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The Government is continuing with its push to get overseas-based student loan borrowers to repay their loans.
An advertising campaign has been launched this week to get the students' parents to remind their children about their accruing debts.
Revenue Minister Peter Dunne said the ads build on an initiative which has recovered $2 million in outstanding student loan debt from borrowers in Australia in the last six months.
"Often for young people who have gone overseas, it is a case of out of sight, out of mind and they stop paying off their student loans or are very slow to do so," said Dunne.
He said the ads are about getting family to remind the borrowers that when they move overseas their student loans start accruing interest at a rate of 6.6%.
"It is in their best interests to be paying it off," he said.
"Interest and any non-payment penalties that are incurred can see the balance grow very quickly."
Dunne said overseas-based borrowers have much lower repayment compliance and are up to five times slower than New Zealand-based graduates to repay their loans.
Inland Revenue is undertaking legal action again a number of Australian-based student loan defaulters, while the Government is working on a new law that will allow it to recall the student loans of the worst defaulters.
