ERUDIO student loans help

fermi

Correct. The government sold these loans to possibly the worst form of pond scum in the debt collecting business.

ericctheking

So how do we play these pond scum?
Play the numbers game, be deceptive, be on the edge of the law but not breaking it with them?

StressedByErudio

I'm glad I found this forum! I had been very stressed about this ever since I was sent the deferment form by Erudio. A lot of it had changed from the old, simpler and less threatening/stressful SLC forms. In summary, it was clear they were adding information requests and conditions that were new and which you were not legally obliged to give or agree to, yet also that they would probably claim your form was incomplete and try to take the money or take you to court if you did not fill it all in. A catch 22 situation.

In the end I didn't fill in all the form, and only gave information that I used to give the SLC.

My main issues with the forms:

1> It is not clear which bits you're legally required to fill in, and which you aren't (e.g. you aren’t legally required to give them an email address!). This is obviously done on purpose, since they want to obfuscate the differences in order to make you give more information than you have to. They don't need to know who owns the house I live in, or what my phone number is (I don't communicate with companies like this by phone, since I want a record of every interaction). Yet their letter says that even "omissions" can result in prosecution. They use this to trick and threaten you into giving information you do not have to give and make no indication of which is which to leave you in the dark on purpose, and so that you give them information they are not entitled to. I also know we are not generally meant to give out personal data like our National Insurance number and tax codes except to the relevant public/Govt bodies. Hence I held back lots of this information (yet I still gave out more than I did in the past). In the end I his information from my self-assessment tax return that I didn’t want them to have (e.g. phone numbers and so on) but left in the financial details.

2> They also make claims about the "agreement" which I am not sure are right. Yet I didn’t have copies of the agreement anywhere even from when I took out the student loan with the SLC: it’s something I’d never thought about before. I asked Erudio for copies of the agreement and heard nothing back. Luckily the SLC did send me copies (even though they sold the loan on), and it is interesting how little detail there is in the agreements.

3> Erudio they seem to be threatening that they can blacklist you for defaulting with credit agencies, trying to scare people: yet if you never earned enough to be legally required to pay it back then you are not defaulting. Their whole tone is much more aggressive, which is stressful and worrying to deal with.

4> It’s annoying that they say "You may be entitled to defer". No: if you aren't earning enough, you CAN defer. It’s part of the original agreement. They make it sound like it is up to them.

5> Their final deferment section makes you sign the agreement otherwise they claim it is an invalid application (i.e. they will start taking money off you even though they shouldn't) - yet it is worded to give them lots of extra power to go to people and say they are authorised to collect personal information about you (all the "I understand that..." bits). So you are caught between two options, neither of which are right. My position was:
“actually, I don't know if that is true or not that they have this power, since I am no legal expert; therefore I cannot sign anything saying that I understand something which may or may not be true. If it is true then I don't need to agree to it. If it is not true that they have the legal right, then I am not going to agree to it.”
It is ridiculous to force people to say they understand complex legal issues which may or may not be correct, only a lawyer could do that. If I signed it I would be lying - the only honest thing is not to sign it (but then they will probably start taking money off me when they shouldn't) or to delete the bits that I can't honestly agree to. I went with the latter, deleting clauses I didn’t agree with, then signing it after scanning the completed form for my records.

6> Erudio are a pain in terms of communication. As I have already said, I asked Erudio for copies of the agreement and heard nothing back. This is typical of them – my emails did not receive responses and I couldn’t get through on the phone. I wanted their guide booklet as a PDF or online but it wasn't available, I had to scan it in myself for my electronic records: Erudio don't want to make life easy.

7> The Direct Debit issue was another one. I don’t trust Erudio not to take money out under the pretence that my deferment form was incomplete, or that they made a mistake (something we are already seeing: [link removed by MSE - even though it was a link to their own site!]). Therefore I did not fill in a new Direct Debit form for them. As far as I am concerned, if I reach the repayment threshold then fine, I will give them the details and start paying back; but I earn well under that and it is not likely to change before the 25 years expire and the loan is cancelled. It may break the terms and conditions but I don’t think that is a criminal act: I have good reason for thinking those terms are unfair. I trusted the SLC on this, but do not trust Erudio, and evidence is showing we are right to adopt that position (i.e. that they will take money and just claim it is a “mistake” if you notice).

This really caused me lots of stress. I couldn't sleep on a number of occasions, worrying about whichever option I take. Whether to agree to it all and find I've given info I don't want them to have, and agreed to things I shouldn't; or base it on what I think is right, then worry they will refuse deferment and take money they shouldn't, or blacklist me with credit agencies and I'll have to fight that; or I cancel the Direct Debit, to stop them taking money they shouldn't, but then I get taken to court. I know people who have dealt with debt collection agencies, hounded by phone calls and visits and letters and threats. I don’t fancy being in that position.

