Debt recovery
MSD is entitled to recover a debt to the Crown established as a result of a payment to any person, including a third party, of a Student Allowance or Student Loan to which they are no longer entitled in the following ways.
Student Allowance debt
MSD is entitled to recover a Student Allowance debt by:
- deduction from any subsequent Student Allowance payments or
- deduction from any subsequent benefit payments made under the Social Security Act 2018 or
- deduction notice under section 217 of the Social Security Act 2018 or
- civil suit through the Court
For more information see:
Student Loan debt
When any Student Loan payments have been converted into MSD debt, MSD is entitled to recover the debt by:
- deduction from any subsequent Student Allowance payments or
- deduction from any subsequent benefit payments made under the Social Security Act 2018 or
- deduction notice under regulation 217 of the Social Security Regulations 2018 or
- civil suit through the Court
For more information see:
Benefit debt
MSD is entitled to recover a benefit debt by deduction from any subsequent Student Allowance payment.
Income Related Rent debt
MSD is entitled to recover Income Related Rent debt by deduction from any subsequent Student Allowance payment.
For more information see:
Legislation
- Recovery of debts clause 6, Schedule 9 Education and Training Act 2020
- benefit (definition) Schedule 2 Social Security Act 2018
- Debts and deductions sections 353-358, 362, 363 Social Security Act 2018
- Recovery of debt where agency is Ministry section 128 Public and Community Housing Management Act 1992
- Debts due to the Crown regulation 206 Social Security Regulations 2018
- Recovery of debt Part 6, subpart 9 Social Security Regulations 2018
- Deductions regulations 216-219 Social Security Regulations 2018
