Minister hints at changes to student loans

Steven Joyce. Photo / Sarah Ivey

The Government is planning to tighten up the student loan scheme even further, by zooming in on people less likely to pay back the money.

Debt collectors are already being hired to chase up people who have gone overseas.

Now, Tertiary Education Minister Steven Joyce is looking at older students.

He says people over 55 might have to accept limited access to student loans.

The minister said that group may be allowed to draw down student loans for fees, but not course or living and other costs once applicants reach a certain age.

He acknowledged some would be unhappy with those plans, but said the administration also needed to consider the taxpayers.

Mr Joyce is also considering ways to reduce the cost of loans to people who want to be pilots, which he said were costing about $30 million a year.

- Newstalk ZB