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Student Loan Scheme Act 2011

Repayment obligations of borrowers - Overseas-based borrowers' repayment obligations - Temporary repayment suspension of overseas-based repayment obligations

108A: Borrowers who have had, or are having, temporary repayment suspensions under Student Loan Scheme Act 1992

You could also call this:

“Rules for people with pauses in student loan repayments from the old law”

If you live in New Zealand and have had temporary breaks from repaying your student loan under the old Student Loan Scheme Act 1992, but haven’t used up all your allowed break time, you need to apply for a new break under the current law if you want one.

If you live overseas and had a break from repaying your loan on 31 March 2012 under the old law, your break will continue under the new law. But it will only last for either 365 days or the rest of your break time under the old law, whichever is shorter.

After your break ends, if you’re still living overseas, the amount you need to repay will be worked out using the rules in sections 110 and 111 of the new law.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM4425752.

Topics:
Education and learning > Higher education Money and consumer rights > Banking and loans
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108: Duration of temporary repayment suspension, or

"How long you can pause your student loan payments while overseas"

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"Figuring out your student loan payments when you live overseas"

Part 2 Repayment obligations of borrowers
Overseas-based borrowers' repayment obligations: Temporary repayment suspension of overseas-based repayment obligations

108ABorrowers who have had, or are having, temporary repayment suspensions under Student Loan Scheme Act 1992

  1. A New Zealand-based borrower who has had 1 or more temporary repayment suspensions under Part 3 of the Student Loan Scheme Act 1992, but who has not reached the borrower's limit (within the meaning of section 107B(3)), must apply under section 107 if he or she wishes to have a temporary repayment suspension under this Act.

  2. An overseas-based borrower who, as at 31 March 2012, has a temporary repayment suspension under Part 3 of the Student Loan Scheme Act 1992 that, but for the repeal of that Act, would have continued under that Act continues to have a temporary repayment suspension under this Act, but for no longer than the lesser of—

  3. 365 days; and
    1. the remainder of the period of the temporary repayment suspension to which the borrower would have been entitled under Part 3 of the Student Loan Scheme Act 1992 if that Act had not been repealed.

      1. The repayment obligation of a borrower to whom subsection (2) applies must be calculated in accordance with sections 110 and 111 if the borrower is, at any time, overseas-based after his or her temporary repayment suspension has ended in accordance with that subsection.

      Notes
      • Section 108A: inserted (with effect on 1 April 2012), on , by section 30 of the Student Loan Scheme Amendment Act 2012 (2012 No 32).
      • Section 108A heading: amended, on , by section 64(1) of the Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 (2020 No 5).
      • Section 108A(1): amended, on , by section 64(2) of the Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 (2020 No 5).
      • Section 108A(1): amended, on , by section 64(3) of the Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 (2020 No 5).
      • Section 108A(2): amended, on , by section 64(3) of the Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 (2020 No 5).
      • Section 108A(2)(b): amended, on , by section 64(3) of the Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 (2020 No 5).
      • Section 108A(3): amended, on , by section 64(3) of the Taxation (KiwiSaver, Student Loans, and Remedial Matters) Act 2020 (2020 No 5).