People with outstanding university student debt can expect to pay their loans back sooner, as part of a shake up of the higher education sector that was revealed in todays Mid year Economic and Fiscal Outlook (MYEFO).
(MYEFO is basically a mini-budget that outlines the governments spending priorities and gives us a snapshot of where the economy is heading.)
At the moment, if you earn less than $55,874 you dont have to start repaying any HELP or ABSTUDY loans. Under the MYEFO changes, that repayment threshold will be lowered to $45,000.
But itll be phased in – so if you earn $45,000, youll only have to pay back one percent of your loan each year. That increases to a maximum of 10 per cent when you hit an income of $131,000 a year.
Read the full article at: http://www.abc.net.au/triplej/programs/hack/prepare-to-repay-student-loans-earlier/9269086