'It's so draining': single mother pursued over debt caused by Centrelink mistake

Alice Springs woman warned she could lose her wages and her house by debt collectors

An Alice Springs woman says she was pursued by an external debt collector who warned they could seize her wages or stop her travelling overseas over a $3,700 Centrelink overpayment that a tribunal later found was entirely caused by the agency's mistakes.

But Emma Delahunty, a single mother of a one-year-old, will be forced to pay back the money due to what she called a "loophole" in the rules for people receiving paid parental leave.