Should I Pay Off My Student Loan? 2008/09 article discussion

Numenor

I haven't read all the small print, but I for one would hope that they would apply the RPI rate regardless, so if that's a negative value they should reduce the outstanding amount accordingly.

I suspect they'll find a way of not doing so, though....

My loan is a mortgage-style one which I've just had to start paying off. I'm hoping that the RPI will be around the zero mark by March.

PINKPIG85

Im in my third year of uni and i pay £3000 every year.
At the end of the second year i got my annual statement and it was £15086.02.
Paying the last amount of interest of £59.78, every month and that is raising every month.

When i leave uni i will have a balance of over £21000 for 3 years of education!
What can i do to get this down or what do i do about going about paying it back after i finish.....please help

claughton

I know that the post from Martin makes all facts clear, but I just wanted to check with the community on the topic of living abroad.

I have heard students strongly back the theory that student loans are written off much quicker when you are living abroad, is there any truth to this?

Thank you

netlag

I have been in work for around 5 years with the same company. When I started I was below 15K and now I am well above it. I have not recieved any information\request regarding my student loans other than statements which seem to be late usually. My employed doesn't seem to be taking off anything for the SLC....

I'm not sure what I should do... On the one hand if I keep a low profile I maybe able to not pay anything for much longer, on the other hand I'm worried that this may comeback to bite me. My intention isn't to something illegal but equally I don't want to spend money if I don't have to. I'm not too bothered about repaying the SLC loan quickly for all the reason mentioned in Martin's article.

Has anybody had similar experience? Is it just them being incompetent or have I forgotten to do something that might result in a problem in the future?

Thanks in advance

masterwai

Pre-1998 loans are wiped clean in the following circumstances:

• 25 years after your repayments started, even if payments have previously been defferred
• If you reach the age of 50, unless you were over 40 when you took out the loan, then it's 60
• If you become permenantly unfit to work
• If you die

Loans taken between 1998 and Sept 2006 are wiped clean in the following circumstances:

• When you reach 65
• If you become permenantly unfit to work
• If you die

Loans taken after Sept 2006 are wiped clean in the following circumstances:

• If they're not repaid 25 years from the first April of graduation
• If you become permenantly unfit to work
• If you die

Oh my god i got my student loan in 2002 that mean that ll be wiped when i reach 65

why is the newer one post sept 06 wiped out only after 25years

this seems unfar.

Facetious_2

I have a headache. I've just read the whole thread, as well as Martin's article. I'm clear on most things but I do have a couple of questions.

My course started in September of 1997 and I graduated in July of 2000. I had a loan every year of the course and currently owe almost £6000. I have just applied for a teacher training course, starting September 2009. As my family relies on me for the sole income I will have to boost my bursary with a maintenance loan and a tuition fee loan, so I expect to qualify as a teacher with a total of £13000 debt.

As my first year of teaching will put me over the threshold I will be expected to start repaying. (Up to now my income has never been enough). Will I have the original loans taken by direct debit at the same time as the new loans are taken from my wages?

I am 35 now, and will be 37 at the time I take up a teaching post. Will I have paid the original loans off over 13 years (I don't know by how much a teacher's pay rises each year) and, if not, will they be wiped clean as I hit 50? Are there any teachers on here who can tell me what my payments are likely to be?

I'm quite concerned because as I've tried to better myself I find I'm actually going to be worse off for the first year or two of being a teacher. Once I receive a teacher's salary (which I think starts at around £20K at the moment) I will lose my entitlement to tax credits, which have been a godsend while I've only been earning £10K a year. This will occur at the same time as the loan repayments kick in, and I just wanted to be prepared.

Thanks in advance to anybody who can help.

eldoxy24

Hi I have read over the other posts and I am just looking for some advice I took out a student loan in 2000 for £880 I have been in the same employment since Aug 2002 the first ever payment I made to them was taken from my wages Apr 03 when my pay for the month was £870.75 before tax and it has more or less been taken every other month since then even thou my wage is less the £15000 a month on the odd ocassion my pay is more than £1500 but way less than £20000 the payments are nearly £100 each time is this correct??

Fire_Fox

eldoxy24 wrote: »

Hi I have read over the other posts and I am just looking for some advice I took out a student loan in 2000 for £880 I have been in the same employment since Aug 2002 the first ever payment I made to them was taken from my wages Apr 03 when my pay for the month was £870.75 before tax and it has more or less been taken every other month since then even thou my wage is less the £15000 a month on the odd ocassion my pay is more than £1500 but way less than £20000 the payments are nearly £100 each time is this correct??

Can you rewrite your query with full stops/ commas in the middle of sentences? With one sentence running into another it's really hard to understand your situation.

Numenor

Facetious wrote: »

...

My course started in September of 1997 and I graduated in July of 2000. I had a loan every year of the course and currently owe almost £6000.
...
As my first year of teaching will put me over the threshold I will be expected to start repaying. (Up to now my income has never been enough). Will I have the original loans taken by direct debit at the same time as the new loans are taken from my wages?
...

Your starting salary will have to be over £25,000 before you'll be expected to pay off your original three undergrad loans. They will be taken from your account by direct debit over a period of 5 years.

I dont know what the position would be regarding your subsequent teacher training loans - are they from the SLC as well?

melancholly

claughton wrote: »

I have heard students strongly back the theory that student loans are written off much quicker when you are living abroad, is there any truth to this?

Thank you

total rubbish!!

i think it's easier to hide from the slc abroad, but if anyone does that, there will be a big problem waiting for them should they ever come back to the uk to work.

not to mention the fact that trying to squirm out of paying back a loan isn't really on in the first place