Labour’s ‘Generous’ Student Loan Scheme A Myth

  • Max Bradford

Labour's so-called ‘generous' Student Loan Scheme is a myth, Minister for Tertiary Education Max Bradford said today.

Mr Bradford said Labour's policy was vague and oversold.

"When you do the sums using the little information provided, the difference in repayment times between the Government's proposals announced in November 1998 and Labour's proposal is between one and two years.

"But, for this small improvement Labour is prepared to see student debt levels escalate dramatically, with its plan to offer free interest loans while studying," Mr Bradford said.

For example
Nurse: ($31,000 loan)
Government policy
19.9 years to pay back

18.2 years to pay back

Teacher: ($40,000 loan)
Government policy
18.9 years to pay back

16.7 years to pay back

Lawyer : ($48,500 loan)
Government policy
15.8 years to pay back

13.9 years to pay back

Doctor: ($50,000 loan)
Government policy
10.5 years to pay back

9.6 years to pay