Making money from student loans

The Press has an article about how student debt is up and repayments are down since student loans went interest-free.

I was interested to see Duty Minister say this:

Duty Minister David Parker said people using the interest-free loans to make money for themselves was “deplorable behaviour”, but it was not widespread.

It is not deplorable, but common sense.  If you hand out money and don’t have any incentives for people to pay it back when are able to, then of course some will use it to invest.  Dr Cullen should be pleased that people save it instead of spend it.