Student loans

jessspirit

My husband has two different types of student loans. He has the old type which you pay back through the bank account and some of the new type which are docked off his wages.

He is now paying both of them off at the same time. He is paying £90 a month through direct debit and around £50 a month from his wages. He earns £20,000 so that seems like a lot to be paying off each month.

Should he be paying both?

Glasgow_Paul

Hi Jessspirit

Unless you husband did a PGCE (Postgraduate Certificate of Education) (ie became a teacher) or is earning below the threshold to defer his old loan then unfortunately he will have to pay both.

Glasgow_Paul

jessspirit

Hi Glasgow Paul,

Thanks for the info, just the luck of the draw, crossing both schemes!

Jessspirit

mrsplinter

If your husband is paying some of his student loans by direct debit through his bank account and they were obtained before 1998, he should not be making repayments if he earns £20k a year. The threshold for repayments is £2034 gross per month or £24408 a year, you should get a form about deferrment every year in February. If during the year your salary drops below the threshold at any time during the year you can contact contact the loans company and ask to have payments deferred. Also, according to the website, if you repay under the new and old schemes you can chose which loan to pay first if you have both types.