Chile CAE Student Loans: New Payment Options and Collection Updates

Chile’s student loan system, known as the Crédito con Aval del Estado (CAE), is undergoing renewed scrutiny as the government advances measures to ease repayment burdens and address growing concerns over aggressive collection practices. Officials from the Tesorería General de la República (TGR) have introduced new payment agreements and launched a formal process to regularize overdue debts, while lawmakers have presented a bill aimed at curbing what they describe as compulsive collection tactics.

The Tesorería General de la República announced in April 2026 that it had collected over $8.3 billion from student loan borrowers during the month, following a tightening of enforcement measures. This figure reflects increased pressure on borrowers who have fallen behind on payments, prompting criticism from student groups and legislators who argue that current practices disproportionately affect vulnerable populations.

In response, the TGR has begun offering new repayment convenios (agreements) designed to provide more flexibility for borrowers. These include options for income-based adjustments, extended payment timelines, and temporary suspensions for those facing economic hardship. The agency states that the goal is to regularize outstanding debts while ensuring borrowers are not pushed into further financial distress.

A separate initiative, presented by members of Congress, proposes the “Ley Pago Justo del CAE” (Fair Payment Law for the CAE), which seeks to prohibit what its authors describe as compulsive or coercive collection methods. The bill would require the TGR to prioritize negotiated solutions over immediate legal action and establish clearer guidelines for communication with debtors. Supporters argue that the current system often leads to unnecessary stress and financial instability for graduates entering the workforce.

Regional data underscores the scale of the issue. A study released by 24horas in April 2026 found that more than 7,000 individuals in a single region of Chile are currently in default on their CAE loans. This figure highlights the widespread nature of repayment challenges and adds urgency to calls for reform.

El Mostrador reported that the new payment options being promoted by the TGR include recalibration of monthly installments based on current income, access to grace periods for unemployed borrowers, and the possibility of refinancing under more favorable terms. These measures are being communicated directly to borrowers through official channels, including email notifications and the TGR’s online portal.

Officials emphasize that while the state remains committed to recovering funds lent through the CAE program, the approach is evolving to balance fiscal responsibility with social equity. The Tesorería has stated that It’s working closely with educational institutions and student organizations to identify borrowers at risk and offer tailored support before resorting to collection actions.

As of April 2026, the debate over the CAE system continues to unfold, with legislative proposals under review and administrative adjustments being implemented. The outcome of these efforts could significantly affect how tens of thousands of current and former students manage their educational debt in the coming years.