Exemptions for volunteers
2007 amendment specifies the activities which may be engaged in by student loan borrowers seeking the exemption for volunteers.
Section 38AEA of the Student Loan Scheme Act 1992
A new provision has been added to the Student Loan Scheme Act to specify the activities which may be engaged in by borrowers seeking an exemption from the requirement that they be New Zealand-based to qualify for an interest-free loan.
Student loan borrowers working as volunteers or for token payment for a charitable organisation which has been "named" by regulations made under the Student Loan Scheme Act may be granted an exemption for up to two years from the requirement that they be in New Zealand for 183 or more continuous days to qualify for an interest-free loan.
Student loan borrowers will only qualify for the exemption available to volunteers if they are engaged in one or more of the following activities:
- work to relieve poverty, hunger, sickness or the ravages of war or natural disaster;
- work to improve the economy of a country that is recognised by the United Nations as a developing country;
- work to raise the educational standards of a developing country.
The amendment came into force on 1 April 2007.
Other sections in this legislation
| Information matching | Access to Customs' arrival and departure | Extending the amnesty | Simplifying the law | New repayment rules | Interest-free loans for borrowers overseas | Removal of interest write-offs | Exemptions for volunteers | Late payment penalties | Small balances | Applications in writing | Hardship relief | Care and management | Interest write-offs validated | Interest rate formula | Other technical amendments |