Volunteer exemption - conditions

Section 38AEA of the Student Loan Scheme Act 1992

Borrowers who work overseas as volunteers, or for a token payment, for a charitable organisation that has been 'named' by regulations made under the Student Loan Scheme Act 1992 may be granted an exemption to the requirement that they be present in New Zealand for 183 or more days to qualify for an interest-free loan. Changes that came into effect on 1 April 2007 require borrowers to be engaged in certain activities, two of which refer to work undertaken in countries which the United Nations recognises as a developing country. As the UN does not, in fact, do that, the requirement has been changed to countries that are listed by the Organisation for Economic Cooperation and Development as receiving official development assistance.

Application date

The amendment applies from the day after Royal assent - 7 March 2010.