I am going overseas

If you're outside of New Zealand for around 5 out of 6 months, you might become overseas-based and your student loan will stop being interest free. Your loan repayments will be based on the size of your loan balance and your loan could start getting bigger. 

Working out when you become overseas-based

Becoming overseas-based depends on how long you're away for.

The 32 day rule

It is possible to be overseas for an extended time and still be a New Zealand based borrower.

If you are present in New Zealand for 32 days or more in a 184-day period, you are a New Zealand based borrower and we will not charge you interest

The 32-day rule is law. If you are in New Zealand 31 days or less you are overseas based.

This means:

• the 32 days in New Zealand can be at any point during the 184 days , including at the end.
• the 32 days do not need to be in a row, they can be made up of multiple visits to New Zealand during the 184 days.
• you cannot be overseas for more than 152 days in a row at any one time.

If you become overseas-based, your student loan will no longer be interest-free from the day after you left New Zealand.

If you leave New Zealand for more than 325 days, you may also become a non-resident taxpayer.

Tax residency status for individuals

Travel details in myIR

The 'Travelling overseas' section in myIR makes it easier to keep track of how long you're away from New Zealand and calculate when interest is charged. You'll find this section under the 'I want to...' menu in your student loan account.

You can also check the dates you travel to or from New Zealand. This only shows the date you travelled into or out of the country and does not include information about where you travelled.

Log in to myIR

Your repayments will be based on your student loan balance

Your student loan repayments are based on your loan balance when you become overseas-based, not your total income. However, there are some countries where we still treat you as being New Zealand-based.

Living overseas with a student loan

Add a nominated person or alternative contact person to your account

It's a good idea to set up a nominated person to help you keep up-to-date with your loan while you're overseas, but you do not have to. Depending on the permissions you grant them, your nominated person will be able to view and make updates to your student loan, and any other, account.

Nominated person 

You can add an alternative contact person to your student loan account in myIR. If in any situation we cannot contact you, we'll contact your alternative contact person to let them know we want to talk to you about your student loan. They will not be able to view or update your student loan, or any other, account in myIR (unlike a nominated person).

You'll need to add an alternative contact person to your student loan account if you apply for a temporary repayment suspension.

Overseas-based or New Zealand-based examples