Student Loan Feedback Sought

July 2, 2009 New Zealand FinanceNew Zealand Taxation  No comments

The Government is seeking feedback from student loan holders in regards to changes to the Student Loans system.

In an effort to increase the ease with which student loan borrowers can access information in regards to their loans, and subsequently improve payment, the Government has proposed a number of changes to the Student Loan system.

The proposed changes are outlined in a discussion document published by the government. The comments are to be submitted via an online forum, and unlike typical submissions are expected to be informal comments by current borrowers.

Proposed changes include the removal of the traditional end of year annual assessment and migrating to a pay-period system, whereby student loans are paid depending on the earners pay period (be it weekly, fortnightly or monthly). The earnings threshold is calculated the same way.

The online discussion forum can be found here.
The discussion document can be found on the Inland Revenue Publication website, here.