Student Loan - Thesis Servicing? Help.

psbrett

I currently have a student loan from 1994 that I have not had to start repaying as I do not reach the earnings threshold. This year I have deferred again and have received a letter from the Students Loan company confirming my deferment. At the same time I have received a letter from Thesis Servicing who have taken over the servicing of these accounts, saying that they do not have a current direct debit instruction set up for me and that despite my deferment I must set one up and that "failure to supply a valid direct debit may result in unnecessary arrears being applied to your account".
I do not want to set one up as I do not want somebody having access to my account when I am not obliged to start repayments as I do not want them "accidentally" starting repayments.
Am I legally obliged to provide my bank account details and can they charge me if I refuse?
Has anybody else received the same letter?
I would appreciate any advice on this matter.

fermi

From the terms and conditions of a student loan of that period.



and

BlueAngelCV

But if they've agreed the deferment already it sounds a bit odd.

Call the Students Loan company who confirmed the deferment. Explain what's happened and ask them to confirm if TS are anything to do with them. If so ask them to explain whether your deferment still stands.

fermi

BlueAngelCV wrote: »

Call the Students Loan company who confirmed the deferment. Explain what's happened and ask them to confirm if TS are anything to do with them. If so ask them to explain whether your deferment still stands.

They are. Two of mine have been transferred to them.

I queried it with the SLC immediately and they confirmed the transfer/sale. Since that I have heard of many others the same.

It is legit.

If you don't provide a DD mandate then you are breaking the terms of the agreement, deferment or not.

I suspect that gives them the right to end the deferment, but not sure.

If they take payments during a deferment then they would be breaching the agreement and you could take action against them. So why not provide the details?

fermi

http://www.linkfinancial.eu/thesis/index.html

From October 2008, Thesis Servicing has been responsible for administering a portfolio of student loans sold by the UK Government in 1998 - as part of the first student loan debt sale to the private sector - and now owned by Finance For Higher Education (FFHE) Limited.

jrt1973

I have received the same letter demanding direct debit details relating to 3 loans that I have already received written confirmation from the SLC, are deferred until April 2010.

To my mind this is sufficient as I have met the eligibilty criteria for deferment for nearly 15 years.

I have to disagree with Fermi that I would be in breach of the t&c's if I failed to provide bank account details on loans that are not eligible for collection.

I am fully prepared to be proved wrong on this but the t&c's pasted above only imply that they should be notified of a change in bank account.

I've had at least 6 different current accounts since 1992 and not once have I notified the SLC of a change, and have still obtained annual deferment.
The fact that Thesis are now servicing this debt and are coming over all heavy handed is irrelevant. Insisting on direct debit details is completely unenforcable and they would have trouble taking action to recover the full amount, on failing to provide bank details alone.

As far as I'm concerned, I'm under no legal obligation to disclose my bank details for deferred debts and would only be in breach of the t&c's for providing false income details to ensure deferment.
Under my t&c's, provided your gross income is less than £2161 per month then you are eligible for deferment. Until now, I've never had any written demands to provide bank details.

In short, I've sent Thesis a snotty yet polite letter telling them to whistle for my bank account details.

Hold this space to see if they attempt to cancel my deferment!

Typhoon2000

If I remember correctly you have to provide direct debit detail when you take out the loans for the first time and inform the Student loan company if there is any change in your direct debit detail. They need this info even when your a student, long before your normally due to pay it off. So I think it is a requirement of your loan that your provode upto date information regarldess of if your paying or not.