In April 2012 Education Minister Harald Beyer proposed a new university funding plan, which would remove private sector banks from the process of granting student loans and reduce interest rates on loans from six to two percent. Gabriel Boric, president of the University of Chile Student Federation, rejected the plan, stating: "We don't want to trade debt for debt, which is what the government is offering us".
A national student strike was organised for 28 June. The strike was marked with a march in Santiago which was attended by 150,000, according to the demonstration's organisers.
In August 2012 a number of schools and universities including Instituto Nacional, Liceo José Victorino Lastarria and Universidad de Chile were occupied by students. The UNESCO seat in Santiago was also occupied by secondary students aiming to speak against the Hinzpeter Law at the UN. Government spokesman Andrés Chadwick rejected the demands of the students.