Tuition assurance arrangements

November 13, 2017

Under the VET Student Loans Rules 2016, the provisional approval for the tuition assurance schemes operated by the Australian Council for Private Education and Training and TAFE Directors Australia, expires on 31 December 2017.

While it considers future tuition assurance arrangements, the Australian Government will implement interim tuition assurance arrangements for the 2018 calendar year, protecting the interests of FEE-HELP, VET Student Loans, and remaining grandfathered VET FEE-HELP students.

The Department of Education and Training has indicated that higher education providers will be exempt from the tuition assurance requirements of the Higher Education Support Act, providing they meet conditions relating to course assurance and financial requirements. 

This exemption does not carry over to requirements outlined in the Higher Education Standards Framework 2015 (HES Framework).

TEQSA reminds all providers that the HES Framework requires adequately resourced financial and tuition safeguards to mitigate disadvantage to students that are unable to progress in a course of study due to adverse events at the provider.

This requirement protects all students studying at a higher education provider, including students who are not enrolled under FEE-HELP, VET FEE-HELP or VET Student Loans arrangements (such as overseas students or full fee-paying domestic students). 

Providers who feel that the changes to tuition assurance arrangements may significantly affect their ability to meet the HES Framework’s requirements should contact TEQSA to discuss interim arrangements.

TEQSA will continue to work with the Department of Education and Training as it finalises plans for both the interim and future tuition assurance arrangements beyond 2018.

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