I'm seeking urgent help or clarification regarding a voluntary HECS repayment I made just before 1 June 2025.
At the direction of my parents (who were overseas at the time for a family emergency), I repaid my full HECS debt of around $48,000 to avoid indexation. We only just learned about the Labor Government's proposed 20% one-off reduction to student debts—after the repayment was processed.
If I'd known, I wouldn’t have repaid early. That 20% would have reduced my debt to approximately $38,400—meaning I’ve potentially lost $9,600. As a 22-year-old who's been saving every dollar through study, this is incredibly stressful. My parents even told my brother to repay his $8,000 loan, so he's also affected.
We acted in good faith, trying to do the right thing, but missed out simply because we didn't know. Is there any way to reverse or cancel a voluntary repayment? Or any form of appeal or review process?
Appreciate any help or advice the community or ATO can provide.
304 views
4 replies