When do Student Loans Co announce Interest Rate for 09/10 ?

Numenor

AFAIK the old-style loans are announced in August/September, but are based on March's RPI, so you should have a good idea of the new rate long in advance of the announcement.. I have an old-style loan and am annoyed that my interest rate is still stuck at 3.8%.

birduk

That makes two of us then. It is at the same time as my savings are performing worse and worse..

ashapala

Following today's BoE cut to 1%.

new style Student loans could be going down to 2%

Provided the banks adopt the rate.

Saves £4.17 in interest a month per £10000 of loan.

Lokolo

Yeh a lot of people are suggesting banks won't follow though :mad:

mellymeep

I really hope so! I got a statement the other day and I already owe 13k

Numenor

Well it won't affect me - I'm on an old-style loan. So I'm stuck on 3.8% till August!

Fire_Fox

So .... it now looks like the student loan will be at 2% for the remaining part of this financial year. Am I right in thinking it looks as if this will get locked in (lower if we are lucky) for the whole of next year??

I have never taken any of my student loan for maintenance purposes, only tuition fees. Considering making a late application this year, and locking the money away ... none of my debts (see sig) are accruing any interest, bar my tuition fees.

I have a 0% overdraft of between £100 and £1000, tuition fees loan of £2500, £4000 of disputed service charges (of which I intend to pay off £1000 in April) currently also at 0%.

My savings are one year of cash ISA which will be maxed out by April; should be sufficient in my easy access savings to put a large lump into next year's allowance right after. Presently saving £450 a month, of which £110 is allocated for service charges against the unlikely event that we lose our case and have to pay the full amount.

rb10

Fire_Fox wrote: »

Am I right in thinking it looks as if this will get locked in (lower if we are lucky) for the whole of next year??

The interest rate for next academic year (1st Sept '09 - 31st Aug '10) will be the RPI figure for March 2009 (announced mid-April).

Seeing as the RPI for December (the most recent one to be announced) was 0.9% (http://www.statistics.gov.uk/cci/nugget.asp?id=19), it's looking promising for a low rate next year!

ashapala

Some interesting information here regarding next years student loan package
http://www.dius.gov.uk/speeches/denham_ministerial_statement_291008.html

Potentially a full grant for students whose household income is less than £25000. That's quite a difference to what it has been.

I would be in my last year

Lokolo

When I started grants would go upto a max of £30,000 now they're upto £65,000 heh