Banks open to overlooking student debt in home loans – but there’s a catch

“We are continuing to work with Treasury and the [banking association] to understand current practice before considering if action is necessary,” Jones said.

Bligh’s position shifts the onus for action back to the federal government, which would need to refer the issue to the regulators’ council.

The Universities Accord report called for the government to ensure banks recognised that HECS-HELP – which starts recovering student loans through the tax system once graduates earn $51,550 a year – was not like other…