Pain on pain: CPI indexation triggers sharp increases to student debts

More than 3 million Australians are facing steep increases to their higher education debts because of Australia's high rate of inflation. HECS-HELP debts are indexed each year to the consumer price index and this year's indexation rate is 7.1 per cent.

Students come under increasing financial pressure from CPI indexation on their HECS-HELP debts Credit: Chris Ison/PA

Key Points

• HECS-HELP system has enabled thousands of Australians to get a tertiary education.
• HECS-HELP debts are indexed each year to the consumer price index and this year's indexation rate is 7.1 per cent.
• It means someone with a typical debt of $25,000 faces an increase of $1,775. But some graduates say their debt burden is much higher.

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CPI Indexation triggers sharp increases to student debts in Filipino

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