Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Planned improvements to student loan processing

18 July 2000 Media Statement

Planned improvements to student loan processing


Changes are being made to improve the processing of student loans for the next academic year, Social Services and Employment Minister Steve Maharey said today.

Mr Maharey today released the independent review of the processing of student loans by the Department of Work and Income. He said a number of improvements were already underway or under study by the Department of Work and Income which processes the loans. These included:
 on-campus support is being reviewed with feasibility and cost studies undertaken on various support options before any decisions are made;
 correspondence to students will be clearer and easier to follow;
 the electronic Verification of Study process for getting student’s course information from institutions is being reviewed; and
 there will be better staff training and information for staff so they give consistent information on loans to students.

"Students and tertiary providers were badly affected by problems with loans processing this year.

"The new Government inherited a system which was clearly not ready for the bulge of loan applications when they occurred at the start of the year. We put a lot of effort into easing students through a very stressful time and getting them into their classes. The cooperation and goodwill shown by tertiary institutions and students' associations was a key factor during this time.

“Now it is important that the focus of the Department is on finding solutions to the problems that occurred and that the solutions are in place before loan processing for the next academic year. The Department reports that some improvements are in place or being worked on. Others are still being looked at with further decisions to be made."

Mr Maharey said that among the lessons from last summer, was that tertiary institutions and the Department needed to work together for a more effective delivery of student loans. However the lead role in this was the responsibility of the Department.

. . / 2
Problems associated with loan processing by the Department for the 2000 academic year were well known and as a result he had had the Ministry of Social Policy commission an independent evaluation to ensure improvements for the next year.

The evaluation had found a core problem lay in the Department of Work and Income’s centralised system of a national call and processing centre that was responsible for virtually all functions.

Also there had been insufficient acknowledgment of concerns raised by tertiary institutions and that the Department had not taken sufficient account of the complexities of the relationships that needed to be managed to make the system work effectively.

“The focus was on what needed to happen, from DWI’s perspective, to process student loans without sufficiently acknowledging the interdependency of student loans and enrolment from both the students’ and institutions’ points of view,” the report stated.

When things started to go wrong the “problems tended to snowball with the system going into a vicious downward spiral during the main enrolment period, as evidenced by the call centre overload.”

The evaluation recommended the system have greater emphasis on delivering aspects of loan processing on campus.

Mr Maharey said options on this were being explored in terms of feasibility and cost.

Any localised functions would not be intended to replace the centralised call-centre or loans processing services. Rather they would be to enhance the overall delivery of student loans by providing alternative options to assist students.

Mr Maharey said that for the next academic year some of the risk of problems occurring should be lessened, as a considerable number of students already had their details on the system and there would be greater experience of how the system was meant to work.

ENDS

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Decision Day: Peters Chooses Labour

Winston Peters says he will form a Government in coalition with Labour and the Greens giving confidence and supply.

Peters said he had been offered the position of Deputy Prime Minister and a number of other ministerial posts would go to his colleagues

He said economic and monetary policy changes were needed to face a coming economic downturn.>>>More

Reaction

Labour on its agreement |Peters: Post-Election Announcement Speech | Greenpeace “cautiously hopeful” about new Government | ACT - Madman on the loose | E tū ecstatic | Chamber welcomes the outcome

 

Climate: Increasing Greenhouse Emissions Hit NZ

New Zealand is seeing impacts of excess greenhouse gas emissions in our climate and oceans, according to the latest national report from the Ministry for the Environment and Stats NZ about the state of the atmosphere and climate…More>>

ALSO:


Wellington.Scoop: Arrests At Blockade Of "Weapons Expo"

“We encourage people in Wellington to get down to the Westpac Stadium now for a day of awesome peace action. There will be plenty of food, music and activities to keep us sustained through the day.” More>>

ALSO:

Rorschach Restructuring: PSA Taking Inland Revenue To Court Over Psychometrics

The Public Service Association will be seeing Inland Revenue in Employment Court over its intention to psychometrically test employees reapplying for their roles at the department as part of its controversial Business Transformation restructuring plan. More>>

ALSO:

Nuclear Disarmament: Nobel Peace Prize 2017 Awarded To ICAN

Congratulations from iCAN Aotearoa New Zealand to international iCAN, the other iCAN national campaigns and partner organisations, and the countless organisations and individuals who have worked so hard for a nuclear weapons-free world since 1945. More>>

ALSO:

Expenses: Waikato DHB CEO Resigns

An independent inquiry has identified that Dr Murray had spent more than the agreed $25K allocated for relocation costs, and other unauthorized expenses involving potential financial breaches of the chief executive’s obligations. More>>

ALSO:

Wellington.Scoop: Sad About The Trolley Buses?

The Regional Council’s MetLink is today spending money to tell us that it really loves Wellington’s trolley buses, even though they’re all being taken off our roads by the end of this month. More>>

ALSO:

Post-Election: Preliminary Coalition Talks Begin

New Zealand First will hold post-election preliminary discussions in Wellington with the National Party tomorrow morning and the Labour Party tomorrow afternoon. More>>

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

Featured InfoPages

Opening the Election