VET Student Loans Act 2016

PART 3A - VETSL DEBTS  

Division 2 - VETSL debts  

SECTION 23BA   VETSL DEBT  

23BA(1)    
A person incurs a debt to the Commonwealth if the Secretary:

(a)    approves a VET student loan for the person; and

(b)    uses a loan amount covered by the VET student loan to pay tuition fees for the person for a course.

The debt is a VETSL debt .

23BA(2)    
The amount of the VETSL debt is:

(a)    120% of the loan amount; or

(b)    if the rules specify a lesser percentage of the loan amount for the person - that lesser percentage of the loan amount.

Note:

For specification by class, see subsection 13(3) of the Legislation Act 2003 .

23BA(3)    

A VETSL debt is incurred on the relevant day.

23BA(3A)    

For the purposes of subsection (3) , the relevant day is:

(a)    unless paragraph (b) applies - the day the Secretary pays the loan amount; or

(b)    if subsection (3B) applies to the loan amount - 1 June 2025.

23BA(3B)    

This subsection applies to a loan amount if:

(a)    the loan amount should have been paid on or before 1 June 2025 but was paid after 1 June 2025 as a result of an administrative error; or

(b)    the loan amount:

(i) was paid during the period of 6 months beginning immediately after 1 June 2025; and

(ii) was used to pay tuition fees for a course, or a part of a course, for which the census day was on or before 1 June 2025.

23BA(4)    

A person ' s VETSL debt, in relation to a loan amount used to pay tuition fees for the person for a course, is taken to be remitted if the person ' s HELP balance is re-credited under Division 2 or 3 of Part 6 in relation to the loan amount.