The HELP scheme explained

Understanding the HELP Scheme: A 2025–26 Guide for Australian Students

Navigating your education finances in Australia can seem complex, but understanding government loan schemes like HECS-HELP and FEE-HELP can help you make informed decisions. These loan programs are designed to make higher education more accessible by allowing you to “study now, pay later.” Whether you’re just starting your university journey or considering postgraduate study, this guide will walk you through everything you need to know about these key student loan schemes in 2025–26.

HECS-HELP Explained

What Is HECS-HELP?

HECS-HELP is a loan program available to eligible students enrolled in a Commonwealth Supported Place (CSP) at a public university. It helps you cover your student contribution amounts, allowing you to defer payments until your income reaches a certain level. While upfront payment discounts are no longer available, the loan remains interest-free—although it is indexed annually.

Am I Eligible?

To access HECS-HELP, you must:

• Be enrolled in a Commonwealth Supported Place (CSP)
• Be an Australian citizen, or a permanent humanitarian visa holder residing in Australia
• Have a Unique Student Identifier (USI)
• Submit a valid Request for Commonwealth Support and HECS-HELP form before the census date

When Do I Start Repaying?

You’ll begin repaying your HELP debt once your taxable income exceeds $56,156 in the 2025–26 financial year. Repayments are automatically deducted through the tax system.

Is There Interest?

HELP debts do not accrue interest, but they are indexed annually to maintain their real value in line with inflation. The indexation rate for 2025 is 3.2%. Indexation is applied on 1 June each year.

Learn more about HECS-HELP on StudyAssist.

FEE-HELP Explained

What Is FEE-HELP?

FEE-HELP is a government loan scheme that helps students enrolled in eligible full-fee paying courses cover tuition costs at approved higher education providers. Unlike HECS-HELP, this loan is designed for students studying at private institutions or in full-fee paying places at universities.

Eligibility Criteria

You may be eligible for FEE-HELP if you:

• Are enrolled in an eligible course with an approved FEE-HELP provider by the census date
• Are an Australian citizen or a qualifying visa holder
• Have a USI and submit a valid Request for FEE-HELP form before the census date

Refer to the eligibility criteria via StudySelect Fee-Help.

How Much Can I Borrow?

As of 2025, the combined HELP loan limit is:

• $121,844 for most courses
• $174,998 for medicine, veterinary science, and dentistry

Loan Fees and Repayment

A 20% loan fee applies to most undergraduate FEE-HELP loans (this does not count toward your loan cap). Repayments begin once your taxable income exceeds $54,435, the same as for HECS-HELP.

Like HECS-HELP, FEE-HELP debts are indexed to CPI (4.7% for 2025) and do not attract interest.

HELP Repayment Thresholds for 2025–26

Your repayment rate depends on your income. Here’s a snapshot of how much you’ll repay once you cross the $54,435 income threshold.

Repayment income (RI) thresholds	Repayment rate (% of repayment income)
Below $56,156	Nil
$56,156–$64,837	1.0%
$64,838–$68,726	2.0%
$68,727–$72,851	2.5%
$72,852–$77,222	3.0%
$77,223–$81,855	3.5%
$81,856–$86,766	4.0%
$86,767–$91,973	4.5%
$91,974–$97,491	5.0%
$97,492–$103,341	5.5%
$103,342–$109,542	6.0%
$109,543–$116,115	6.5%
$116,116–$123,081	7.0%
$123,082–$130,466	7.5%
$130,467–$138,294	8.0%
$138,295–$146,593	8.5%
$146,594–$155,388	9.0%
$155,389–$164,711	9.5%
$164,712 and above	10%

How to Apply for HECS-HELP or FEE-HELP

Application is handled through your education provider. You’ll need to fill in the appropriate HELP form—either for HECS-HELP or FEE-HELP—and provide your Tax File Number and USI before your course census date.

For a step-by-step guide, visit www.studyassist.gov.au.

Need Help Choosing the Right Course?

Understanding how HELP loans work is only one part of the puzzle. Finding the right course to invest in is just as important. At StudySelect, we make it easier to explore business degrees, health programs, and other university-level qualifications that align with your career goals.

Compare courses, connect with top-tier Australian education providers, and make confident choices about your study future—all in one place.

Final Thoughts

Choosing to study is a powerful investment in your future. While student loans like HECS-HELP and FEE-HELP may seem overwhelming at first, they’re designed to make quality education more accessible to Australians from all walks of life. Take the time to understand your options, and you’ll be well-equipped to move forward with confidence.