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Student loan - will the amount I owe ever go down?

I started uni in 1998 and after a 4 year course (finished July 2002) ended up with a £12000 student loan.

I've been repaying this through PAYE since I started work in 2002, but I still owe £11813.65 on my latest statement.

Will this ever go down / clear? Is it worth me trying to up my payments to clear the debt, or just let it run?

I currently earn £24000 a year with a £2000 a year bonus, but my salary will not be increasing in 2013 even with inflation. :(

What should I do?
LBM July 2011 - C/A -£2120 / CC1 £1000 / CC2 £1400 / Loan £3480 = Total debt £8000 :eek:

April 2014 - C/A £0 / CC1 £0 / CC2 £0 / Loan £0 = Total debt £0 :D

Current savings = £4065 & saved deposit to buy first house in November 2013 :j

Comments

  • Masomnia
    Masomnia Posts: 19,506 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    I know it's not a pleasant feeling having debt, but compare the interest rate that the debt costs you with how much you'd get in a savings account and you have the answer.

    Might be even better pay into a pension instead.
    “I could see that, if not actually disgruntled, he was far from being gruntled.” - P.G. Wodehouse
  • smancslad
    smancslad Posts: 25 Forumite
    True I guess. Am also paying into a pension as well.
    LBM July 2011 - C/A -£2120 / CC1 £1000 / CC2 £1400 / Loan £3480 = Total debt £8000 :eek:

    April 2014 - C/A £0 / CC1 £0 / CC2 £0 / Loan £0 = Total debt £0 :D

    Current savings = £4065 & saved deposit to buy first house in November 2013 :j
  • Masomnia
    Masomnia Posts: 19,506 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    I think you're on the right track then.

    Bear in mind you're getting a real terms pay cut this year, too. I wouldn't add another cost personally.
    “I could see that, if not actually disgruntled, he was far from being gruntled.” - P.G. Wodehouse
  • Fire_Fox
    Fire_Fox Posts: 26,026 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    Declutterbug-in-progress.⭐️⭐️⭐️ ⭐️⭐️
  • smancslad
    smancslad Posts: 25 Forumite
    OK, not going to pay it any quicker, but the thought of this hanging over me until I retire is pretty scary.
    LBM July 2011 - C/A -£2120 / CC1 £1000 / CC2 £1400 / Loan £3480 = Total debt £8000 :eek:

    April 2014 - C/A £0 / CC1 £0 / CC2 £0 / Loan £0 = Total debt £0 :D

    Current savings = £4065 & saved deposit to buy first house in November 2013 :j
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