With the recent arrest to an overseas based borrower at Auckland Airport the New Zealand Union of Students’ Associations ask, if this scheme is really how our country wants to be known.
NZUSA President Linsey Higgins is dismayed at the continual use of draconian techniques to recoup student loans. “Pushing borrowers to repay using harsh techniques is only going to create an adversarial relationship. It breeds fear and forces people to never return. This is damaging to our reputation as a nation.”
“The approach of arresting people is evidence the government has failed to implement an approach that supports borrowers to repay in a timely manner.”
“Given that the arrest earlier this year was found to be an error, serious concerns have also been raised about the ability of IRD to manage this process in a way that is fair and just.”
NZUSA challenges Ministers Joyce and McClay to find more favourable repayment conditions for overseas based borrowers and better promote the services that have been put in place to support overseas based borrowers (such as zero fee money conversion facilities).
“Instead of using legislation to make them criminals, the rules should be used to support borrowers to make repayments. We would be delighted to work with the Ministers to see this happen.”
“The focus should be on paying back what’s important – the principal. The student loan scheme has failed if it traps borrowers into spending their lifetime paying back interest on a loan. That is not why the scheme exists and it’s not why people study at a tertiary level.”
NaZional has a similar style as a former 1932 style German Government had don’t they now?
Bollocks – I paid my loan off why can’t they pay there’s off. You make your choices and you take your chances, they’ve made there’s and now they’re reaping the consequences.
Given your spelling, your tertiary education was probably a waste of money.
If they make honest attempts to work with IRD to get a payment plan they will not be arrested. Sorry to be blunt, but those being arrested are simply bludgers.
“Arrest at border does little to solve problem” – actually it looks to be doing a fantastic job of solving the problem of defaulting borrowers. From Radio NZ:
The first ever arrest over student loan repayments last month has spurred overseas borrowers into paying their back loans, Inland Revenue says.
Over January and February, the department had a 31 percent increase in repayments from people based overseas compared with the period last year.
Emails from overseas-based borrowers to Inland Revenue were also up 62 percent over January and February with phone calls increasing 55 percent.
If you can get arrested for it – you must be able to get Community Service for it too then,
New Zealand – 100% debtors prison
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