Student Visas

Student Visas, or rather international students, are big business for New Zealand Inc. as we export our education services to the world. Given our location, the quality of some of our leading tertiary institutions and the enviable lifestyle we offer, studying in New Zealand is a very attractive option for people coming from a variety of countries. However, it is also a challenging market to sustain, as we compete against so many other locations for that incredibly valuable international student spending.

The United States has made headlines (again) lately, imposing restrictions on international students, and revoking certification from some top tier institutions, largely based on country specific agenda. Obviously there is opportunity in that for New Zealand and a host of other countries to pick up on that demand, bringing those displaced students here.

However not all international students come here for the same reasons and unfortunately, given the way our licensing regime works for providing immigration advice, there are individuals out there using the Student Visas a means to entice people to come here, with a view to them being able to stay permanently, and in some cases suggesting that the Student Visa will enable them to bring their family and extended family in time.

This makes the humble Student Visa a bit of a minefield for INZ to process, given they have to try and balance the approvals for genuine students against declining those, who might have less interest in studying and more interest in using the Visa to do something entirely different.

Add to this, the fact that total Student Visa number are down on pre-covid levels, with the Government trying to boost this figure, given its ability to contribute to the overall economy, it makes for a very interesting and tricky little visa to manage.

For those considering an application to come and study here, it pays to consider not only the courses you might be being “sold” by these offshore agents, but also the process involved to actually secure the visa, which is not always as simple as it might appear. We cover this off in this weeks article.

The Student Visa Process

Student Visa applicants, generally fall in to two camps - those seeking to come here to secure a quality education and then potentially stay on to find employment and perhaps secure Residence or take their learnings back home; then on the other side, we have applicant’s who use (or are sold the idea of) this visa as means to try and stay here long-term or permanently, where the course is not really that important, but instead just a means to an end.

Because of the latter group, INZ has, over the years, become far more risk averse, scrutinising an applicant’s intentions, trawling over their finances and digging around to find out, why that particular applicant might be seeking to actually come here. As a consequence, decline rates have increased significantly. However on the other side, the Government is keen to see the number of international students increase, given how much their fees and other spending contributes to local and national economies. Some parts of New Zealand rely heavily on international students as a source of income, but also part-time labour, particularly in areas with high levels of tourism. Many students are allowed to work part-time during their studies and full time during the holidays, making them ideal for the hospitality and tourism sectors in terms of causal labour.

Processing and Options

Student Visa approvals have fallen, partly based on course options but also due to visa processing factors.

The problem however is that when INZ starts to apply this higher level of risk-profiling, it tends to be applied based on the countries that have demonstrated a greater degree of risk generally and so some really good quality students end up being hauled over the coals, simply because they fall in to that same risk profile group.

To give you an example of this, if you are applying as an Indian national, for a Student Visa, INZ has a “list of financial institutions that INZ recommends”, which is not actually something that is written in to the instructions. The rationale for this, is that these banks have been verified, which means INZ doesn’t necessarily have to try and work out, if the money you will have to support your studies (or yourself during your studies) is legitimate.

You might also have to explain why you want to do a particular course - for example if you have experience in banking and finance, but are coming to do a degree in fine arts, INZ might ask why. The logical answer would be, because you plan to learn something new (sort of the point of studying really) but from INZ’s perspective, it might suggest you are just trying to get the Visa, to get in to NZ, to then go off and do something quite different.

Many of these requirements are not hard-coded in to the rule book, but are presented as a way to find out if you are a “genuine” student and that you really do want to come here to learn something new. In reality it means that for many applicants, they are already ten paces behind the starting line, before the race to the Visa commences.

Is it fair, not always, is it required, well sort of. Unfortunately because of the way Student Visas are sold offshore (often as a means to something else), that risk profile has become more necessary, however INZ does need to work on how it is applied. There is a significant difference between someone coming here, spending tens of thousands on a Master’s level course and the next applicant wanting to do a diploma in basket-weaving. I suspect that as the Government pushes harder to encourage more international student enrolments, we will see the assessment process shift gradually to a more pragmatic approach.

