Australia Updates Student Visa Rules, Bans Agent Payments for Onshore Transfers

Key Points

• Australia has announced a major student visa rule change, banning education agent commissions for onshore student transfers.
  
• The new regulation aims to curb unethical recruitment practices and protect international students from forced course switching.
  
• Education providers will no longer be allowed to pay agents for transferring students already studying in Australia.
  
• The ban will come into effect from 31 March 2026, with transitional arrangements in place.
  

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The move strengthens compliance under the ESOS Act and improves transparency in Australia’s international education sector.

The move strengthens compliance under the ESOS Act and improves transparency in Australia’s international education sector.

Australia has introduced a significant reform in its international education framework by banning education agent commissions for onshore student transfers. The change, part of updated student visa rules, is aimed at improving integrity, transparency, and student protection across the country’s education sector.

Earlier, education agents could earn commissions multiple times, first for enrolling a student from overseas and again if the same student later transferred to another institution in Australia. This system often encouraged unnecessary course changes, commonly referred to as “course hopping,” which raised concerns about exploitation and poor academic outcomes.

Under the new policy, Australian education providers are strictly prohibited from paying commissions, incentives, or any form of benefit to agents for transferring international students who are already studying in Australia. This includes monetary payments as well as non-cash rewards such as gifts, bonuses, or referral incentives.

The regulation will take effect from 31 March 2026. However, commission agreements may still apply to students who receive an offer of enrolment before this date. After the deadline, any payment related to onshore student transfers will be considered non-compliant under Australia’s education and immigration laws.

Importantly, the ban does not affect offshore recruitment. Education agents can continue to receive commissions for enrolling students from outside Australia. Additionally, international students may still choose to pay agents directly for counselling, application assistance, or other advisory services.

The Australian government states that the rule change is designed to ensure students make academic decisions based on genuine needs rather than financial pressure from agents. By removing commission-based incentives, authorities aim to reduce misconduct and reinforce Australia’s reputation as a trusted global education destination.

TL;DR

Australia has updated its student visa rules by banning education agent commissions for onshore international student transfers. Effective from 31 March 2026, the policy aims to prevent unethical recruitment practices, reduce course hopping, and protect international students. Offshore recruitment commissions remain allowed.