Help! Should Australians rush to pay down student loans before indexation?

While general financial wisdom once suggested Help-Hecs debt was fine to pay down slowly, the current economic climate may rewrite the rules for some

In 2018, arts worker Sarah began paying off her student loan debt of $31,330. She didn’t think too much about it until this year, when she logged on to her MyGov account to check the balance – and saw it had only gone down to $30,630.59. Despite having paid $5,721 from her salary over the past five years, she has only managed to knock off $799.41.

“It was the first time I realised that despite all this money coming out of my salary, I had barely made a dent,” Sarah, who asked that only her first name be used, says. “It was just a shock there, because I feel like we were very much sold it as a ‘no interest loan’.”

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