Get a $2,546 Start-Up Loan from Centrelink in 2025: Embarking on higher education is an exciting journey, but it often comes with significant financial challenges. To support students in managing these costs, the Australian Government offers the Student Start-up Loan (SSL) through Centrelink. In 2025, eligible students can access up to $2,642 annually to assist with study-related expenses. This guide provides a detailed overview of the SSL, including eligibility criteria, application process, repayment obligations, and practical tips to help you make informed decisions.
Get a $2,546 Start-Up Loan from Centrelink in 2025
The Student Start-up Loan (SSL) is a valuable financial support option for eligible students pursuing higher education in Australia. With the potential to borrow up to $2,642 annually, it can provide much-needed assistance with the costs of textbooks, equipment, and other study-related expenses. However, it’s important to understand that the loan must be repaid through income-contingent repayments once your income exceeds a specific threshold. Before applying, make sure you meet all eligibility criteria and carefully assess whether borrowing the loan is the right choice for your financial situation. The loan provides flexibility in terms of repayments, but the balance will increase over time due to indexation, so be mindful of the long-term financial commitment.
| Aspect | Details |
|---|---|
| Loan Amount | Up to $2,642 annually, disbursed as $1,321 per loan period. |
| Loan Periods | Two periods each year: 1 January to 30 June and 1 July to 31 December. |
| Eligibility | Must be receiving Youth Allowance, Austudy, or ABSTUDY Living Allowance; enrolled full-time in an approved higher education course; and meet specific study requirements. |
| Application Process | Apply via Centrelink online account linked to myGov; new applicants can request SSL during initial claim. |
| Repayment Terms | Income-contingent repayment through the ATO once income exceeds the threshold; loan indexed annually. |
| Important Considerations | Assess long-term financial impact due to indexation; explore alternative financial support options. |
| Official Resource | Services Australia – Student Start-up Loan |
Understanding the Student Start-up Loan (SSL)
The Student Start-up Loan is a voluntary loan designed to assist eligible higher education students with the upfront costs of study, such as textbooks, equipment, and other necessary supplies. In 2025, the loan amount is set at $1,321 per loan period, with two loan periods available each year, allowing students to borrow up to $2,642 annually.
It’s crucial to recognize that the SSL is a loan, not a grant. This means it must be repaid, and the total repayment amount may increase over time due to indexation, which adjusts the loan balance in line with the cost of living.
Eligibility Criteria
To be eligible for the SSL, you must meet the following requirements:
- Receive an Eligible Student Payment: You must be receiving at least $1 of one of the following payments:
- Youth Allowance (for students and apprentices)
- Austudy
- ABSTUDY Living Allowance
- Enrolled in an Approved Course: You must be enrolled full-time in an approved higher education course at a recognized provider. Approved courses are those that lead to a higher education qualification and are listed on the National Register of Higher Education Providers.
- Tax File Number (TFN): You need to provide your TFN to Centrelink as part of the application process.
- Application Timing: Applications must be submitted during the designated loan periods and at least 35 days before your course ends.
Note: You are not eligible for the SSL if you:
- Receive a Commonwealth Education Costs Scholarship or a Veterans’ Affairs Student Start-up Scholarship.
- Are enrolled in a course that is not approved under the SSL guidelines.
- Do not provide your TFN to Centrelink.
Loan Periods and Payments
The SSL is available during two specific loan periods each year:
- 1 January to 30 June
- 1 July to 31 December
You can apply for the loan once per loan period, receiving $1,321 each time, totaling up to $2,642 annually. The loan amount is reviewed annually and may be adjusted.
Payment Schedule:
- New Course Enrollees: If you’re starting a new course, the loan will be paid with your next regular student payment after your course start date.
- Existing Students: For future loan periods, payments are made with your regular student payment from either:
- 1 January for the loan period starting in January.
- 1 July for the loan period starting in July.
To receive the loan, you must be eligible for at least $1 of your regular student payment in the relevant fortnight.
Get a $2,546 Start-Up Loan from Centrelink in 2025 Application Process
Applying for the SSL is straightforward, especially if you already have a Centrelink online account linked to myGov. Here’s how to apply:
- Sign in to myGov: Access your account at my.gov.au.
- Navigate to Centrelink: Once signed in, select Centrelink from your linked services.
- Update Circumstances: In the menu, choose ‘Payments and Claims’, then select ‘Update Circumstances’.
- Apply for SSL: Click on ‘Apply for/Manage Student Start-up Loan’ and follow the prompts to complete your application.
For New Applicants:
If you’re applying for a student payment for the first time, you can request the SSL during your initial claim process. Ensure you indicate your interest in the SSL when completing your claim for Youth Allowance, Austudy, or ABSTUDY Living Allowance.
Repayment Terms
Understanding the repayment terms is essential before deciding to take out the SSL:
- Income-Contingent Repayment: Repayments are made through the Australian Taxation Office (ATO) once your income exceeds the minimum repayment threshold. This threshold is subject to change; for the most current information, refer to the ATO’s guidelines.
- Indexation: Your loan balance is indexed annually on 1 June to reflect changes in the cost of living. This means the amount you owe may increase over time, even if you don’t borrow more.
Australia Centrelink Instant Loan 2025 – Check Assistance Amounts & Who Can Apply?
Centrelink Concession Card 2025: Application, Benefits & Eligibility Criteria
$699.50 Austudy Benefit in 2025: How To Claim? Check Eligibility, Payment Date
Frequently Asked Questions (FAQs)
1. How much money can I borrow from the Student Start-up Loan?
You can borrow up to $1,321 per loan period, with two periods available each year. This means you could access up to $2,642 annually.
2. Do I have to repay the loan?
Yes, the SSL is a loan, so it must be repaid. Repayments are income-contingent, meaning they begin once your income exceeds the repayment threshold.
3. What if I’m not eligible for the loan?
If you do not meet the eligibility criteria, such as not receiving a qualifying student payment or not being enrolled in an approved course, you won’t be able to access the SSL.
4. Can I apply for the loan if I’ve already started my course?
Yes, you can apply for the loan at the start of any loan period, even if you’ve already begun your course, as long as you meet the eligibility requirements.
5. How do I apply for the loan?
You can apply for the loan by signing into your myGov account and selecting the Centrelink service. Follow the prompts to apply for the SSL, or request it when applying for a student payment.
6. What happens if I don’t repay the loan on time?
If you don’t make your repayments on time, your debt will accrue interest and additional charges may apply. It’s important to stay on top of your repayments to avoid penalties.
