In Australia HECS-HELP student loans are the most common student loans obtained for further education studies. Government loans are the most popular as you don’t have to think about taking out a lump sum of money to pay for your university course.
What is HECS-HELP?
This loan is eligible for students who are enrolled in Government, Commonwealth supported places. When you are applying for university you can either apply for a full fee place, or a Commonwealth supported place, the second being the most common choice. Once you have applied for the government place, it means the HECS loan available will cover all or part of your further education fee.
If you get a HECS loan, then the government will pay the amount directly to your higher education provider on your behalf. After you have earned the amount required to reach the repayment threshold, then the government will subtract payments from your account.
You can get government assistance for the full amount of your study, or can apply for partial assistance. Either option means you will have a student loan that you will need to pay back. As university is an expensive education, most students will apply for a full time HECS loan and pay the money back upon completion.