What organisations can offer VET FEE-HELP?
Registered training organisations (RTOs) must apply to seek approval as a VET provider before their current and future students can access VET FEE-HELP assistance. To apply, the following requirements will need to be met as a minimum:
- Be a body corporate whose principal purpose is to provide education;
- Be a registered training organisation as listed on the National Training Information Service (NTIS);
- Be financially viable and likely to remain financially viable;
- Offer VET accredited diploma and advanced diploma courses with credit transfer arrangements and/or VET accredited graduate certificate and graduate diploma courses;
- Be a member of an approved tuition assurance scheme, hold a guarantee or an exemption from tuition assurance requirements; and
- Have administrative procedures and capacity to meet reporting requirements.
Further information on the application process for higher education providers
Further information on the application process for registered training organisations
To seek approval as a VET provider, you can apply on the VET FEE-HELP Information System (VITS).
What is a body corporate?
The term 'body corporate' is not defined in the Higher Education Support Act 2003. A definition can be found on the Australian Business Register website at: http://abr.gov.au/. DEEWR recommends that registered training organisations should seek legal advice regarding their body corporate status before lodging an application to be a VET provider.
Can higher education providers offer VET FEE-HELP to students?
No. Existing higher education providers approved to offer FEE-HELP will need to apply to be approved as a VET provider to offer VET FEE-HELP. A streamlined application process for higher education providers applies. Approved higher education providers will not need to undergo a full financial viability assessment if they are already approved to offer FEE-HELP. Higher education providers seeking to apply for approval as a VET provider can obtain further information on the Higher education providers page on this website.
Which students are entitled to VET FEE-HELP assistance?
A student is only entitled to VET FEE-HELP assistance if the student:
- is an Australian citizen or permanent humanitarian visa holder who will be resident in Australia for the duration of the unit of study in which they are seeking VET FEE-HELP assistance;
- is a full fee-paying student enrolled on or before the census date in an eligible unit of study through an approved VET provider and remains enrolled in the unit at the end of the census date;
- meets the tax file number requirements;
- has completed, signed and submitted a valid request for VET FEE-HELP assistance form for the unit or the course of which the unit forms a part, on or before the census date; and
- has not exceeded the FEE-HELP limit.
What is credit transfer for VET FEE-HELP?
Credit transfer is a formal arrangement between a VET provider and a higher education provider that recognises an equivalent learning outcome for a VET diploma or advanced diploma course to a higher education qualification. For RTOs who do not deliver graduate certificate and/or graduate diploma courses, before seeking approval as a VET provider to offer VET FEE-HELP assistance to students, RTOs need to ensure that a least one formal credit transfer arrangement is in place for at least one of their VET diploma and advanced diploma courses. RTOs cannot submit an application to become a VET provider unless they deliver at least one eligible course.
To find the list of higher education providers to enter into credit transfer arrangements with please refer to:
Higher education providers at a glance.
Credit transfer arrangements
are not required for VET graduate certificate and graduate diploma courses.
How will credit transfer arrangements be assessed? The Department will assess each credit transfer arrangement using the following credit levels as a guide:
- 50% credit for an advanced diploma when linked to a 3 year Bachelor degree;
- 37.5% credit for an advanced diploma when linked to a 4 year Bachelor degree;
- 33% credit for a diploma when linked to a 3 year Bachelor degree; and
- 25% credit for a diploma when linked to a 4 year Bachelor degree.
What if I have a credit transfer arrangement that does not meet the credit levels?
Diplomas and advanced diplomas that do not meet the above credit levels will be assessed against existing sector best practice arrangements for those courses or qualifications. That is, where a diploma or advanced diploma does not meet or exceed the above credit levels, it will be assessed against the existing sector best practice arrangements for that course or qualification and must meet that credit level to be approved.
If a provider considers that the diploma or advanced diploma it offers, which has credit to a Bachelor degree with a higher education provider meets the minimum requirements and is:
- of such a specialised nature; or
- contains components of such a specialised nature; and
- no other course or qualification exists which could be considered the same and it would not be justifiable for the assessment to be based on existing sector best practice arrangements for similar courses or qualifications;
then the provider must:
- outline the reasons why the course content should be considered a specialist course;
- detail the specific components of the course that should be considered specialised;
- list the reasons why the amount of credit obtained should be considered sector best practice; and
- list the reasons why it would not be justifiable for the assessment to be based on existing sector best practice arrangements for similar courses or qualifications.