On the other hand, I refuse to be conned or bullied.

So at present my deferment period is due to end. I sent them all the information (with proof of posting) well in advance of the deferment period ending. According to my agreement I earn far too little to pay it back. I suspect they will ignore my form as “incomplete” and start trying to take money out. I am going to make sure there are no direct debits for them, since they are not entitled to take my money. I now know I am not the only one in this position. At the end of the day, this may involve them taking people to court to resolve these issues, though more likely is that they will threaten that, forcing you to spend time and money preparing and getting stressed, hoping you will back down: then cancel at the last moment after wasting your time. They don’t want some of these things they are trying to be tested in court, because if they are shown to be unfair they will have to stop using them; better to use as much threat as they can but not go through with it (even though you will have to prepare and get legal advice as if they were, since you can’t know for sure).
Sorry for going on – I have been so worried about all this, it’s good to find that I am not alone. I’ll make sure I have no direct debits in Erudio’s name tomorrow. My deferment period ends soon and I have heard nothing from Erudio.

fermi

Interesting blog on Erudio

http://greykodiak.wordpress.com/tag/erudio/

Johnny_X

Hello!

I don't have a P60 for the last year as it hasn't been given to me yet by work.

What alternatives do I have here? Has anyone been deferred using the printed letter by the way as opposed to their forms.

If I don't give them DD details as requested would I be in breach?

Many thanks!

rizla_king

They cant insist on a P60. Especially if its a document you simply dont have and can provide them other proof of income. If they try to refuse deferment ofr an invalid reason like that take them to the FOS.

fermi

Read Martin's "The Government has sold people out over Erudio student loans " Blog.

StressedByErudio

Johnny_X wrote: »

Hello!

I don't have a P60 for the last year as it hasn't been given to me yet by work.

What alternatives do I have here? Has anyone been deferred using the printed letter by the way as opposed to their forms.

If I don't give them DD details as requested would I be in breach?

Many thanks!

P60s usually get to employees by the end of May. The good news is that the total year's figures are usually on your March payslip. For mine it is at the bottom: I can get the tax paid from the INCOME TAX section and the total income (before tax) from the TAXABLE line to the left (not the total ANNUAL SALARY). May be the same for you.

CloudsinSky

WallyP wrote: »

Phew, finally got to the end of this thread... So far so good, I've sent my form off and there is a DD in place on my account for them (though they don't appear to have taken any money - so far)... I am, as is everyone else, very suspicious of the extra information they are asking for, so have simply filled in what I felt was relevant and sent off my last 3 wage slips and my P60...

Am in a bit if a quandary now though, I've always earned just under the threshold for paying back but last year I stupidly gave birth to my 2nd child and now the extra I'm "earning" in child benefit takes me two quid (yes TWO QUID) over the monthly limit (the fact that any benefits are taken into account is utterly disgusting but there you go).
I'm ok this year as I'm on maternity leave so am on SMP for 3 months and zero wages for 3 months but next year will be a problem. If it weren't for the fact that I'm getting so close to the 25 years I wouldn't be too bothered about paying it off but now I've got this far it's a bit of a niggle, especially as it's the fault of my uterus and not my glittering career that is bringing this burden crashing down around my ears. Incidentally does anyone else think they were sold in a panic because the 25 years is getting frighteningly close and we're still not paying it back yet?
Reducing my hours would get around it BUT I claim childcare vouchers, which a lot of the "internet" claims is taken into account by the student loans companies. It does state on the new form though that your gross income is the amount before things such as childcare vouchers so who is right? Have the childcare voucher schemes got it wrong or is it another trick by Erudio??

With some irony, I now feel, I am saving the child benefit we receive into my child's own bank account, thinking that it could be used by him in future towards funding his tertiary education..........

wowsers

Hello,

Sorry if this has been covered elsewhere but I have beenreading through and couldn’t find the answer(s).

I have a loan with Erudio. I need to apply for deferment now(or before 20th May anyway)
One of my loan was from 1998 and the other from 19999. Theyhave added them both together in one sum.
I can only find the credit agreement from 1999 which doesn’tsay they can disclose my details to anyone else.
They are threatening to disclose these details just likeeveryone else.



a) can I fight this because one of my loans is from1999 ?



b) Also, I am currently closing my bank account because I cannot afford the payments on it and they have just increased overdraft fees. Has anyonemanaged to deal with Erudio without having a bank account and managed to defer theirloan?



c) my only income is from the parent of my kids giving memoney to live on as I am a student without a grant/loan. Has anyone managed todeal with Erudio where they have had to accept income from a spouse as income?I.E. what proof do thery accept and were they difficult?



Thanks in advance!