Grant overpayment query

di3004

Hi there folks

I did post this on another thread - but thought I would start my own here.;)


My son was to do a 2 year course at for 2007/08, however he had found a job during the summer holidays and settled there, he decided not to go back to uni for the following year.


He had completed his first full year and sat his exams, done ok and passed but as stated did not go back for the 2nd year, no finance forms were filled in for the 2nd year. He had finished uni when everyone had after the exams.

Anyways, this morning he received a letter from Student finance as he let them know he did not return to the 2nd year and nothing was filled in for finance.
However the letter he received today was about a overpayment of grant of £556.00 and this must be paid either by debit/credit card, postal order of cheque.

Now I have never been as far as uni but I am aware that the grants etc are paid in so many times a year, the last payment I believe my son received was way before the exams he sat.

I also know this goes by household income of knowing how much they are eligible for, but this overpayment baffles me.

I did also inform them in January that there had been a change in circumstances financially, due to where my hubby worked in a steel plant had closed down without any notice where 400 of them including hubby were dismissed without pay etc, I am a carer for my younger son with autism, and hubby was the only earner.

I did contact student support on behalf of my son as he did not have time due to being at uni full time and told them the situation, what they said was, my son is probably owed over £300 now as our circumstances had changed, but she said this can be altered/ or adjusted when he reclaims this again on the following year as an extra payment but of course this did not happen nor did he re-apply.

When hubby did return to work, this was about 3 months later it worked out about £6k less a year, now I had contacted student support as I said above due to then having no income, only benefits as their information says to do that, in case they have to adjust the amounts of grants etc.

I am so sorry this is so long but need some understanding on this, and how they calculate the grants, because I know my son was not paid anything after sitting the exams.
What would they call a full year then? Because the 2nd year did not even start until October 2008?

This stemmed from a letter received about a fortnight ago, a letter from student support arrived to see what my son was doing now because he had not re-applied for finance for the 2nd year.

Thanks folks, I appreciate your input here.;)

Di

Mike1989

Grants, if I'm not mistaken, are paid in three installments. They are also means tested as when I had to re-apply for my second year, and apply for my first, they needed my parents details unless I could prove I had been independent for three years.

As for him owing money on a grant over payment, I don't get how that can have happened or why they are asking for repayment. As when you apply the grant part comes from means tested related income, therefore, even if circumstances change during the year, the amount you get stays the same if I'm not mistaken. The only time the amount changes is the next time you apply were you have to state these changes in circumstance. So I can't see why they have sent a letter asking for a repayment of a grant. I might not have read the small print or may have missed something, but I'd give them a call to ask what the hell they are playing at.

As the grant is; a - non repayable to begin with, and b - was means tested, and thus, is the amount your son was to be given for the first year at uni and any changes would only affect his next application for student finance, so no overpayment could have occurred.

So as far as I'm concerned, they may have made a mistake. But you'll have to contact the student loans company and find out why they are asking your son to repay the overpaid grant. As I can't see any reason they are asking for the money back, if your circumstances change and your husband is no longer in work, your income goes down and your son would be allowed more of a grant than a loan or maybe access to more loan. And even when your husband returned to work, it was, if I read your post correctly, less than he earned before so once again there would be more grant and loan available. So I can't see were they are getting this over payment idea from, best calling them and asking them what is going on. As I can't see how they have worked it out.

di3004

Mike1989 wrote: »

Grants, if I'm not mistaken, are paid in three installments. They are also means tested as when I had to re-apply for my second year, and apply for my first, they needed my parents details unless I could prove I had been independent for three years.

As for him owing money on a grant over payment, I don't get how that can have happened or why they are asking for repayment. As when you apply the grant part comes from means tested related income, therefore, even if circumstances change during the year, the amount you get stays the same if I'm not mistaken. The only time the amount changes is the next time you apply were you have to state these changes in circumstance. So I can't see why they have sent a letter asking for a repayment of a grant. I might not have read the small print or may have missed something, but I'd give them a call to ask what the hell they are playing at.

As the grant is; a - non repayable to begin with, and b - was means tested, and thus, is the amount your son was to be given for the first year at uni and any changes would only affect his next application for student finance, so no overpayment could have occurred.

So as far as I'm concerned, they may have made a mistake. But you'll have to contact the student loans company and find out why they are asking your son to repay the overpaid grant. As I can't see any reason they are asking for the money back, if your circumstances change and your husband is no longer in work, your income goes down and your son would be allowed more of a grant than a loan or maybe access to more loan. And even when your husband returned to work, it was, if I read your post correctly, less than he earned before so once again there would be more grant and loan available. So I can't see were they are getting this over payment idea from, best calling them and asking them what is going on. As I can't see how they have worked it out.

