Three million Australians with student loan debt will see their balances automatically increase this week when the government’s yearly indexation is applied. HECS-HELP loans get indexed every year on June 1, and this will still apply despite plans to cut debts by 20 per cent.
Unpaid HECS-HELP loans will increase by 3.2 per cent on Sunday, the Australian Taxation Office (ATO) has confirmed. For the average $27,600 debt, this will add about $882 to their loan.
The federal government is planning to cut 20 per cent off all student loan debts that exist on June 1, before indexation is applied. This has not yet been legislated, but Prime…
