Student start-up loan

The Student Start-up Loan can help eligible students with the up-front costs of studying.

To be eligible, you will need to:

  • study an approved course
  • receive Youth Allowance (student), Austudy or ABSTUDY Living Allowance.

You are not eligible for Student Start-up Loan if you are already getting:

  • a Student Start-up Scholarship
  • ABSTUDY Student Start-up Scholarship
  • Commonwealth Education Cost Scholarship.

Visit the Services Australia website for more information about the Student Start-up Loan.

Repaying the loan

You will have to start paying back your Student Start-up Loan once you earn above the minimum repayment threshold. You should think about how this will affect you in the long-term before you apply. You need to understand that a Student Start-up Loan debt may affect your access to bank and home loans.

The Australian Taxation Office manages repayment arrangements for the Student Start-up Loan in the same manner as Higher Education Loan Program (HELP) debts. You don’t need to start repaying the loan until you have completely repaid any HELP debt.

Visit the Australian Taxation Office website for the current loan repayment threshold and rates for Student Start-up Loan

Loan indexation

While the loan is interest free, Student Start-up Loan debts are indexed each year. This means the amount you repay in total will be more than the original amount of the loan.

From 1 July 2023, indexation arrangements for Student Start-up Loan will change, and will be based on the lower of either the Consumer Price Index (CPI) or the Wage Price Index (WPI), subject to the Governor General’s assent. More information is available on the Australian Taxation Office website .

Indexation is applied on 1 June to all debts that are 11 months or older. Any unpaid loan amount will increase by the indexation rate for each year, which means your debt is likely to grow. You can find current indexation rates on the Australian Bureau of Statistics website for CPI and WPI.

Feedback or complaints

Any feedback or complaints about Student Start-up Loan policy can be lodged via:

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