Legislation to reduce student loan debt by 20% passes Parliament
Legislation to reduce student loan debt by 20% passes Parliament
www.education.gov.au /higher-education-loan-program/announcements/legislation-reduce-student-loan-debt-20-passes-parliament
The reforms will deliver:
a one-off 20% reduction in HELP and student loan balances, effective from 1 June 2025. Someone with the average Higher Education Loan Program (HELP) debt of $27,600 will see around $5,520 wiped from their outstanding student loan.
Lower repayment amounts, under a new marginal repayment system making it easier to manage living expenses.
Higher income thresholds, increasing how much people can earn before repayments are required, allowing graduates to keep more of their earnings. The new repayment threshold will change from $54,435 to $67,000.