSW Fair Trading Commissioner Natasha Mann said NILS played an important role in protecting vulnerable consumers.
“NILS serves to protect vulnerable consumers from predatory loan practices that might take advantage of them and their inability to repay loans quickly,” Ms Mann said.
“By offering this alternative, consumers can safely obtain household items or access key medical procedures while safeguarding their financial wellbeing and independence.”
NSW Rental Commissioner Trina Jones said many recipients of the scheme were renters.
“Most users of the No Interest Loans Scheme are renters, and by using loans that do not attract interest they can offset expenses and use their money to pay rent and avoid homelessness,” Ms Jones said.
“NILS is an important scheme for vulnerable renters, giving them another way to manage expenses so they do not fall into a deeper cycle of debt.”
For more information on the No Interest Loan Scheme, visit:
https://www.service.nsw.gov.au/transaction/find-a-no-interest-loans-scheme-nils-provider
For more information on the Aged-Care Supported Accommodation program, visit:
https://www.nsw.gov.au/grants-and-funding/aged-care-supported-accommodation-program-acsap
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