Help With Student Loans - HERE!

Oldernotwiser

india wrote: »

I didn't actually realise that my benfits would be assessed on the loan weather I take it or not.


I'm just really worried about getting into debt after uni. I've been there before and only cleared my debts thus year. I will have to sit down and work this all out.

I am still doing the course I started 2 weeks ago. I don't really want to work either. I have worked full-time from the age of 16 up to July this year. I want to concentrate on studying for the next 3 years.

Maybe your both right and I couldn't afford uni without a loan. I may stay with the loan this year and try not to go into it and see how I stand for next year.

Thank you

Lone parents are allowed to stay on benefits whilst studying but student loans, grants and bursaries are counted as income and affect your benefits. As I said, they'll assess your benefits as if you're receiving the £4,000 student loan whether you choose to take it or not. I doubt very much whether you'd be able to exist as a lone parent without it.

Congratulations on paying off your debts but please don't class the student loan in this category. If you start on £20,000 as a Social Worker you'll only be paying back about £40 per month and if you earn less than £15,000 (if you are part time or wanted more children) you pay back nothing. Obviously this means that it's accrueing interest but if it's not paid back in 25 years it's written off. It's absolutely nothing like getting into debt with ordinary loans and credit cards and doesn't affect your ability to get other credit, like a mortgage, in future. Good luck with your course.

india

Oldernotwiser wrote: »

Lone parents are allowed to stay on benefits whilst studying but student loans, grants and bursaries are counted as income and affect your benefits. As I said, they'll assess your benefits as if you're receiving the £4,000 student loan whether you choose to take it or not. I doubt very much whether you'd be able to exist as a lone parent without it.

Congratulations on paying off your debts but please don't class the student loan in this category. If you start on £20,000 as a Social Worker you'll only be paying back about £40 per month and if you earn less than £15,000 (if you are part time or wanted more children) you pay back nothing. Obviously this means that it's accrueing interest but if it's not paid back in 25 years it's written off. It's absolutely nothing like getting into debt with ordinary loans and credit cards and doesn't affect your ability to get other credit, like a mortgage, in future. Good luck with your course.

than you very much, you've really put my mind at ease.

barnabee

Please can anyone offer any constructive advice for a problem that is now wearing me down?

My son applied for his loan online back in March for his third and final year at Uni. He has had no problems in the first two years with SLC. However his loan status is still sat at 'Approved - Awaiting Signature'.

He has been fobbed off with no end of excuses and has no idea when he will get any money. He has been back at Uni for 3 weeks now and money is getting really tight.
I contacted his local council student services and they made some headway by finding out that his third year application had been scanned by someone in Glasgow but placed in the wrong electronic folder. He was sent new forms which he has again completed and returned. He has also lodged a customer complaint but has to wait another 7 days for the result.

I am so mad with the whole process, especially the frustrating 0845 telephone service, I am planning to walk to the Welsh Assembly in Cardiff and protest outside. My wife has been in tears with worry. Is my son the only one still having problems?

dirtysexymonkey

barnabee wrote: »

Please can anyone offer any constructive advice for a problem that is now wearing me down?

My son applied for his loan online back in March for his third and final year at Uni. He has had no problems in the first two years with SLC. However his loan status is still sat at 'Approved - Awaiting Signature'.

He has been fobbed off with no end of excuses and has no idea when he will get any money. He has been back at Uni for 3 weeks now and money is getting really tight.
I contacted his local council student services and they made some headway by finding out that his third year application had been scanned by someone in Glasgow but placed in the wrong electronic folder. He was sent new forms which he has again completed and returned. He has also lodged a customer complaint but has to wait another 7 days for the result.

I am so mad with the whole process, especially the frustrating 0845 telephone service, I am planning to walk to the Welsh Assembly in Cardiff and protest outside. My wife has been in tears with worry. Is my son the only one still having problems?

No, your son isn't the only one. There are a lot, and I mean a lot, of people at my Uni without their loans yet. Mine has been wrongly assessed, so I'm having to wait for them to do it again. And the help centre at Uni has never been so busy with people applying for the emergency loans. I'm not sure what has happened this year, but they seem to be unable to do what they're supposed to do. Maybe it's because they'll be dealing with, 3, possibly 4 different sets of rules for the years of students who are studying?

Niemand

I just thought I'd update the forum regarding my message #705.

Although my niece has lived in Ireland for the last seven years, as far as citizenship goes, she is regarded as English and so has been able to get student loans and grants as anyone with such citizenship would be able to get. She has an Irish passport but can apply for an English one any time.

I realise my original message talked about nationality.

moob_2

I hope there are a few experts still able to comment, as I'd like clarification on the repayment of my loan.

I was always under the impression (perhaps ignorantly) that when the payment is taken from my wages every 4 weeks, that payment would be made against my outstanding loan immediately.

I've only just found out that the payments are accrued and then paid into the loan at the end of the financial year - meaning that the load in gaining interest throughout the year.

I was absolutely enraged by this - as not only were we all told the loans would be at a flat rate of 1% when we took them out - and they're now linked to the RPI, we're now getting shafted by interest.

Anyone any ideas/thoughts/comments on this?

chaotic_j

Hello after a bit of advice.

I have a rather large student loan. I took it out as advised by this site a very cheap debt and I have had it in high interest savings accounts, earning more interest than the interest on the loan.

Now the problem is I have had it in IceSave who obviously went bust this week.

I have recently graduated and I am self-employed, HMRC have informed SLC who say that HMRC will take a payment when I submit my self-assessment return at the end of the tax year, if I have earned over £15,000.

I think it is quite likely I will earn over this much.

I am wondering now that I am a taxpayer will I still be earning money by having the loan in a high interest savings account?

I read the article on whether it should be paid off but I am just wondering with the financial clime being what it is, should I pay it off once I get my money back from IceSave?

Just looking for some advice and opinions please.. many thanks in advance.

The_One_Who

My general feeling is that with the financial climate the way it is, having the money in a bank to use as an emergency fund would be better than paying it all off in one go.

moob_2

chaotic_j wrote: »

I am wondering now that I am a taxpayer will I still be earning money by having the loan in a high interest savings account?

Don't take this as verbatim, but I'm pretty sure that any interest you earn on your savings are not counted towards your actual income, as it doesn't go through the PAYE system like you salary.

moob_2

Don't mean to hog the thread, but could someone pass comment on my post a few above - I'm genuinely interesting in finding out the consensus of opinion on this repayment disaster.