The provider may attach further evidence such as responses from higher education providers on reasons why the level of credit was the maximum that could be granted.
Diplomas and advanced diplomas without credit transfer arrangements (where no credit is provided to a Bachelor degree with a HEP) will be assessed as not meeting the credit transfer requirements and therefore will not be eligible courses for VET FEE-HELP assistance. Such courses will not meet the minimum requirements for credit levels.
How have the credits levels been determined?
The suggested levels of credit transfer are the best practice benchmark levels that have been approved by the Australian Qualifications Framework Advisory Board and are listed in its ‘National Guidelines on Cross-Sector Qualifications Linkages’ at http://www.aqf.edu.au/cs.htm.
What should each credit transfer arrangement contain?
Each credit transfer arrangement must be a written document endorsed by both parties that lists the VET award, the name of the higher education provider and the higher education award, the amount of credit and the expiry date (if any). A copy of each credit transfer arrangement must be provided to the Department for approval.
Approved credit transfer arrangements must be published and made publicly available by approved VET providers.
How many credit transfer arrangements need to be in place before I lodge an application to become a VET provider?
If your organisation only offers VET diploma or advanced diploma courses you must have in place at least one credit transfer arrangement for at least one of these courses in order to be approved as a VET provider. To be eligible for VET FEE-HELP assistance, each VET diploma and advanced diploma course must have in place at least one approved credit transfer arrangement. Any VET diploma and advanced diploma courses you offer that do not have an approved credit transfer arrangement in place will not be eligible for VET FEE-HELP assistance.
Credit transfer arrangements are not required for VET graduate certificate and graduate diploma courses.
Do RTOs who are also higher education providers have to demonstrate formal credit transfer arrangements between their VET diploma and advanced diploma courses and their higher education courses?
Yes. Existing RTOs who are higher education providers who apply to be VET providers and offer both higher education and VET accredited courses will need to provide evidence that formal credit transfer arrangements are in place for their eligible VET students who apply for eligible VET accredited diploma and advanced diploma courses. Credit transfer agreements may be internal or external to the organisation.
What is a unit of study?
For VET FEE-HELP, a unit of study means a subject or unit that a student undertakes as part of a course of study where the student may access VET FEE-HELP to pay for all or part of their tuition fees. The study must be undertaken with an approved VET provider (a registered training organisation (RTO) who can offer VET FEE-HELP assistance).
What is a course of study?
For VET FEE-HELP, a course of study is made up of a number of units that make up a VET accredited diploma, advanced diploma, graduate certificate or graduate diploma course. VET accredited diploma and advanced diploma courses must also have approved credit transfer arrangements in place with a higher education provider.
What is a unit of competency?
A unit of competency is a specification of industry knowledge and skill and the application of that knowledge and skill to the standard of performance expected in the workplace that is part of a nationally endorsed training package or an accredited course.
Units of competency may comprise a number of smaller elements of competency. Training packages specify the competencies and qualifications used to recognise and assess the skills and knowledge people need to perform effectively in the workplace.
A unit of study is therefore likely to contain a number of competencies. It is only units of study that a VET provider can determine for a course of study and set tuition fees against each unit of study.
How does a VET provider determine units of study for their courses?
It is up to the VET provider to determine how it divides up its courses of study into units of study. It may decide that a particular course will consist of only one unit of study or it may consist of a number of units of study.
In deciding how to structure a course into units of study, potential VET providers should be aware that for VET FEE-HELP, students do not incur a liability (a VET FEE-HELP debt) for a unit of study until after the census date for that unit. This applies to all students whether they pay their tuition fees up-front or seek VET FEE-HELP assistance. A census date can be set no earlier than 20% of the way through a unit of study.
Potential VET providers should consider the administrative load and the financial risks of students withdrawing or dropping out of the unit/s before the census date and therefore not being liable to pay any tuition fees for those units.
This could happen if the VET provider has only one or a small number of units versus having numerous units of study and therefore lots of census dates very close together. It is possible to ‘batch’ some units of study if the census dates are very close together with a ‘common’ census date, providing it is no earlier that 20% of the way through the ‘batch’ of units of study.
What is a census date?
A census date for a unit of study is the closing date for a student to apply for VET FEE-HELP assistance and the date a student incurs a VET FEE-HELP debt (the tuition fees) for the unit undertaken. The census date is set by the VET provider and can be no earlier than 20% of the way through a unit of study.