ERUDIO student loans help

anna2007

rizla_king wrote: »

What is the rate quoted on your statements? Gives on the back a daily rate and annual rate.

The new one is OK from 1st September, but they have calculated the old one wrongly?

Should be 3.3%/365 but the daily rate they used to add interest doesn't work out as 3.3/365.

The new rate of 2.5% is OK as 2.5/365 = 0.006849315 which they have got right.

My statement covers 1 September 2013 to 31 August 2014, only shows 3.3%, and daily rate of 0.0089%.

I thought the 2.5% was from 1 September this year, so will show on next year's statement?

rizla_king

It is. It tells you both the old rate and the new one to be used from Sept 2014 on the back of the statements.

3.3 % / 365 is not 0.0089%

they do get the 2.5% / 365 = 0.006849315 right

anna2007

Sorry, just saw the 2.5% on back of statement.


The letter headed "annual statement" quotes the daily interest rate as 0.0089%.

rizla_king

Yes.

0.0089 X 365 = 3.2485 whereas it should be 3.3%

they get next years right as they quote

0.006849315% as the daily rate which works out correctly at 0.006849315 X 365 = 2.5%

So the daily rate of 0.0089% they quote they have used to calculate interest this year is wrong.

anna2007

X-post.

They've definitely used 0.0089% for the first 6 months, and the remaining interest lumped together doesn't come close, so basically the whole lot is wrong...


Edit: And another x-post!

rizla_king

Yes. Yet another fcuk up!

erudioed

Im sure everyone is aware of this but i just want to mention it again (and oddly i am defending Erudio in a twisted way) but they did post this on their website a couple of weeks ago:
Annual Statements: Due to a systems error, some customers have received annual statements with an incorrect arrears amounts detailed. This issue has now been fixed and all customers affected by this error will receive a formal apology as well as a new annual statement. For further information visit the ‘Recently asked questions’ section of the website

Me again: It would be no suprise if this is another major mess-up, but could yours be the wrong ones referred to and the mentioned apology letter be on the way? Or have you had that apology letter but it is still wrong? Sorry to question such things but i am slightly unclear.

In_A_Pickle

Update on my request as a shared borrower for SLC to process my erudio loan with the HSL ones : they deferred my HSL loans and by the looks of things ignored my request to process the erudio one! No mention of it what so ever in the letter I received today. I will try and give them a call tomorrow to see whats happening or not as the case may be

fermi

In_A_Pickle: See this...

This update on a FOI request to BIS confirms 100% the position on deferment for borrowers with shared loans.

https://www.whatdotheyknow.com/request/227596/response/566053/attach/html/3/FOI%202014%2019700%20R%20Miles%20reply.pdf.html

I can confirm that BIS holds information within scope of your request. The responsibilities
agreed for processing mortgage style loan deferment applications are as follows:

Erudio Student Loans Ltd is responsible for the processing of deferment applications
from borrowers who only have mortgage style loans owned by Erudio.

Deferment applications from ‘shared borrowers’ (borrowers whose mortgage style loan
accounts are split between Erudio and either Honours Student Loans or Thesis
Servicing) are processed by the Student Loans Company. If an application is successful,
deferment will apply to all of a shared borrower’s mortgage style loans, including those
now owned by Erudio.

Appeals Procedure

If you are dissatisfied with the handling of your request, you have the right to ask for an internal
review. Internal review requests should be submitted within two months of the date of receipt of
the response to your original letter and should be sent to the Information Rights Unit at:

Information Rights Unit
Department for Business, Innovation & Skills

So if SLC staff try to deny they have anything to do with it, you can tell them that is not so, and hard luck, they are the ones that have to process your deferment for ALL loans where you have them with more than one company.

anna2007

erudioed wrote: »

Im sure everyone is aware of this but i just want to mention it again (and oddly i am defending Erudio in a twisted way) but they did post this on their website a couple of weeks ago:
Annual Statements: Due to a systems error, some customers have received annual statements with an incorrect arrears amounts detailed. This issue has now been fixed and all customers affected by this error will receive a formal apology as well as a new annual statement. For further information visit the ‘Recently asked questions’ section of the website

Me again: It would be no suprise if this is another major mess-up, but could yours be the wrong ones referred to and the mentioned apology letter be on the way? Or have you had that apology letter but it is still wrong? Sorry to question such things but i am slightly unclear.

The error mentioned on the website relates to incorrect arrears amounts, but this problem is calculation of the interest, so looks to be a different f'up? There's a section on the statement for arrears, which shows zero on mine, I'm guessing some received statements with an arrears value when there were no arrears due.

If Erudio have used the wrong interest rate on all annual statements, that's a pretty costly mistake if they have to reissue amended ones to everyone... but will they? Many might not notice, and as the interest has been understated, Erudio could try and hit accounts with arrears of interest at a later date? Not saying they're entitled to do that, it's their mistake, but they do seem to enjoy turning everything they touch into sh!te, and making it a complete PITA for all of us in the process! :mad: