Kiwis who can't afford to pay upfront for legal representation are being charged tens of millions of dollars in interest.
Now, 1 NEWS can reveal that Justice Minister Andrew Little wants to get rid of the crippling interest.
Charging interest on legal aid is a relatively new and controversial Government practice.
Green MP Golriz Ghahraman says people are avoiding the justice system as a result.
"In the criminal justice system there's a real risk that people who can't afford the interest rates or to pay back the loan will plead guilty to charges they would have otherwise defended," Ms Ghahraman says.
The Justice Minister doesn't disagree.
"It is a loan for people who otherwise don't have the means, so a commercial rate of interest doesn't look right to me, but it's something I'm having a look at," Mr Little told 1 NEWS.
Legal aid is means-tested and about a quarter of people end up having to pay the loans back.
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