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Students Incensed By Loans Review


The New Zealand University Students' Association (NZUSA) is outraged at suggestions that the Labour led Government will be reducing access to the living component of student loans, and re-directing existing funds into private savings schemes as part of their review of the student loan scheme.

“If Steve Maharey pursues a policy of restricted borrowing and establishing private learner accounts his legacy will be worse than that of the National Party,” said NZUSA Co-President, Andrew Campbell.

"If we had known that the options in this report would be so regressive, we would never have offered our support. It is so demoralising for students to hear of yet another plan to make the current problems worse," said Campbell.

“This is a blatant side-stepping of the root cause of the student debt crisis. The student loan scheme is a vital means of support for the thousands of students who are ineligible for a student allowance because their parents are deemed to be too rich. If Labour really want to make a positive change, then they should increase the current parental income thresholds that haven't been adjusted in over a decade," said Campbell.

“Private savings schemes, restricting access to loans or harsher repayment conditions are not the answer to the student debt crisis. Reducing fees and increasing access to allowances is the only way forward," said Campbell.

ENDS

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