However for the would-be international student, it pays to be aware of not only how the process works (and what to prepare for) but also to consider the course they are considering enrolling in, and how that might work in the longer-term if they are ultimately looking to reside in New Zealand permanently.

Offshore “Education Agents”

It is no secret that I am not a fan of the Education Agent (sometimes called Education Counsellor) industry and in fact I previously wrote an article on the subject that garnered some less than favourable responses (from that industry of course). From my perspective, these agents and self-styled counsellors have far too much discretion in terms of the advice they can dispense, (they are exempt from licensing) and the advice is often wildly incorrect and usually self-motivated. Given the commissions these agents collect from course providers, they are usually focused on the volume of enrolments, rather than the quality.

Of course not all of them are like this and there are some good agents out there, but it is an industry that needs cleaning up and the course providers also need to be more closely scrutinised, because many of them are complicit in what sometimes can only be described as a con.

Snake Oil

There is no shortage of offshore “agents” selling false hope through Student Visa pathways.

For many would-be migrants, Student Visas offer an opportunity to get here, to secure part-time employment and then potentially move to a Work Visa and/or Residence later on - it is this intent that is often used by these agents to sell a course, any course will do.

I often see applicants who have come in to the country on a Student Visa, who have no viable way to secure Residence, even if they do manage to land a job offer. A qualification on it’s own is not going to make you suddenly employable, and whilst some courses will lead to an Open Work Visa at the end (often the carrot at the end of the Student Visa stick), these applicants are still going to struggle to stay permanently. Because of the nature of our Visa process, with applicants often having to use not one but several visas to reach the end goal, education agents and counsellors are nowhere near qualified enough to advise on that entire process - and yet many of them do.

I am often asked by applicants to advise on the best course to take, to get residence - and I always answer the same way “there isn’t one”. Study something because you want to learn it, but dont study something as a means to get residence. There are of course qualifications that will lead to occupations on the Green List and so forth, but of course that list (and the rules generally) are subject to change. I dont have a crystal ball and so I am not going to recommend someone invests significant time and money in a course that may or may not end up giving them a pathway to residence.

My advice however is to study something a) that you want to do and b) will at least enhance or improve your employment opportunities at the end, however never bank on that qualification being the silver-bullet to securing Residence. Hopeful applicants, using the Student Visa as a genuine pathway to Residence, need to consider not only the course and potential Open Work Visa it brings, but their experience, employability and overall eligibility for all the Visas that might need to be acquired after the Student Visa has come and gone.

Find The Right Options

My advice for anyone considering the study pathway in NZ is to engage with an education agent, in the same way you might engage with a used car salesperson. Let them show you around, let them explain the different options, but make sure you ask all the right questions and ultimately make the decision by having all of the facts, not just by being sold the dream (which could end up a lemon).

Speaking to an adviser that has no financial gain from recommending a specific course to you, is a good start, because obviously their interests should be in seeing the full picture and the various steps that you might have to take, after the course is completed. Getting a clear outline of your eligibility for further Visas and ultimately Residence at the start is going to save you a lot of time and money at the end.

I would also encourage all potential Student Visa applicants (having selected the right course, and with the right plan in place) to think really carefully about the level of information you are going to need to make sure that process is successful. Of course, that is something we can assist with, but for those doing it on their own, there is a lot of information INZ does make easily available, that could be the difference between success and failure.

International students are a really valuable part of our immigration mix, as well as being a really significant contributor to our overall economy and for those who genuinely want to come here to learn, or see it as a very viable pathway to securing a new qualification/skill that could lead to Residence, New Zealand is a great choice. We just want to make sure that people are heading here for the right reasons and also they get the right advice along the way.

Until next week…