Repaying Student Loans 2009/10 guide discussion

MrsManda

jackyr1 wrote: »

I am in dispute with the student loans co. I took out loans for the 3 years up to 1994. for many years I deferred and some I have paid when I could afford it. When I reached 50 2 years ago I asked them to wipe the loan but they refused saying as I had missed some payments I was in breach of contract. As these 'missed' payments were during a period that should have been deferred (long story) I said I should not be penelised and have refused to pay. Now they are threatening court even though they told me via email they would not do that. Has anyone out there had their loan wiped even after missing payments? Please help!

Have no experience with this but as the T&Cs say that they'll not cancel your loan if you've missed payments/are behind with repayments, I would have thought that unless you can prove you had a good reason for breaking the T&Cs you have no right of cancellation.
Are they refusing to cancel the loan completely or will they accept you paying the missing payments and then cancel?

jackyr1

Thanks for your replies everyone. It is for missing payments which is partly my fault and partly theirs. I will write again and ask them to reconsider and let you know how I get on.

Oldernotwiser

jackyr1 wrote: »

Thanks for your replies everyone. It is for missing payments which is partly my fault and partly theirs. I will write again and ask them to reconsider and let you know how I get on.

Sorry, can I just clarify? Are the payments still missing and, if so, can you make the missing payments and then the loan is cancelled? Alternativey, were you in arrears in the past and, because of this, the option of cancelling the loan isn't available?

teacher23_2

I have been in full time employment since september 2008 and have been earning over the £15000 mark which should make me eligible to repay my student loan. However, it has not yet started to come out from my wages. My other friends from uni have all had payments going out of their wages automatically since the april 2009 and i have been waiting for it to come out of mine. I'm starting to worry that if i inform the loans people, they will ask for the last two years to be repaid, although i don't think it's my fault as it is up to them to take it from my wages. What should i do? should i tell them, and if i do what might be the repurcussions? or should i carry on not paying, and if so what might be the repurcussions?
Any advice would be appreciated.

Poolie

teacher23 wrote: »

I have been in full time employment since september 2008 and have been earning over the £15000 mark which should make me eligible to repay my student loan. However, it has not yet started to come out from my wages. My other friends from uni have all had payments going out of their wages automatically since the april 2009 and i have been waiting for it to come out of mine. I'm starting to worry that if i inform the loans people, they will ask for the last two years to be repaid, although i don't think it's my fault as it is up to them to take it from my wages. What should i do? should i tell them, and if i do what might be the repurcussions? or should i carry on not paying, and if so what might be the repurcussions?
Any advice would be appreciated.

They should not ask for any back payments but it is your responsibility to inform SLC if the deductions are not been taken.

If you do not contact them and they catch up with you they could ask for a lump sum.

Firstly, contact your Payroll department and ask them if they ever received a S1 Start Notification for your NI Number. If they have ask them why it was never actioned, if they didn't contact SLC. SLC will be able to find out why the start hasn't been sent from either their end or by HMRC. It may take a bit of time to resolve if your waiting on HMRC or SLC

teacher23_2

Thank you very much for your response and your advice. It has put my mind at rest. I'll get onto payroll asap and I'll let you know how it all works out as it might be useful for others.

raquelita_2

hi

i have a pre 1998 loan that i can't afford to repay at the rate they want but am over the deferment salary. every year i have to fill in a "financial hardship statement" to request a lower repayment rate, which basically is a budget statement assessing my income and outgoings.

i don't earn that much more than the deferment salary and they even phone me to ask if i can defer the loan. i feel really harrassed by them. they send me letters every 6 months telling me i'm in arrears and if i default on any payments they'll refer me to a credit reference agency and ruin my credit rating.

they have accepted my hardship statements and agreed lower payments. i've just got a letter saying i've defaulted on the payment and they plan to ask for the entire loan in one (over 5.5k). i have checked with the bank and every agreed payment has gone.

i'm really sick of them hassling me but i'm scared if i challenge them too much they will insist on me paying the whole amount per month (i was told i have "an extravagent lifestyle" - as if!) which i simply do not have.

has anyone any experience of them as i'm basically about to make a complaint about them harrassing me.

thanks.

rachel

Oldernotwiser

raquelita wrote: »

hi

i have a pre 1998 loan that i can't afford to repay at the rate they want but am over the deferment salary. every year i have to fill in a "financial hardship statement" to request a lower repayment rate, which basically is a budget statement assessing my income and outgoings.

i don't earn that much more than the deferment salary and they even phone me to ask if i can defer the loan. i feel really harrassed by them. they send me letters every 6 months telling me i'm in arrears and if i default on any payments they'll refer me to a credit reference agency and ruin my credit rating.

they have accepted my hardship statements and agreed lower payments. i've just got a letter saying i've defaulted on the payment and they plan to ask for the entire loan in one (over 5.5k). i have checked with the bank and every agreed payment has gone.

i'm really sick of them hassling me but i'm scared if i challenge them too much they will insist on me paying the whole amount per month (i was told i have "an extravagent lifestyle" - as if!) which i simply do not have.

has anyone any experience of them as i'm basically about to make a complaint about them harrassing me.

thanks.

rachel

You must be earning over £26,000 to have to repay this so I think that you're lucky to have been allowed to repay at a lower level. Have you looked on the DFW and Oldstyle Boards for advice on cutting back on your outgoings?

Geegees

I went to University as a mature student completing my third year in 1996. I took the maximum amount of student loan for each year. Since 1996 I have been in low paid posts and earn so little that I have been unable to pay it off. I turn 50 next year... will they continue to send me letters each year indicating how much is left to pay and will they still ask me to fill in a letter about my earnings too?

Oldernotwiser

Geegees wrote: »

I went to University as a mature student completing my third year in 1996. I took the maximum amount of student loan for each year. Since 1996 I have been in low paid posts and earn so little that I have been unable to pay it off. I turn 50 next year... will they continue to send me letters each year indicating how much is left to pay and will they still ask me to fill in a letter about my earnings too?

Assuming that you have been completing the annual deferment forms, your remaining debt will be cancelled on your 50th birthday. I was told that I might still be sent the forms but that I shouldn't send them back after my birthday, although I've asked for something in writing to confirm this.