How do we know student loans earning threshold will always be index-linked?

2sides2everystory

Oldernotwiser wrote: »

I agree with Melancholly that the chances of retrospective changes are small, partly because this has never happened so far, but also because any future changes would affect the graduates who will by that time be in positions of influence. I doubt very much that a government is going to want to put itself in a position where it takes on such a group.

Oh do you mean people like you and melancholly and me and Lokolo and setmefree2 and Taiko are safe because the government wouldn't dare take us on? How very reassuring :rotfl:

hcb42

i dont know why the point about retirement age is relevant to this rant...? I entered the workplace in 1987 and my retirement age for a big national co pension scheme was 65 even then!

WISHIWASRICH_2

Taiko wrote: »

None of the things you mentioned involved signing a contract. In taking out a student loan, you are signing a contract, and those terms are therefore binding.

This is what you sign.

When you take out a loan, we will ask you to sign
a declaration which will be a contract. This states
that you have read and understood the Terms
and Conditions. You must agree to repay your
loan in line with the regulations that apply at the
time the repayments are due and as they are
amended. The regulations may be replaced by
later regulations.

Page 10
http://www.direct.gov.uk/prod_consum_dg/groups/dg_digitalassets/@dg/@en/@educ/documents/digitalasset/dg_183903.pdf

Oldernotwiser

2sides2everystory wrote: »

Oh do you mean people like you and melancholly and me and Lokolo and setmefree2 and Taiko are safe because the government wouldn't dare take us on? How very reassuring :rotfl:

Even now there'll be plenty of people in influential positions who have student loans - when the threshold rises to £21,000 there'll be far more.

Taiko

I'm in an influential position, without it. Hasn't stopped me so far.

The regulations that govern repayment have not changed since 1998. They are unlikely to do so at any stage.

melancholly

well, there are two options - you go with what you know at the time or you second guess and put your life aspirations on hold because of what 'might' happen. i can't guarantee anything.... no-one can. people who entered uni in the late 90s didn't expect the dotcom boom to crash and burn, leaving lots of people struggling to get jobs. people who started uni 6 to 3 years ago didn't predict the current financial climate where graduate unemployment is higher than ever........
people starting degrees at unis like london metropolitan university couldn't have imagined that the new HE finance structure would lead to the uni dropping courses that they were already registered on (because it is utterly ridiculous!).......

if uni isn't really what you want, then use possible fees as an excuse not to go. but no-one can predict the whole future. you can't live your whole life worrying about what if, especially if it means putting ambitions on hold. uni isn't for everyone - that's a given, but tiny chances that can't even be predicted aren't solid ways to make decisions. you can only go by the information at the time...... there is no information about possible longer term changes, just pure and total speculation. that's not a good basis for a decision.

we've all made decisions that have turned out to be great and have turned out to not be the next plan (like jobs that seemed great but were a disaster, or people who made pension plans with equitable life.....). i don't really see what anyone can do apart from make a decision based on the facts on the table. strawberry123 - if you think the potential risks outweigh the laid out benefits, then don't go to uni. that's your call to make. imo, that's an overreaction and wouldn't be appropriate for most people who want careers in education, medicine, engineering, science, architecture, financial services, law etc etc, where a degree is needed. if you don't want to go into those areas, then for you, the risk may be greater than any benefits. for a lot (the majority?) of people, the balance will fall the other way. being a start up entrepreneur with no training is a rarity - it's to be admired, but it isn't a career path many people will be capable of following!

essentially, you're asking a question that no-one can answer...... so whatever anyone says, they can't prove it, either way. so to me, this makes it a moot point. you may disagree, but since no-one can actually categorically say what will happen 30 years down the line, i can't see how this discussion could ever be resolved. for all we know, we'll go into a second recession, HE funding will fall completely and there won't be any unis in 3 years time......it's all possible. we could end up invaded by China and all fall into communist system...... there are a million what-ifs out there if you put your mind to it!

WISHIWASRICH_2

melancholly wrote: »

well, there are two options - you go with what you know at the time or you second guess and put your life aspirations on hold because of what 'might' happen. i can't guarantee anything.... no-one can. people who entered uni in the late 90s didn't expect the dotcom boom to crash and burn, leaving lots of people struggling to get jobs. people who started uni 6 to 3 years ago didn't predict the current financial climate where graduate unemployment is higher than ever........
people starting degrees at unis like london metropolitan university couldn't have imagined that the new HE finance structure would lead to the uni dropping courses that they were already registered on (because it is utterly ridiculous!).......

if uni isn't really what you want, then use possible fees as an excuse not to go. but no-one can predict the whole future. you can't live your whole life worrying about what if, especially if it means putting ambitions on hold. uni isn't for everyone - that's a given, but tiny chances that can't even be predicted aren't solid ways to make decisions. you can only go by the information at the time...... there is no information about possible longer term changes, just pure and total speculation. that's not a good basis for a decision.

we've all made decisions that have turned out to be great and have turned out to not be the next plan (like jobs that seemed great but were a disaster, or people who made pension plans with equitable life.....). i don't really see what anyone can do apart from make a decision based on the facts on the table. strawberry123 - if you think the potential risks outweigh the laid out benefits, then don't go to uni. that's your call to make. imo, that's an overreaction and wouldn't be appropriate for most people who want careers in education, medicine, engineering, science, architecture, financial services, law etc etc, where a degree is needed. if you don't want to go into those areas, then for you, the risk may be greater than any benefits. for a lot (the majority?) of people, the balance will fall the other way. being a start up entrepreneur with no training is a rarity - it's to be admired, but it isn't a career path many people will be capable of following!

essentially, you're asking a question that no-one can answer...... so whatever anyone says, they can't prove it, either way. so to me, this makes it a moot point. you may disagree, but since no-one can actually categorically say what will happen 30 years down the line, i can't see how this discussion could ever be resolved. for all we know, we'll go into a second recession, HE funding will fall completely and there won't be any unis in 3 years time......it's all possible. we could end up invaded by China and all fall into communist system...... there are a million what-ifs out there if you put your mind to it!

Easy to write when you don't have to actually sign one of these agreements. you don't seem to have any understanding at all of people's fears.

Taiko

Ok, I'll put this offer to you.

Apply for a commercial loan. You're then free from any regulation changes that may or may not alter your repayments. You'll always be in the know about what you'll repay and when that way.

Oldernotwiser

WISHIWASRICH wrote: »

Easy to write when you don't have to actually sign one of these agreements. you don't seem to have any understanding at all of people's fears.

Many people offering advice here either have student loans or have had them in the past. If so, we've all had to sign an agreement and often on far worst terms than these, even if for lesser amounts.

WISHIWASRICH_2

Taiko wrote: »

Ok, I'll put this offer to you.

Apply for a commercial loan. You're then free from any regulation changes that may or may not alter your repayments. You'll always be in the know about what you'll repay and when that way.

Thank you for the advice. Which ones do you recommend?