ERUDIO student loans help

StudentLoansSuck

chiefdave wrote: »

I've always printed out the 'view your calculation' page from self assessment online (which sounds like it could be the same thing you are talking about) and its never been an issue with SLC.

My most recent calculation is laid out like this:

Total income received: £30150
minus
Losses: £4,346
Personal Allowance: £9440
Total on which tax is due: £16364

I've always taken that total on which tax is due figure and added back on the personal allowance which this year gives me £25804, below the threshold, but Erudio are claiming the total income figure is the one which should be used.

That's the basis on which they have rejected my DAR, I have put in a complaint about that which they have said will take 8 weeks to respond to. I then received an arrears notice so put in a complaint about that and it took them 2 weeks to even acknowledge they had received the complaint!

Absolute shambles, it would be laughable if it wasn't so serious and causing people so much stress.

I spoke with HMRC, and asked a hypothetical question regarding a company using gross profit as someons total income figure on a simple, not complicated tax return. They said this was highly unusual. The way it was explained to me, the expense figure is not considered your money (or something along those lines), hence the reason why they use the net profit figures for the calculations on total tax due. I would give HMRC a call (the reason why I suggest this is because I made an enquiry based on a hypothetical situation). Let them explain what they consider your total income from self employment to be. If nothing, its another piece of information that could help you defend your case.

TraceE_2

anna2007 wrote: »

The regulations are clear that the deferment period will last 12 months - if Erudio shorten it, they're in breach of contract.

Even if they were legally allowed to do it (which they're not), they'd have to advise you well before the revised deferment end date, to give you the opportunity to defer again... not leave it for 3 months and then claim there are arrears on the account... which is impossible, as you are deferred until 14 November!!

As you're on a 3 year deferral, it's a blatant attempt to harass you for one last deferment before the loans are written off. If you haven't done it already, could you please also let the FCA know what Erudio are up to, as they are meant to be monitoring the complaints they receive - this latest Erudio tactic might be new to them:

[EMAIL="consumer.queries@fca.org.uk"]consumer.queries@fca.org.uk[/EMAIL]

Tel: 0800 111 6768

Yes I will also inform FCA.

babyboos

hi everyone deferement time for me I got two separate letters from slc
one for hsl and one for erudio I wrote the erudio number on the exact same identical hsl form as I do every year but normally it is slc number not erudio number and sent in with evidence I have had letter from slc saying hsl deferment accepted but not a word about erudio


has anyone else been sent deferment form from slc for an erudio loan

fermi

I've now seen copies of several, so SLC should have sent you one letter and form that referred to and covered both sets of loans with HSL and Erudio.

I would contact SLC to query what is going on.

MrsA80

I had a lot of things going on this year and was late at applying for the deferment. I'm a housewife and have no income of my own. I'm fully dependent on my husband. Anyway, Erudio deferred it but said I still owed them money. I hadn't filled in the bank details section, thank goodness, but they want me to set up payments. Here's the reply I last got:

"Looking into your account I can see you sent your application in October. We then rolled your deferment back 3 months after accepting it, still leaving a gap in between the last deferment end date.

Unfortunately this your responsibility and your account is in arrears of £365.84. I must inform you of the consequences of being in arrears which may lead to the following:
· Calls and letters
· Further administration charges
· The account being terminated which leads to the loss of right to defer and the cancellation of any age and time related loan closure dates
· The account being passed to an external debt collector
· Outstanding arrears could impact your credit file"

Can they do that? Do I have to pay this? Any advice? Thanks!

fermi

Were you over 3 months late with the deferment?

The loan agreements and regulations do say that deferments can be backdated by up to 3 months.

If built up more than 3 months worth of arrears for the period you were not deferred, then yes, they can demand that you pay what remains once they have rolled it back the 3 months.

The consequences could also be as they have stated if you still owe one or more month's worth of arrears, because if you are behind in payments they are due they can chase, default and/or terminate the agreement and ask for the whole loan back.

BaffledByErudio

Apologies if grammar is wonky (I'm on a bumpy bus home from work).
@MrsA80.

Erudio are 100% bang on with what they're saying in this instance. Three months is and always has been (also under SLC) the maximum roll back period for deferment applications. Anything over, and although you can still apply to defer from that point on, must be settled, or they can terminate the original terms of your loan agreement.
To be honest, about 10 years ago, I forgot to defer and made 1 month's payment to SLC. At the time I didn't know about the three months' grace, so never claimed it back.

An interesting point about the correspondence you've had though is that it acknowledges the concept of age-related loan write-offs, which I know some people on this forum have faced problems with under Erudio.
It also talks about the detrimental impact non-payment will have with your CRA. So by this, do we take it to mean that legitimately deferred or 'payment holiday' (as Erudio calls them) loans definitely WON'T have such an impact, as many of us fear?

BaffledByErudio

Just to add, as Fermi says, that's all true if you definitely did overshoot your deferment window by more than three months and the figure they're asking for equates to split payments across the time period you were out of legitimate deferment territory .

lilacbreeze

I have the old style mortgage type loans from 1995-98. I work part time, am on my own and have young children so have always deferred with no problem. However because Erudio seem to take Gross income into account I now am over the threshold for deferment. Despite the fact that much of my income is made up of child tax credits for my daughters nursery payments.
I now have £460 of arrears built up over the summer as I could only offer them £20 per month. I applied to defer again in October as my daughter now gets 15 hrs nursery funding so my tax credits have dropped. But hey, guess what! as of 1st September the Government lowered the monthly threshold so even though my money's dropped I've got to now pay £100 per month repayments plus somehow clear the £460 of arrears I've built up since June.
I was considering adding the student loan to my mortgage. Is this a good idea?
I just don't know how I'm going to manage making the repayments. The first one is due to leave my account next week.
Should I pay off the arrears on my credit card?
I just don't know what to do. I have been so depressed and upset about this.
I would be interested to see if other people are in the same boat and if there is a way around this. Incidently I think when my daughter goes to school next Sept I might possibly be eligible for deferring repayments. Providing the Govt don't drop the threshold again.

TraceE_2

MrsA80 wrote: »

"Looking into your account I can see you sent your application in October. We then rolled your deferment back 3 months after accepting it, still leaving a gap in between the last deferment end date.

Unfortunately this your responsibility and your account is in arrears of £365.84. I must inform you of the consequences of being in arrears which may lead to the following:
· Calls and letters
· Further administration charges
· The account being terminated which leads to the loss of right to defer and the cancellation of any age and time related loan closure dates
· The account being passed to an external debt collector
· Outstanding arrears could impact your credit file"

Can they do that? Do I have to pay this? Any advice? Thanks!

Almost exactly what has happened to me.

I have been in touch with SLC customer services and the FCA today for info and to report the erudio tactics.

My original deferral due date has always been 14th November. I have confirmed this with SLC customer services today.

A letter arrived from Erudio on the 5th Nov detailing that they had granted deferral but were changing it from the normal 3 years (as I am disabled) to 1 year and also changing the due date to 15th Aug ????? (which just happens to be a couple of weeks before my birthday). So I am in arrears? and owe them £287.14?????

As I am 47 and the loan is waived when I am 50 this is an obvious ploy to be able to harass me for the maximum period of time left in the hope that they can stress me into paying the full amount even though I am 100% entitled to defer.

Anyway SLC customer services were amazed at what was happening and had all my correct details .... so I have been told that they can deal with it internally as they have a liason department with erudio.

Straight after that I called the FCA and reported all the new erudio tactics to them too.