Repaying Student Loans 2009/10 guide discussion

Zeronet

Thanks, but that doesn't quite answer my question.

My question relates to how repayments would work on completion of the second degree and beginning repayment of that. Will it count as two separate loans I have to pay back separately or does SLC add it on to my existing repayments?

Just a note, the questions aren't theoretical, i have been awarded another loan for my 2012 course of £2324.

ilostmymarbles

Hi everyone,

The student loan repayment site appears to be down. Does anyone know why and more importantly how long its going to last???

Poolie

It will be a maintenance release given that the new academic year starts on Friday. Should be back available tomorrow or Tuesday

DaveGW

What happens in regard to graduates working abroad?
Is your loan on hold until you come back and start paying UK income tax?

melancholly

DaveGW wrote: »

What happens in regard to graduates working abroad?
Is your loan on hold until you come back and start paying UK income tax?

http://www.direct.gov.uk/en/EducationAndLearning/UniversityAndHigherEducation/StudentFinance/RepayingStudentLoansCoursesStartingFrom1998/DG_10034866

See section on 'If you go abroad' in above link or page below on SLC site:

http://www.studentloanrepayment.co.uk/portal/page?_pageid=93,6678653&_dad=portal&_schema=PORTAL

You are still obliged to repay but the threholds are set differently for different countries (as in it's not a straight conversion of the threshold to the local currency). There is a link there to all the overseas thresholds.

gazmoore77

Hi everyone,
I have a pre-98 mortgage style loan that has been deferred for most of the time since I left uni - I have letters from SLC to confirm this for every year from 2002 to present with the exception of the year 2004-2005 when I think I hadn't updated my address. This resulted in arrears on the account (annoyingly as I earned under the threshold for deferment) which I repaid under sufference finishing last June.

Anyway, my current deferment period is now up and Honours Student Loans are saying I have lost the right to apply for deferment and must pay back £100 a month which I can ill afford. They are saying that the time I took to pay off the arrears (and extortionate charges) is included in the 60 month repayment period so I have something like 30 months to pay in. I don't understand how after 6 years straight deferring I am no longer allowed to defer - is it because they suspect that I will never earn over the threshold so the loan would be written off in 14 years?

Has anyone had any luck challenging a decision like this? Or claiming back ridiculous charges? Any advice would be gratefully received, should I follow their appeals process and then go to FSA - does anyone think I'd have a chance and if so should I pay the installments in the meantime? (I'd rather not as I racked up credit card debts repaying the "arrears")

arundelroad

I am also in the same boat. I have been deferring since 2006 and now they are saying i can not defer this year. (have pre-98 loan) I was in arrears whilst i was still earning less than the threshold. Arrears was built because i did not defer for few years. This was because i was sent the paperwork at my old student address. I went aboard for few years and told them this and also gave them the address and telephone number but they kept sending the letter to the same wrong address and high charges. When i returned home, I had built arrears. I paid all the arrears in 2009/2010. Now they are saying i can not defer when i have no arrears and still earn under the threshold. Are they allowed to stop me deferring. I send the forms to SLC and they sent me a mail saying thy can not process my deferment due to honours student loan putting stop on my account. Please help.

Cheeky_Charlie_2

Hello,

Apologies if this has already been answered, I read through the first 5 pages and couldn't find it (and lost the will to live).

I have nearly paid off my student loan. I received a letter from the SLC informing me so and inviting me to switch to Direct Debit - to avoid overpaying. My question is not about whether or not I want to overpay; I know I don't.

My question is this:
As far as I understand, the student loan payments come out of my gross salary (i.e. before tax). Direct debits from my bank account can only come after tax (surely?). Does this mean I should delay switching to Direct Debit until the last possible moment such that I am not paying tax on my income then paying off debt which could have been paid before tax?

Cheers

Poolie

You would be better switching to direct debit as the money which currently comes out of your salary will stop. You may find the repayment will be lower than your salary deduction. Also, it will not be affected by an bonus in any given month.

The deduction from your salary is taken out the same time as tax so if this stopped your tax amount will not increase.

Cheeky_Charlie_2

That'll do, thanks.