Document ID: chunk:federal_register_of_legislation:C2016A00100:clause:1_7
Version: federal_register_of_legislation:C2016A00100
Segment Type: clause
Provision Reference: sch 1 cl 7
Character Range: 5123–6263

7  After section 137‑18
Insert:

137‑19  VET student loan debts

Incurring VET student loan debts
 (1) A person incurs a debt to the Commonwealth if, under the VET Student Loans Act 2016, the Secretary:
 (a) approves a *VET student loan for the person; and
 (b) uses an amount (the loan amount) covered by the VET student loan to pay tuition fees for the person for a course.
The debt is a VET student loan debt.
 (2) The amount of the *VET student loan debt is:
 (a) 120% of the loan amount; or
 (b) if the rules made under the VET Students Loans Act 2016 specify a lesser percentage of the loan amount for the person—that lesser percentage of the loan amount.
Note: For specification by class, see subsection 13(3) of the Legislation Act 2003.

When VET student loan debts are incurred
 (3) A *VET student loan debt is incurred on the day that the Secretary pays the loan amount.

Remission of VET student loan debts
 (4) A person's *VET student loan debt in relation to a loan amount is taken to be remitted if the person's *FEE‑HELP balance is re‑credited under Part 6 of the VET Student Loans Act 2016 in relation to the loan amount.