Higher Education Support Amendment Act (No. 2) 2011 (178 of 2011)

Schedule 2   Up-front payments

Higher Education Support Act 2003

8   Subsection 96-5(4)

Repeal the subsection (including the example), substitute:

Meaning of HECS-HELP discount

(4) The HECS-HELP discount for a unit of study is an amount equal to one-ninth of the sum of all of the *up-front payments made for the unit.

Example: Robert is required to pay a student contribution amount of $2,745 by 31 January 2012, and makes an up-front payment of $900 on 20 January 2012.

Robert is entitled to HECS-HELP assistance of $1,845 ($2,745 minus $900), which the Commonwealth must pay to the higher education provider.

The up-front payment exceeded $500 so there is a HECS-HELP discount of $100 (one-ninth of $900). The Commonwealth lends to Robert the remainder of the HECS-HELP assistance, an amount of $1,745 ($1,845 minus $100).