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Home / About StudyLink / News / Budget 2013 Changes to Student Allowances and Loans

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Budget 2013 Changes to Student Allowances and Loans

16 May 2013.

Find out about the changes to Student Allowances and Student Loans that the Government announced in May.

For study starting on or after 1 January 2014

  • Students who are not New Zealand citizens, refugees, or protected persons will need to have lived, and been entitled to reside indefinitely, in New Zealand for three years before they will qualify for the Student Allowance or Loan.
  • The Student Allowance 200-week limit will reduce to 120 weeks for students aged 40 years or over.
  • The Student Allowance will not be available to students aged 65 and over.
  • Students aged under 18 who are studying fees-free level 1 or 2 programmes will not be able to access any component of the Student Loan scheme.

The following proposed changes were also announced that will affect students when they commence repayments (subject to legislation to be introduced later in 2013):

  • From 1 April 2014, Inland Revenue will be able to request an arrest warrant for borrowers who knowingly defaulted on their overseas-based repayment obligation and are about to leave New Zealand.
  • An information sharing agreement between Inland Revenue and the Department of Internal Affairs will be implemented, once the relevant regulations have been approved later in 2013, to allow sharing of contact details for overseas-based Student Loan defaulters when they renew or apply for their passport.
  • Changes to the overseas-based borrower repayment rules from 1 April 2014:
    • Fixed repayment obligations from when borrowers leave New Zealand.
    • Two additional steps to the current overseas-based repayment regime.
Find out more about these changes on the Inland Revenue website
More about the changes to education on the Ministry of Education website
Find out about other changes that may affect students on the MSD website
Find out more about Budget 2013 on the Beehive website

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