Overseas Kiwis face rising student loan debt due to penalties

Thursday 3 July 2025 · 4 outlets · 5 reports · updated Fri 4 Jul 2025, 6:00am

In this story Inland Revenue

A former IRD prosecutor is calling for student loan system reforms to prevent overseas New Zealanders from being deterred from returning home. Recent interest rate increases for overseas borrowers and late payment penalties have caused some debts to balloon, leading to fears of arrest at the border.

How they headlined it

10h

Thu 5:51pm7:49pmFri 6am

1. RNZThu 3 Jul 2025, 5:51pm

   Overseas Kiwis struggling with massive interest and penalties on unpaid student loans (opens in new tab)

2. Otago Daily TimesThu 3 Jul 2025, 6:43pm

   Woman with $70k student loan debt too afraid to return (opens in new tab)

3. NZ HeraldThu 3 Jul 2025, 7:49pm

   Student loan penalties deter skilled Kiwis from returning home, says lawyer (opens in new tab)

4. 1News via RNZFri 4 Jul 2025, 6:00am

   Overseas Kiwis struggling with massive interest, penalties on unpaid student loans (opens in new tab)

   • Overseas Kiwis struggle with massive interest, penalties on student loans (opens in new tab) Fri 4 Jul 2025, 6:00am