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    • LushesFaith
    • By LushesFaith 13th Jan 18, 12:33 AM
    • 81 Posts
    • 14 Thanks
    LushesFaith
    What is the point of the government selling on Student Loan debt if the terms remain the same? My loan has been sold on to Income Contingent Student Loans 1 (2002-2006) plc. I am concerned that despite the letter saying that the terms stay the same that sometime in the future something could change. I dont feel confident. Because I fail to see why sell something if it is dealt with the same way. Will the debt be cleared after 30plus years or does this now mean its for eternity till cleared.
    • agrinnall
    • By agrinnall 13th Jan 18, 9:38 AM
    • 19,139 Posts
    • 14,821 Thanks
    agrinnall
    What is the point of the government selling on Student Loan debt if the terms remain the same?
    Originally posted by LushesFaith
    They're selling it because it gets it off the government loan books. I imagine if they tried to do it with the terms being made worse there would have been a huge fuss.
    • Ed-1
    • By Ed-1 13th Jan 18, 10:46 AM
    • 1,998 Posts
    • 1,112 Thanks
    Ed-1
    What is the point of the government selling on Student Loan debt if the terms remain the same? My loan has been sold on to Income Contingent Student Loans 1 (2002-2006) plc. I am concerned that despite the letter saying that the terms stay the same that sometime in the future something could change. I dont feel confident. Because I fail to see why sell something if it is dealt with the same way. Will the debt be cleared after 30plus years or does this now mean its for eternity till cleared.
    Originally posted by LushesFaith
    The Government are giving up receiving the income stream of repayments over the next however many decades in preference for a (albeit severely discounted) lump sum of cash now to reduce Government debt.

    The loans in question are written off at age 65. The Sale of Student Loans Act 2008 prevents loans being sold on worse terms than equivalent unsold loans of the same type.

    The terms of loans are still controlled by the Government and are set in legislation. The Government have repeatedly said they have no plans to change the terms of pre-2012 loans which if anything is a bad thing as the repayment threshold on post-2012 loans is being changed to £25000 while the threshold for pre-2012 loans isn't being touched.

    The loans continue to be collected by SLC via HMRC. The only difference is that the Government now have no right to the repayments which must be passed to the loan purchaser.
    • LushesFaith
    • By LushesFaith 13th Jan 18, 11:02 AM
    • 81 Posts
    • 14 Thanks
    LushesFaith
    The Government are giving up receiving the income stream of repayments over the next however many decades in preference for a (albeit severely discounted) lump sum of cash now to reduce Government debt.

    The loans in question are written off at age 65. The Sale of Student Loans Act 2008 prevents loans being sold on worse terms than equivalent unsold loans of the same type.

    The terms of loans are still controlled by the Government and are set in legislation. The Government have repeatedly said they have no plans to change the terms of pre-2012 loans which if anything is a bad thing as the repayment threshold on post-2012 loans is being changed to £25000 while the threshold for pre-2012 loans isn't being touched.

    The loans continue to be collected by SLC via HMRC. The only difference is that the Government now have no right to the repayments which must be passed to the loan purchaser.
    Originally posted by Ed-1
    ok. That makes it clearer
    • AKN2412
    • By AKN2412 15th Jan 18, 8:57 AM
    • 1 Posts
    • 0 Thanks
    AKN2412
    Hi,

    Iím 22 and just enrolled into an apprenticeship where I will be doing it solely in my place of work, rather than at the college. I currently have debt with a bank loan and credit card.

    Am I still able to able to apply for a student loan or not?

    Any advice will be greatly appreciated!

    Thanks!
    • agrinnall
    • By agrinnall 15th Jan 18, 6:41 PM
    • 19,139 Posts
    • 14,821 Thanks
    agrinnall
    https://www.gov.uk/student-finance/who-qualifies
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