The expansion of the Pension Loan Scheme announced in last year's budget was finally passed into law last week, giving retirees another means of topping up their incomes.The old scheme allowed part-pensioners and some self-funded retirees to top up the amount of age pension they receive to the maximum available pension.The revised scheme, detailed in Social Services and Other Legislation Amendment (Supporting Retirement Incomes) Bill 2018, allows eligible retirees to borrow regular income payments up to 150 per cent of the maximum pension entitlement (less the pension amounts they receive). This change opens the scheme up to full age pensioners.Amounts borrowed under the scheme become a debt due to the commonwealth and the debt must be secured by a charge against the borrower's real property. Interest compounds until the debt is repaid.The interest rate, which has not changed since 1997, is 5.25 per cent.The debt is usually recovered when the property is sold, or from the borrower's estate once the person dies.Establishment fees will not be charged but there may be legal fees. The scheme is administered by the Department of Human Services.Borrowings will be advanced in the form of fortnightly income payments. These payments will not count as assessable income for determining age pension entitlements. This means that the Pension Loan Scheme and commercial equity release products will be assessed under the same income test rules.