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On Friday, a lawmaker pushed for the complete implementation of the Higher Education Contribution Scheme (HECS) under the Free College Tuition Law, which is a low-interest student loan scheme in which students repay their loans only when they earn a set amount of money.

Albay Representative Joey Salceda stated in a statement that the system will allow students to attend any private school they want as long as they meet the institution’s admission requirements.

He pointed out that private school programs, particularly at top private universities, are unavailable at public universities and colleges.

“Private universities in the country are also a source of innovation in higher education,” he remarked. “Section 8 of RA 10931 would enable this by allowing borrowers to pay very low-interest student loans as a tiny deduction from their paychecks after they reach a particular salary level. If they make less than that, they will not be compelled to pay until later,” Salceda explained.

He explained that the notion is that private school expenditures are a way to boost long-term personal income, and that a portion of that potential future income can be borrowed by the student to pay current education fees.

“With future improved income, the student should be able to pay off the loan gradually through acceptable monthly installments incorporated into the SSS (Social Security System) or GSIS (Government Service Insurance System) contributions.”

Payment of the loan amount will begin if the recipient obtains gainful employment with compensation, remuneration, or earnings that meet the Compulsory Repayment Threshold, according to him (CRT).

“Like a result, the student repays only when he or she is capable, and because the loans are state-financed, they do not inflate as they do in the United States,” Salceda explained.

Salceda described the plan as a “progressive study-now, pay-later system,” as well as a “balancing factor” for public institutions and colleges’ free college tuition programs.

“Now that state universities are free, we need to find a way to make private education accessible as well,” says the author “he stated

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