Notice Type
Departmental
Notice Title

Education (Foreign Students-Refund Requirements) Notice 2011

Pursuant to section 236AB of the Education Act 1989, the Minister for the time being responsible for the administration of Part 18 of that Act, after consultation in accordance with section 236AB(2) of that Act, gives the following notice.
N o t i c e
1. Title-This notice is the Education (Foreign Students-Refund Requirements) Notice 2011.
2. Commencement-This notice comes into force on
20 June 2011.
3. Interpretation-In this notice:
Act means the Education Act 1989.
4. Withdrawal period-The period within which a foreign student enrolled for a course of study or training that is
a course of three months or more may withdraw from it
and be entitled to a refund under section 236A(1)(f) of the Act is 10 working days.
5. Maximum percentage of payments-The maximum percentage of the payment, or of the sum of any payments, made to a private training establishment by a foreign student who is entitled to a refund under section 236A(1)(f) of the Act that a private training establishment may retain is 25%.
6. Cost components of total fee payments-The cost components of the fee total on which the maximum percentage of the payment, or of the sum of any payments, specified in clause 5 is determined are the following:
(a) Tuition fees, including amounts for the export education levy, recruitment, marketing, agents’ commission, and overhead costs.
(b) Course-related payments, including examination fees, and the costs of books and uniforms.
(c) Administration fees, or registration fees, or both.
(d) ESOL (English for Speakers of Other Languages) support.
(e) Student services fees.
(f) Airport pickup.
(g) Insurance.
(h) Accommodation.
7. Expenses to be shown by private training establishment-In order for a private training establishment to deduct up to the maximum percentage specified in
clause 5 in relation to a foreign student who is entitled to a refund under section 236A(1)(f) of the Act, the establishment must show that:
(a) it has incurred expenses under 1 or more of the
cost components set out in paragraphs (a) to (h) of clause 6; and
(b) those incurred expenses add up to an amount that
is equal to, or more than, the amount retained by
the establishment.
Dated at Wellington this 10th day of May 2011.
HON STEVEN JOYCE, Minister Responsible for the Administration of Part 18 of the Education Act 1989.
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Explanatory Note
This note is not part of the notice, but is intended to indicate its general effect.
This notice, which comes into force on 20 June 2011, sets out the refund requirements for foreign students at private training establishments (PTEs) who withdraw from courses of three months or more.
The notice specifies:
- the period within which a student may withdraw from the course and be entitled to a refund; and
- the maximum percentage of payments made by a student that the PTE may retain; and
- the cost components of the total fee payments on which that maximum percentage is determined.
The PTE must show it has incurred the cost components in relation to the student in order to deduct up to the maximum percentage from the refund.