Given that international students pay their Fees upfront, do Australian universities prefer for domestic students to pay upfront or do they prefer domestic students to defer fee payments by using HECS?

Australian universities generally prefer domestic students to defer their fee payments through HECS-HELP rather than paying upfront. Here are a few reasons why:

1. **Government Funding**: When domestic students defer their fees through HECS-HELP, the government pays the university on behalf of the student. This funding is often more stable and predictable for universities, as it is tied to government policies and funding agreements.

2. **Cash Flow Management**: While upfront payments provide immediate cash flow, the deferred payments through HECS-HELP can lead to a more consistent revenue stream over time, especially if a large number of students choose to defer.

3. **Accessibility for Students**: Allowing students to defer their fees makes higher education more accessible, as it reduces the immediate financial burden on students. This can lead to higher enrollment rates, which is beneficial for universities.

4. **Enrollment Numbers**: Universities may encourage the use of HECS-HELP to attract more domestic students, as the ability to defer payments can make higher education more appealing.

In summary, while upfront payments provide immediate funding, the overall preference tends to lean towards encouraging domestic students to use HECS-HELP for the reasons mentioned above.