Career Development Loans 2006/07 article Discussion Area

uw12

Hi,
this is my first post.
I took out a CDL from Barcalys in 2006 for my masters. I have been making payments back since 2007 and I was wondering if I can pay the remaining loan back in full with all my savings which would cover the loan.

This is because I was working but have recently had a baby and cannot go back to work and my husband is finding it hard to make the payments on my behalf. I thought if I clear the loan now at least we can manage the other bills etc from his income, and he wouldn't have to pay my loan.
I don't have any income now.

Please can anyone tell me if I would incur charges and around how much they may be?

- sorry if my question is not clear.

thanks in advance:embarasse

peter1982_2

katygill wrote: »

Hi Laura

I am in a similar situation to you, I have been out of the UK for 1 year backpacking round Australia but have kept my UK bank accounts/mortgage payments/credit card payments up to date during this time.

I plan to return to the UK in Dec to start a course on 3rd Jan, so I will have to apply for my CDL while still overseas (which they said was ok to do) I am a Barclays customer any they have told me it can be done over the phone if you are already a customer (saves risk of sending paper-work for it to get 'lost' etc).

They also told me I had to be residing in the UK for the last 3 years, I told them I have effectively been on 'holiday' for a year, and still have a UK mortgage and pay council tax in the UK during this time. They said this was ok.

Perhaps you could use this route and say you have just been on holiday in Spain and all your UK accounts and credit rating is ok and up to date.

Barclays told me I they would want to see the last 3 months bank account statements including my other accounts (which are Natwest) and would need to see activity in those accounts over the last 3 months (at least 5 transactions). They also mentioned that it would be detrimental to the application if the account had been overdrawn in the last 3 months.

Hope this helps and good luck with your application for a CDL!

K x

Hi,

What is important in these cases is whether you're still 'ordinarily resident' in the UK. If you have been 'ordinarily resident' for the last three years, then that should be enough.

It's possible to live in another country and still be 'ordinarily resident' for tax purposes in the UK. Whether you are 'ordinarily resident depends on various factors about how strong your links are to the UK. Anyone who's been backpacking for a year or so, will almost certainly still be 'ordinarily resident'.

It's entirely possible that you could be resident in two countries at the same time, so you should check with the tax office to confirm your residency status if you are unsure.

I'm not allowed to post links but the Direct.gov.uk and HMRC website can both give more info.

Hope that helps some people a bit

Peter

beastman

tomhagen wrote: »

Thanks for all your efforts MSE, great site and excellent tips.

I have a specific question regarding the Barclays CDL and repaying the loan early, before the interest payments are due to begin. Under Barclays Terms and Conditions, would I be penalised for paying off the full amount of the CDL (eg. in a "ditch and switch" to a personal loan with a lower interest rate) before the two month holiday interest ends?

As can be seen in the following link, under the summary tab, (ww.bank.barclays.co.uk/Loans/Ourloans/ProfessionalandCareerLoan/P1242557963934) it says "there is no early settlement fee", but it also says "Default fees -
We may charge you for any costs or losses we incur as a result of you breaking your loan agreement."

My question is basically that by paying off my CDL loan fully before Barclays can begin charging interest, will I be penalised either in the form of fees, or liability for the amount in interest Barclays will miss out on as a result of me ending the loan agreement early?

Any help would be much appreciated. Thank you.

Did you get an answer to this? (obviously not here but elsewhere)

Lost_Prophet

Has anyone had any experiences of the CDL with Co-Op or Barclays?

Just wanting to answers to the following:
- When are payments made to the Uni?
- When should I apply if the course starts in July?
- How much will they pay each period if the loan amounts to £10,000?

mgeSAnto

Lost_Prophet wrote: »

Has anyone had any experiences of the CDL with Co-Op or Barclays?

Just wanting to answers to the following:
- When are payments made to the Uni?
- When should I apply if the course starts in July?
- How much will they pay each period if the loan amounts to £10,000?

Hey,

As far as I know the payments of CDL are made in a similar way to Student Loans, that is , they do it by term into your bank account. I also believe they pay the uni directly but not very sure about this. You can call Next Step on 0800 100 900 and they will help you this. They were very helpful to me in the past, even though I did not get it.
The only thing I'm sure about, since I applied for one last year, is that you to do it 3 months before the course starts so if starts in July you should be really starting now(ish) to get all of your documents in order.

