I'm going overseas for 6 months or more
Find out what to do if you're going overseas for longer.
- When you go overseas
- Interest-free loans while you're overseas
- Repayment holiday
- Making repayments while overseas
- Updating your contact details
- Nominate someone to act on your behalf
- When you return to New Zealand
When you go overseas
You need to let us know if you're going to be overseas for 184 days (about 6 months) or more. Call us on 0800 377 778 (+64 3 951 2020 from overseas) or send us secure mail through your online services account.
You need to include:
- your departure date
- how long you intend to be away, and
- any repayment holiday information.
You'll become an overseas-based borrower if you'll be overseas for 184 days or more. This means you'll have different repayment obligations and your loan will no longer be interest-free. Interest applies to your student loan from the day after you leave New Zealand.
Find out more about interest and how it's calculated.
Interest-free loans while you're overseas
There are certain situations where you may still qualify for an interest-free loan while you're overseas.
Find out if you qualify for your loan to be interest-free while you're overseas
Repayment holiday
Note - Repayment holiday changes
The following changes to repayment holidays for overseas-based borrowers apply from 1 April 2012:
- The maximum time you can have a repayment holiday is reduced from 3 years to 1 year
- You'll need to apply for a repayment holiday
- You'll need to provide an alternative contact person based in New Zealand.
If you're going overseas on or after 1 April 2012 for 184 days or more (about 6 months), you can apply for a repayment holiday, which means you won't have an overseas-based repayment obligation to pay for up to the first year (365 days) of being overseas. A repayment holiday is optional but you'll need to apply if you want one.
The following conditions apply to repayment holiday applications:
- You'll need to apply before you leave New Zealand or within the first 183 days (6 months) of being overseas.
- You'll need to provide the name and address of a person based in New Zealand, who is willing to act as an alternative contact person in case we need to get in touch with you about your loan.
If you don't meet these conditions your application may be declined.
Apply for a repayment holiday now
To apply, call us on 0800 377 778 or send us secure mail through your online service account.
From June 2012 you can apply for the repayment holiday through your online services account by completing the Going Overseas form.
Note - Interest
Repayment holidays don't stop interest on your loan, so it's still a good idea to make voluntary repayments to keep on top of your loan.
New Zealand based repayment obligations due while you're overseas
Repayment holidays don't apply to New Zealand-based repayment obligations so you'll still need to make these repayments when they're due.
You can use your online services account to check if you have any repayments due:
If you've already had a repayment holiday or you're currently on one
You won't be entitled to another repayment holiday if you've already used up your full entitlement.
If you're currently on an existing 3 year repayment holiday, you don't need to do anything as we'll adjust it automatically and let you know when it will now end.
When your repayment holiday ends
Your repayment holiday ends the earlier of when you:
- have used your full entitlement or
- return to New Zealand and become New Zealand based.
Note - If you're already on a repayment holiday before 1 April 2012
If you were overseas before 1 April 2012, you may have qualified for a repayment holiday for up to 3 years.
If you're on a 3 year repayment holiday that started before 1 April 2012 and have more than 365 days left, it will now end on the earlier of 31 March 2013 or when you become New Zealand based.
Example
Bill went overseas 18 months ago. He had 549 days of his 3 year repayment holiday remaining as at 31 March 2012. The change means that as at 1 April 2012, Bill will only be entitled to another 365 days of this repayment holiday.
If you're still overseas when your repayment holiday ends, you'll need to start making repayments for your overseas-based repayment obligations.
Making repayments while overseas
If you're not on a repayment holiday, you must make repayments towards your overseas-based repayment obligations. Repayments are based on your loan balance and are payable in two instalments (30 September and 31 March) each year.
Find out more about making repayments while overseas
If you're on a repayment holiday or want to pay off your loan faster, you can make voluntary repayments and take advantage of the 10% voluntary repayment bonus.
Updating your contact details
It's important to keep your contact details up to date so you can receive information on your student loan. You'll need to let us know if you have a change of address, phone number, email or bank account.
You can update these details and keep up to date with your student loan online anytime by using your secure online services account. You can check your loan balance, repayments, interest charges and/or write offs and contact us using the secure mail service.
Nominate someone to act on your behalf
You may find it easier to nominate someone else to manage your student loan while you're overseas.
Find out more about setting up a nominated person
When you return to New Zealand
When you return to New Zealand after being overseas for 184 days (about 6 months) or more, you must let us know so we can update your student loan details and contact information.
Back to Travelling or living overseas
Date published: 01 May 2012
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