DAOD 5019-8, Private Debts
Date of Issue: 2012-10-03
Application: This DAOD is an order that applies to officers and non-commissioned members of the Canadian Armed Forces (CAF).
Supersession: CFAO 19-4, Failure to Settle Private Debts
Approval Authority: Chief of Military Personnel (CMP)
Enquiries: Director Military Career Policy and Grievances (DMCPG)
2.1 Queen's Regulations and Orders for the Canadian Forces (QR&O) article 19.07, Private Debts, provides that the private debts of a CAF member are the responsibility of the CAF member.
2.2 A CAF member cannot be ordered to settle private debts.
2.3 A CAF member's failure to settle private debts may reflect upon their good character and adversely affect:
- their conduct and performance;
- their security clearance suitability; and
- the operational and administrative efficiency of the CAF.
2.4 Administrative action may be initiated if a CAF member fails to settle private debts.
2.5 Under Section 2, Compulsory Payments, of QR&O Chapter 207, Pay Allotments and Compulsory Payments, only the Chief of the Defence Staff or the commanding officer (CO) may order a compulsory payment, from the pay and allowances of a CAF member, in respect of a financial support order or judgement debt submitted by an applicant. The terms "applicant", "financial support order" and "judgement debt" are set out in QR&O paragraph 207.02(3), Compulsory Payments – General Provisions.
2.6 The CAF must only facilitate the settlement of a CAF member's private debts in accordance with QR&O Chapter 207 and this DAOD.
3.1 The following table sets out the procedure that a CO must follow when correspondence is received that a CAF member has failed to settle a private debt:
Upon receipt of correspondence relating to the private debt of a CAF member, the CO must determine, in consultation with the local representative of the Judge Advocate General if required, the nature of the debt.
If the correspondence relates to a financial support order, QR&O article 207.03, Financial Support Order, applies.
If the correspondence relates to a judgement debt, QR&O article 207.031, Garnishee Summons – Judgement Debts, applies.
If the correspondence concerns a private debt that is not a financial support order or a judgement debt, QR&O Chapter 207 does not apply.
|2||Notification to CAF member||
After having determined the nature of the private debt, the CO must provide the CAF member with a copy of all correspondence relating to the private debt, including any correspondence in respect of compulsory payments that may be ordered under QR&O Chapter 207. In addition, the CO must inform the CAF member that:
|3||Correspondence with an applicant or creditor||
After the CAF member has been notified in accordance with step 2, the CO must send DAOD Form 5019-8A, Letter to Creditor, if a compulsory payment under QR&O Chapter 207 has not been ordered.
If a compulsory payment has been ordered under QR&O article 207.03 or 207.031, the applicant must be so informed.
Note – A letter to a creditor or applicant must not contain any personal information about the CAF member.
The CO of the CAF member must, if appropriate:
The CO must:
3.2 Administrative action may be taken against a CAF member if the CAF member's failure to settle private debts adversely:
- has an impact on CAF operational or administrative efficiency.
- affects their conduct or performance; and
CAF Member on Retirement Leave or Released
3.3 A CO must forward to the Director Military Careers Administration (DMCA) correspondence concerning the private debt of a CAF member who is on retirement leave or who has been released.
3.4 The DMCA must determine if the person is still a CAF member and take action in accordance with the following table:
|If the person is ...||then the DMCA must ...|
|still a CAF member,||handle the complaint in accordance with the Procedure Table in this DAOD.|
|no longer a CAF member,||send a letter to inform the creditor or applicant that the person is no longer a CAF member.|
Acts, Regulations, Central Agency Policies and Policy DAOD
- Garnishment, Attachment, and Pension Diversion Act
- Privacy Act
- QR&O article 19.07, Private Debts
- QR&O Chapter 207, Pay Allotments and Compulsory Payments
- DAOD 5019-0, Conduct and Performance Deficiencies
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