From the 1st of April, any voluntary repayments over $500 towards your student loan, will get you an additional 10% knocked off the balance.
And as the Herald reports, this will apply to everyone with balances – not just those still in NZ.
The interest free students loans policy is fundamentally flawed. It provides an incentive for students to borrow more than they need, and to pay it back as slowly as possible.
The voluntary repayment discount is a good way to counter one of those problems, as it will now give an incentive for early repayments.Tags: National, student loans