As this is my first post don't take my word for it and the best thing is to call next step.

Now, onto my issue.

Last year I applied for a CDL, but did not get it because I went over the limit of my debit card overdraft too many times (usually just by a £1 or 2), and they said that my credit rating was bad. I'm going to apply again this year and I was wondering if I will still have the same issue. The thing is, since I graduated I have been unemployed and on JSA, and I was wondering if this fact along with what just described above will injure my chances of getting a loan (my last overdraft fee was on August 2011).

Any information would be welcome.

Kind regards,
Miguel

Synonymous

Hi, I have a PCDL which is coming to the end of it's 0% term in October. I know I can get a better rate with a personal loan if I switch, however, I would obviously love to keep it at 0% - I was just wondering if you can balance transfer a loan to a credit card (i.e. with a 0% interest on bt offer).

I have the money to clear the loan, however, I would prefer to stooze the money and keep the cash in a savings account for as long as possible.

Many thanks.

lizzybeth18

Hi, I'm in a huge catch 22 involving a masters degree and a career development loan so i'm looking for some advice.

I decided to apply for a part time masters degree (over 2 years) back in june and was very happy to get accepted so as soon as I was able to (8 weeks before the course start date) I applied for a career development loan from the co-op. I assumed I would get accepted for it as I didnt realise they had such strict regulations, but I unfortunately got turned down. I then buried my head in the sand about it for weeks until I decided to try and find out why I got turned down. All the co-op would tell me is that I have a bad credit rating so I then paid £15 to get my Experian credit file to find out exactly whats wrong with my credit rating. It turns out that because I have recently registered at my home address, from may onwards, (since moving back home after finishing my undergraduate degree in Liverpool) I have only recently been added to the electoral roll at my current home address. I now know, and have been told by many different professionals, that this is probably the only reason for me being rejected for the career development loan as my credit rating is otherwise quite good. I've since contacted my local council, Experian and the co-op to see what can be done about this situation only to find out that the electoral roll will be updated in mid october with my details but Experian will not have this information on their systems for others to see until the end of january and there is absolutely nothing I can do about it. As you can imagine i'm distraught at this news because I have already enrolled on my masters course and the first fees will need to be paid by the beginning of november and I have absolutely no money to pay for them with!

So i'm just looking for some honest advice as to what I should do next.
Do I apply for a credit card, an extension on my natwest student overdraft and a high interest 12 month loan to pay for the tuition fees between november and january (£1800) until I can hopefully get the career development loan? Or do I apply to Barclays for the same loan to see if I will be accepted by them? Or do I just admit defeat for this year and defer my studies for a year until next september (2013) when I will (hopefully) be able to get a loan? The latter is my worst case scenario but if I need to then I will just have to do this.

I apologise for the HUGE message btw and I applaud you if you have made it this far!

Thanks in advance.

JimmyJar

Just wondering if Career Development Loan can be used for final year at university?

appreciate help, its for my mate

Jim

fluffymuffy

lizzybeth18 wrote: »

I apologise for the HUGE message btw and I applaud you if you have made it this far!

Thanks in advance.

Could you try to borrow the money you need?
First try your local Credit Union.
Then ask family.
Piece it together out of different sources.

Sell everything of value.

soap88

akadiago wrote: »

Hi guys, have been looking round the site for a while now and thought it about time I got down to some posting :-)

Ok I really need some help here.

I have the money for fees, rent and very basic living sorted (just food no fun :-( ) but this means I can take up my place at uni so its all good.

I was thinking can I still get out a CDL and make some money from it?

What I'm not sure about is, can I take one out, agree on the term etc, and then pay it off the min I get out of uni. Therefore all interest being paid by the government and leaving me with all the interest made from my savings account?

Thanks for the help

Are you likely to be rejected from a Career and Professional Development Loan if you have any savings at all? The Co-op says "Applicants must...not have reasonable or adequate access to funds to pay for the course yourself"

I am in a similar situation, Akadiago. I have been saving so that I can do a Masters, but wonder whether it is more sensible to take out a loan anyway so that I don't lose ALL the money I have managed to put aside (and can keep the interest on it). So this would mean I would use the loan to pay for things (fees, living costs) but have the savings to fall back on. Does anyone have an opinion on whether this is a) a good idea, or b) possible? Thanks!