Example

The customer gives her home to her cousin without receiving compensation. The equity value of the home is $1,000,000. If the average private pay rate at the time the customer applied for ALTCS is $4,027.61, the penalty period would be 248 months, and 8 days.

($1,000,000 / $4,027.61 = 248.28; .28 x 30 = 8.4 days; the fraction is dropped.)