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Student Loan Scheme Act 2011

Interest, relief, penalties and offences, rights of objection, and rights to challenge - Penalties and offences - Offences

162A: Offence for default of overseas-based repayment obligation

You could also call this:

“You can get in trouble if you don't pay your student loan while living overseas”

If you live overseas and have a student loan, you need to pay back a certain amount. This is called your overseas-based repayment obligation. If you don’t pay this, you are in default.

If you are in default, the Commissioner will let you know. After they tell you, you must try to pay the amount you owe or make a plan with the Inland Revenue Department to pay it. If you know about this but don’t try to pay or make a plan by the date they give you, you are breaking the law.

If you break this law, you might have to go to court. If the court finds you guilty, you could be fined up to $2,000.

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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=DLM5991315.

Topics:
Education and learning > Higher education Money and consumer rights > Banking and loans
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162: Certain offence provisions in Tax Administration Act 1994 apply to borrowers, or

"Some tax rules about what you must not do also apply to student loans"

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162B: Arrest of liable person, or

"The court can stop you from leaving New Zealand if you haven't paid your student loan"

Part 4 Interest, relief, penalties and offences, rights of objection, and rights to challenge
Penalties and offences: Offences

162AOffence for default of overseas-based repayment obligation

  1. Every person commits an offence who is in default of his or her overseas-based repayment obligation and who, having been notified by the Commissioner that he or she is in default, knowingly fails, or refuses, by the due date specified in the notification to make reasonable efforts to pay the amount in default or to make arrangements with the Inland Revenue Department to pay the amount in default.

  2. Every person who commits an offence against subsection (1) is liable on conviction to a fine not exceeding $2,000.

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Notes
  • Section 162A: inserted, on , by section 8 of the Student Loan Scheme Amendment Act 2014 (2014 No 6).