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Student Loan Scheme Act 2011

Interest, relief, penalties and offences, rights of objection, and rights to challenge - Penalties and offences - Student loan shortfall penalties

160: Notification and payment obligations if Commissioner imposes student loan shortfall penalty

You could also call this:

"What happens if you get a penalty on your student loan"

Illustration for Student Loan Scheme Act 2011

If you have a student loan and the Commissioner decides you need to pay a penalty, they will tell you about it in writing. The letter will explain how much you need to pay and why. It will also tell you when you need to pay by, which will be at least 30 days after you get the letter.

The Commissioner will also send you another letter (or it might be in the same letter) telling you how much of your loan you still need to pay. This amount will have extra interest added to it if you don't pay on time.

You need to pay the penalty by the date the Commissioner tells you in the letter. This is very important.

The Commissioner can send you this information in one letter or two separate letters. Either way, make sure you read it carefully and pay attention to the dates.

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This page was last updated on

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM3180346.

Topics:
Education and learning > Higher educationMoney and consumer rights > Banking and loans
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"You might have to pay extra if you don't pay enough of your student loan"

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161: Student loan shortfall penalty reduced or removed to reflect change to shortfall penalty, or

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Part 4Interest, relief, penalties and offences, rights of objection, and rights to challenge
Penalties and offences: Student loan shortfall penalties

160Notification and payment obligations if Commissioner imposes student loan shortfall penalty

  1. This section applies if the Commissioner imposes a student loan shortfall penalty on a borrower.

  2. The Commissioner must notify the borrower in writing of—

  3. the amount of the student loan shortfall penalty and the reasons for its imposition; and
    1. the date on or before which the student loan shortfall penalty must be paid (which must be at least 30 days after the date of the notification).

      1. The Commissioner must also notify the borrower in writing of the amount of the repayment obligation shortfall that remains due and payable and that that amount is subject to late payment interest.

      2. The Commissioner may notify the borrower of the information required under subsection (2) and the information required under subsection (3) in 2 separate notices.

      3. The borrower must pay the student loan shortfall penalty on or before the date specified in the notice given under subsection (2).

      Notes
      • Section 160: replaced, on , by section 28 of the Student Loan Scheme Amendment Act 2013 (2013 No 10).