HELP debt is rising 7.1% in June. Should you pay it down early?
1 year, 7 months ago

HELP debt is rising 7.1% in June. Should you pay it down early?

ABC  

After the release of March inflation data, we now know that student HELP debts will rise by 7.1 per cent on June 1 this year. The downsides to making early HELP debt repayments "The problem with paying a HELP debt early is that you can't reverse the decision," Mr Rogers says. HELP debt indexation rates Year Rate 2023 7.1 per cent 2022 3.9 per cent 2021 0.6 per cent 2020 1.8 per cent 2019 1.8 per cent Another advantage of HELP debt is that you're not required to make repayments if you earn under the threshold, which is currently around $48,000. "From a tax point of view, you'd be better off using the First Home Super Saver scheme than paying off a HELP debt," Mr Rogers says. "Let's say somebody earns $70,000 and has a HELP debt of $30,000 — a fairly typical scenario for a recent graduate.

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Stress and mortgage difficulties as inflation sees student HELP debts balloon
2 years, 1 month ago

Stress and mortgage difficulties as inflation sees student HELP debts balloon

ABC  

Preparing for the arrival of a baby isn't cheap and as an expecting single mum, Carrie Riseley is watching every penny. Key points: University graduates say they're seeing their HELP repayments wiped out as their student debts grow with inflation Inflation piled $1.9 billion of extra debt onto students in June this year HELP debts are impacting some former students' …

Your HECS-HELP debt is about to grow 3.9 per cent. So should you pay it off early?
2 years, 7 months ago

Your HECS-HELP debt is about to grow 3.9 per cent. So should you pay it off early?

ABC  

It's often referred to as the "best loan you'll ever get". If you have an outstanding HECS-HELP debt, your balance is set to increase by 3.9 per cent on June 1. Prior to the pandemic, the indexation rate averaged about 2 per cent — roughly half the rate of this year's increase. Year Indexation rate 2022 3.9 per cent 2021 …

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