Student loan arrests are causing borrowers overseas to become "sick with worry".
There have been two arrests this year and Inland Revenue is currently monitoring 20 people for arrest, who they have actively attempted to get in touch with.
An estimated $3.2 billion is owed by borrowers living overseas, with the majority of those people living in Australia.
But will what some call "punitive" measures mean borrowers opt for bankruptcy rather than make repayments?
Tertiary Minister Steven Joyce spoke to Paul Henry about the effectiveness of the policy.