Thank you Mike, you've been ever so helpful.
I will also call them tomorrow, and yes he had 3 installments but no more.

Wonder how they came to this in the first place though, its rather baffling.
I will let you know what they say, thanks again Mike.;)

Di

GlasweJen

perhaps the grant was calculated to cover the holidays and as the OPs son was not a student in second year they want the summer component back?

di3004

GlasweJen wrote: »

perhaps the grant was calculated to cover the holidays and as the OPs son was not a student in second year they want the summer component back?

Hi there and thanks.

Just found my son's notification, its the Welsh Assembly Grant, and no one else that is in the same position as himself (like same course etc) has this problem from what he has found out today....... .

Another student colleague on the same course as himself, exactly the same situation has not had the same problem.
After the exams they all closed up, it was the end of the course.

Anyway, they emailed me today and the person at student support is also baffled but said this is actually dealt with in Glasgow who should get back to me shortly in writing.

Not sure if this is right or not either but, on the notification paperwork which he received last October 2007, the ref number is different to the one on the letter about the overpayment......:rolleyes: .

Thanks for your input, will keep you posted.;)

missk_ensington

Hi, this overpayment may be due to the fact your son isnt completing the course. I have just completed a 3 year degree, and as already stated, yes you are paid in 3 installments - October (start of year), January (returning after xmas) and April (returning after Easter).

Firstly, lets assume this overpayment is correct, please dont worry about it. I have a £980 overpayment for childcare (I knew I was going to have an overpayment during the year but wasnt worried about it, I needed the money and I knew it was interest free). I am paying it back at £15 a month (could have paid it at £10 a month). If you are on benefits or a low income (I have just started a new business which wont be making a profit until next year at least) they will only take the bare minimum on £10 a month and you dont have to pay interest on it. Just consider it an extention of your sons student loan -only without paying any interest.

Hope this helps x

di3004

missk_ensington wrote: »

Hi, this overpayment may be due to the fact your son isnt completing the course. I have just completed a 3 year degree, and as already stated, yes you are paid in 3 installments - October (start of year), January (returning after xmas) and April (returning after Easter).

Firstly, lets assume this overpayment is correct, please dont worry about it. I have a £980 overpayment for childcare (I knew I was going to have an overpayment during the year but wasnt worried about it, I needed the money and I knew it was interest free). I am paying it back at £15 a month (could have paid it at £10 a month). If you are on benefits or a low income (I have just started a new business which wont be making a profit until next year at least) they will only take the bare minimum on £10 a month and you dont have to pay interest on it. Just consider it an extention of your sons student loan -only without paying any interest.

Hope this helps x

Hi there and thanks for your helpful information.;)
My son like everyone else on the same course had finished at the end of June, where the first year is completed.

His mate who lives up the road have not heard a thing, they done the same course, they had the same money (assembly grant) and his mate never returned for the 2nd year either, he rang the department as he was worried due to the same reason as my sons and they said no he does not owe an overpayment on his because he completed his first year...... , my son finished the same time as him and done the exams.

His mates family income was the same as ours approx just by pennies difference.
But yes I know what you mean and you you have been very helpful thank you.;)
Was yours a assembly grant also they overpaid you on?
Cheers.;)

di3004

Was meant to post about this yesterday, anyways, they sent the copy of the notification of what was paid in the first year, and its the right amount, so how they got this wrong about the overpayments I do now know.

The notification was that of 2007/08, where the other one the same date stated an higher amount of the welsh assembly grant, and it looks like they've corrected this now.
All the stress this has caused my son the last few days......:rolleyes: .

Thanks folks.
Di

Valley's_girl

Hi I am glad its all sorted for you.
Ally x

di3004

Hi there and thanks for your replies.

However, I thought this was all over but its not..... , my son received 2 different notices one with a higher amount than the other of the grant, so I rang them and they confirmed the grants are worked out for over 366 days a year, and not just that of a complete course year, where my son's course had started October 2007 and it ended June 2008.

So there is possibly an overpayment afterall...... , however due to my hubby's old works going into administration just days before xmas last year where we were on benefits only for a few months, they did say they may possibly reassess, as I did contact them earlier in the year about this.

Will keep you posted.;)

GlasweJen

good luck. it is often the case that students don't realise that their grant is for the full year including summer and so these notices are relatively common.