Universities Accord (Cutting Student Debt by 20 Per Cent) Act 2025 (30 of 2025)

Schedule 1   Debt reduction

Part 1   Amendments

Australian Apprenticeship Support Loans Act 2014

6   After section 35

Insert:

35A Reduction in AASL debts incurred before 1 January 2025

(1) For the purposes of working out a person's former accumulated AASL debt in relation to the person's accumulated AASL debt for the financial year starting on 1 July 2024, section 31 has effect as if the method statement in subsection (1) of that section included the following step after step 7:

Step 8. Reduce the amount worked out under step 7 by 20%.

(2) For the purposes of working out a person's accumulated AASL debt for the financial year starting on 1 July 2024, section 35 has effect as if the formula in subsection (1) of that section were omitted and substituted with the following: