Funding
Federal

VET Student Loans

An income contingent loan that you pay back when you earn over the threshold which is assessed each financial year
About VET Student Loans

VET Student Loans is a government loan available to help eligible students pay their tuition fees for approved higher-level (diploma and above) vocational education and training (VET) courses. The loan is issued by the Australian Government to make higher education more accessible, by removing the burden of upfront tuition fees.
VET Student Loans is an income contingent loan allowing you to study now and pay later when you’re earning sufficient income to do so.

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Eligibility

To be eligible for VET Student Loans with Strategix you must:

  • Be enrolled in an approved Diploma level course with Strategix
  • Have a USI or are otherwise exempt
  • Have a tax file number
  • Have sufficient HELP balance to pay for your course. The HELP balance is the loan limit on how much you can borrow
  • Meet the citizenship requirements (and be able to provide the relevant documents)
    • An Australian Citizen or
    • A New Zealand Citizen Special Category Visa holder (SCV) who meets the long-term residency requirements* or
    • A permanent humanitarian visa holder, who resides Australia or
    • A pacific engagement visa holder who resides in Australia
  • Meet the minimum academic entry requirements. This may include one or more of the following:
    • Providing a copy of your Australian Year 12 Completion Certificate
    • Providing evidence of successful completion of an Australian Qualifications Framework Certificate IV or higher-level qualification
    • Providing a copy of your international Baccalaureate Diploma Programme (IB) diploma
    • Complete a Language, Literacy and Numeracy assessment and achieve a minimum exit level 3 in Reading and Numeracy. The LLN level required is determined by the Department of Education but administered by Strategix using the approved LLN tool (BKSB) and is conducted after you enrol into the course. The process is to be conducted with honesty and integrity and the results of the LLN will be communicated in writing. The results may also be requested by the Department, in such circumstances the results will be provided to the Secretary in the form, manner and by the time requested by the Secretary.

For more information about eligibility please use the online VSL eligibility check or contact us.

VET student loans will not be approved for students who do not meet eligibility requirements. A VET student loan gives rise to a HELP debt that continues to be a debt due to the Commonwealth until it is repaid. For more information on VET Student Loans and eligibility view the fact sheets on the Department of Education and Training website https://www.dewr.gov.au/vet-student-loans.

*The long-term residency requirements for New Zealand Citizen SCV holders are that you:

  • first began to be usually resident in Australia at least 10 years ago, and
  • were a child under the age of 18 with no spouse or de facto partner when you first began to be usually resident in Australia, and
  • have been in Australia for at least:
    • a total of 8 out of the past 10 years (from when you apply for the loan), and
    • a total of 18 months out of the last 2 years (from when you apply for the loan).

As a New Zealand SCV holder, you must be living in Australia for the duration of your study to be eligible for a HELP loan.

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Loan Limit

The combined HELP loan limit is a cap on what you can borrow from the Australian Government to cover the costs of your tuition fees. For 2025, the HELP loan limit for most students is $126,839.For more information on the HELP loan limit visit studyassist.gov.au.

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Loan Fee

A 20% loan fee applies to VET Student Loans for full fee paying/fee for service students. The loan fee does not count towards your HELP loan limit. You do not have to pay the loan fee upfront – it is added to your VET Student Loan debt (VETSL debt) at the ATO.

Unlike a regular loan, VET Student Loan debts are indexed each year. Indexation maintains the 'value' of the education so that no matter how long it takes to repay, a student would repay an amount that is more like the cost of education today. Indexation is applied on 1 June each year based on the CPI or WPI, whichever is lower.

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Repayment

How is a VET Student Loan repaid? The Australian Government pays the amount of the loan direct to a student’s provider for tuition fees. Students make repayments on their loans through the Australian Taxation System for each financial year they earn over the threshold. The threshold changes each year. For the 2025-26 financial year the threshold is $67,000. The amount you repay each year is calculated as a percentage of your repayment income. It increases and decreases with your income. In 2025-26, repayments are calculated using marginal rates starting at 15c for each $1 over $67,000. For years in which you earn under the repayment threshold there are no mandatory repayments.

For example: If your loan is $5,000, and your taxable income is $70,000 in one financial year, you will make a repayment equal to 15 cents for every dollar over $67,000. This means you will make a total repayment of $450 leaving a loan balance of $4,550 which will be paid in subsequent years. Students can also elect to make voluntary repayments to pay off their loan sooner. Please note this example does not take into account the loan fee or indexation.

A VET Student Loan may, until the debt is repaid, reduce a student's take-home (after-tax) wage or salary and may reduce the student's borrowing capacity. Students may wish to seek independent financial advice before applying for a loan.

For more information compulsory repayment thresholds and rates visit https://www.ato.gov.au/tax-rates-and-codes/study-and-training-support-loans-rates-and-repayment-thresholds

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How to apply

The Australian Government has limited the courses and number of VET student loan eligible places. If you find a course that suits your career goals and would like to use VET Student Loans to cover your tuition fees we would encourage you to complete your enrolment as soon as possible to avoid any disappointment of missing out.

After completing the enrolment form one of our friendly staff members will contact you to discuss all aspects of your course enrolment. If you are eligible for VET student loans and meet the minimum entry requirements you will be required to complete an electronic Commonwealth Assistance Form (eCAF). The eCAF confirms that you would like to use a VET student loan and links your Tax File Number to your enrolment with Strategix. This form must be completed prior to your first census date.

Students utilising VET Student Loans may be required to complete an online progression form at various points during their enrolment and to be actively engaged in the course. Not doing so may result in your enrolment being cancelled. The online progression forms inform the Australian Government that you would like to continue to use the VET student loan to pay your tuition fees.

If you have any further questions or need some additional help please don’t hesitate to contact us, and we will be happy to assist you.

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Continued access to VET Student loans

To receive continued access to VET Student Loans for the entire course, you must be considered a genuine student for the duration of your studies. Factors determining genuineness include but are not limited to; class attendance, submitted assessments, logins, communication with Strategix. Students who are determine to be disengaged or not genuine may be withdrawn from the course. In the event that Strategix withdraws a student, the student will have no less than 28 days to respond before the cancellation takes effect.

Students utilising VET Student Loans may also be required to verify and confirm their enrolment to the Department of Education. This will be done through online progression forms that will be sent to you at various times during your enrolment.

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