[Education Anatomy] Student debt from VET subsidies wiped under new scheme after vocational college closes

Student debt from VET subsidies wiped under new scheme after vocational college closes

Student debt from VET subsidies wiped under new scheme after vocational college closes Source: ABC Australia

Thousands of students were not protected under the previous VET FEE-HELP scheme in vocational education as training organisations received government subsidies for student enrolments and shut their doors.


Some students tried to find another college to complete their training courses but it turned out to be impossible because the students had already taken out one loan and it was unable to take on another.

The Federal Government has recently tightened up the scheme and decided to abolish the unfair debts, and also renamed the fee scheme VET Student Loans.

It is estimated that approximately 36,000 students’ debt will be waived under this redressed scheme and the total amount of debt will be more than 400 million dollars.

The full story is available on the podcast above.


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