Student Loans for International Students in Australia: What You Need to Know

Australia is one of the top destinations for international students, offering world-class universities, a multicultural environment, and exciting career opportunities. However, studying in Australia can be expensive, especially for international students who are required to pay full tuition fees and cover living expenses independently. If you’re wondering how to finance your education, this guide on student loan for International students in Australia is just for you.

We’ll break down your loan options, alternative funding sources, and how your Australian student visa and financial planning are closely connected. Whether you're in the planning stage or already studying, this blog will help you navigate your financial journey in Australia.

Can International Students Get Student Loans in Australia?

The short answer is: yes, but options are limited.

International students in Australia are not eligible for HECS-HELP or FEE-HELP, which are government-backed student loan schemes available only to domestic students (Australian citizens or permanent residents). However, international students can still access financial assistance through:

1. Private Banks and Lenders

Some Australian and international banks offer unsecured personal loans or education loans to eligible international students. These loans often require:

• A co-signer or guarantor (typically an Australian citizen or permanent resident)

• Proof of enrollment in a recognized institution

• A valid Australia student visa

• Satisfactory credit history (for the guarantor or borrower)

Examples of banks/lenders offering loans to international students include:

• ANZ

• Commonwealth Bank

• NAB

• MPower Financing (global lender)

• Prodigy Finance (for postgraduate programs)

2. Loan Options from Home Country

Many students arrange education loans from their home countries through nationalized or private banks before arriving in Australia. These loans often cover:

• Tuition fees

• Living expenses

• Travel and insurance costs

Make sure your loan terms are flexible and accepted by the Australian university for payment plans.

3. University-Specific Support or Emergency Loans

Some Australian universities offer short-term loans, emergency funds, or scholarships for international students facing financial hardship. These aren’t traditional student loans, but they can help cover urgent costs like:

• Rent and accommodation

• Medical emergencies

• Study-related expenses

Check with your university’s student support office or financial aid center to explore options.

Factors to Consider Before Applying for a Student Loan

Taking out a student loan as an international student in Australia involves a serious commitment. Here are a few things to consider:

✅ Loan Repayment Terms

Understand when and how you’ll be required to start repaying the loan. Some lenders may allow a grace period after graduation, while others expect immediate repayment.

✅ Interest Rates

Private lenders often charge higher interest rates for international students, especially if the loan is unsecured.

✅ Visa and Residency Requirements

Your Australia student visa must remain valid during your study and loan term. If you plan on applying for a student visa extension, you’ll need to show updated financial capability to support your stay.

✅ Co-Signer Requirements

Having a reliable co-signer with a strong credit history can improve your chances of approval and secure better loan terms.

How Student Loans Affect Your Visa Conditions

The Australia student visa (subclass 500) has specific financial requirements. When applying, you must show evidence that you can financially support yourself during your studies.

As of 2025, the minimum financial requirement is:

• AUD $24,505 for living expenses per year

• Full tuition fees for your course

• Travel costs (approx. AUD $2,000)

If you're using a student loan to meet these requirements, the loan must be approved and disbursed or clearly documented to prove your financial capacity.

Important: If your financial situation changes and you’re unable to support yourself, it could affect your visa status. In such cases, speaking with an Immigration Agent is highly recommended to explore your options, including scholarships or emergency support.

What If You Need a Student Visa Extension?

If your course takes longer than expected or you plan to pursue additional studies, you’ll need to apply for a student visa extension before your current visa expires.

When applying for a student visa extension, you must again prove financial capability. A previously approved loan may not be enough if your expenses have increased or the loan is nearing its limit. Make sure you:

• Plan your finances in advance

• Keep loan documents and disbursement schedules updated

• Consult your university or an Immigration Agent for guidance

Should You Consult an Immigration Agent?

Absolutely—especially when financial planning and visa matters overlap.

An experienced immigration agent can help you:

• Understand the financial requirements for your visa type

• Identify compliant funding sources or student loan options

• Assist with student visa extension applications

• Help navigate complications if your financial situation affects your stay

Agents registered with the Migration Agents Registration Authority (MARA) are legally authorized to offer advice and assistance, making them a trusted resource for international students.

Alternative Ways to Fund Your Studies in Australia

If you’re hesitant about taking a loan, here are some additional funding options:

✔️ Scholarships and Grants

Many universities and private organizations offer merit-based or need-based scholarships for international students.

✔️ Part-Time Work

Your Australia student visa allows you to work up to 48 hours per fortnight during study sessions and unlimited hours during breaks.

Working part-time can help cover living costs, but it's not advisable to rely solely on a job to fund your tuition.

✔️ Payment Plans

Some institutions offer flexible tuition payment plans for students who can’t pay the full amount upfront.

Final Thoughts

Getting a Student Loan for International Students in Australia is possible, but it requires careful planning, strong documentation, and sometimes a little help from professionals. Loans can be a great support, but they’re not your only option.

Before making any financial decisions, consult with your university’s financial aid office and consider speaking with a registered Immigration Agent. They can provide clarity on how your finances impact your Australian student visa and ensure you're on the right track, especially if you're planning for a student visa extension in the future.