SAAS say they have overpaid my son, advice please.

MrsBartolozzi

My son decided to change university course at the end of year 2011-12 ( returning Sep 2012 to study 2nd yr Computing instead of 3rd year Chemistry) and informed SAAS via their online form in June that he was doing so, with the details of the course change and the university approval email.

He heard nothing from them so, 30 days later in July he phoned them. He was told they didn't get the form (DS received the auto email saying he'd submitted) so he told them again and forwarded the relevant details. The SAAS person on the phone said SAAS would not pay his fees this year but that he would still get the full loan, young student bursary and the additional loan. This was followed up with an email saying the same.

When he went back to uni in September he set up a direct debit to pay his fees monthly and put his head down to study. Until last week that is, when he was contacted to say that he was not entitled to the bursary or the additional loan and SAAS wanted it back (because he was redoing a 2nd year).

The letter came through today saying they want over £1000 back they paid since September and to phone up them to pay.

It also transpires that the uni have recently cancelled his direct debit because SAAS have paid his fees too.
Following tonight's conversation with my troubled son he is going to phone SAAS tomorrow to find out what will happen regarding the fees money, but I'm not very happy with the way this has been handled by SAAS. I know in a conversation I had with them in the summer (I have no details of whom I spoke to, sadly) I was told that the only deficit this year was the fees, so to be told now, just before exams that he has this to pay feels very unfair on him.

Basically I'm looking for advice on how my son should handle this. He told them of the change and was told the only change to him would be the fees, which he arranged to pay.
His choice of flat was based on the financial information that he was given by SAAS, so now to be told that he cannot afford it, and needs to pay back some money he now doesn't have has left him in a very difficult position.

The fact that they have paid his fees when he did not ask for this is just another mistake to add to the list.
Would it be worthwhile making a complaint about how his application has been handled? Assuming he is required to pay this back (as the website is lacking any information on this issue) how do we ensure he has enough time to pay without suffering financial hardship?

Thanks for any advice.