ERUDIO student loans help

Rather_Confused

I wrote to Erudio on 5th May (the day I received my deferment form) to ask whether I needed to fill in the Direct Debit mandate on the basis that they already have a DD in place on my account (I've checked - ESL, £0.00).

They didn't reply, and on the basis that I wanted to get my deferment in ASAP because of their backlog, I filled it in and sent it off, having noted on the DD section that they already have a DD on my bank account.

So yesterday I received this email:

In relation to your query all sections must be completed, including the direct debit set up. For your information a second direct debit will not be set up on your bank account by Erudio Student Loans.

If they already have my details for a Direct Debit, why on earth do they need the information again?

The form's information is different to the "helpful information booklet" as it states "Please provide DD details *if your current details are no longer valid or there is no DD in place on your account*" My details ARE still valid and there is a DD in place on my account.

What should I do now? I'm assuming that they won't defer me because they will claim they don't have my DD details. Has anyone been deferred without their DD details being provided on the form?

anna2007

Rather_Confused wrote: »

I wrote to Erudio on 5th May (the day I received my deferment form) to ask whether I needed to fill in the Direct Debit mandate on the basis that they already have a DD in place on my account (I've checked - ESL, £0.00).

They didn't reply, and on the basis that I wanted to get my deferment in ASAP because of their backlog, I filled it in and sent it off, having noted on the DD section that they already have a DD on my bank account.

So yesterday I received this email:

In relation to your query all sections must be completed, including the direct debit set up. For your information a second direct debit will not be set up on your bank account by Erudio Student Loans.

If they already have my details for a Direct Debit, why on earth do they need the information again?

The form's information is different to the "helpful information booklet" as it states "Please provide DD details *if your current details are no longer valid or there is no DD in place on your account*" My details ARE still valid and there is a DD in place on my account.

What should I do now? I'm assuming that they won't defer me because they will claim they don't have my DD details. Has anyone been deferred without their DD details being provided on the form?

The original DD possibly isn't legit without the new DD mandate? I've read on the forums of others saying the DD has automatically transferred to Erudio, so not sure why this hasn't happened in your case, maybe because you queried it with them from the start?


Think we have to wake up to the fact that we're dealing with an experienced DEBT COLLECTION AGENCY here, all they want is our money, whether entitled to defer or not. Which means playing them at their own game. If you don't, then they will find a way to trap you into repaying, when you're entitled to defer. They've already shown this is their intention by trying to sneak new terms into the contract on the deferment form, with the form being more invasive, the conflicting advice when you contact them, the list goes on, but basically frustrating your right to defer. I'm incredibly p'd off about this, so apologies if I'm ranting.


The law and loan agreement say you can defer if your income is below the deferment threshold - Erudio can't change that, it's not a term they can manipulate (unless they argue that your income is above the threshold) - they can make it a royal pain in the @rse to get the approval, but will have to concede eventually if you show your income is below the threshold.


The law and loan agreement say you must make REPAYMENTS by DD, there's nothing in there about a DD during deferment, when NO REPAYMENTS are due - but this is one that you and Erudio could argue until you both turn blue... it needs an independent ruling by the ombudsman or the FCA or the courts. For that reason, I see little point in arguing with Erudio until you're granted deferment, I doubt if they'll back down on the DD requirement (although they'll happily tell you on the phone you can cancel the DD - it's a TRAP!). There's a risk Erudio will take a payment under the DD, but you have the guarantee to rely on, the bank has to give you an immediate refund, it's then up to you to sort out any payment dispute with Erudio.

The law and loan agreement say that if your account's in arrears, you've defaulted on the agreement and Erudio can recall the whole loan. Nearly half of the loans they bought from the government are deferrers - a DCA doesn't care if you're entitled to defer, because all they want or see is £££'s. So whatever you do, DO NOT put yourself in a position where Erudio can claim you've defaulted. This is particularly important when the time comes for loans to be written off - if your payments aren't up-to-date then you can't cancel - Erudio know that.


All of the above is my own perspective on the !!!!!! situation we now find ourselves in. You asked what you should do - if it were me (and it is ), I'd give the new DD mandate, for the reasons above, then take them to the FOS once deferment was in place. BUT, you have to read through it all and score through/amend anything you don't agree to, put your signature and date next to any changes - at the very top of the DD mandate it states you have to have a DD during deferment, that simply isn't true and is a new term as far as I'm concerned, it most definitely doesn't say that in the original terms, so delete it before agreeing to the DD.


Someone may well say I'm talking !!!!! with all of the above - at the end of the l-o-o-o-o-n-g road that is Erudio, we each have to deal with it in the way we think best - not an easy thing to do.


You asked if anyone had been successfully deferred without a DD in place - there have been a few successful deferments reported on the Mumsnet thread, you could try asking there?
http://www.mumsnet.com/Talk/legal_money_matters/2057131-Erudio-Student-Loans-Continued?msgid=47111609#47111609

pugsley29

I haven't received anything for a small pre 1998 loan, I think they might have lost me somehow. SLC do have my details for a 2003 onwards student loan, but these are not linked on their database.

Anyway if this comes to a default when they eventually write to me....how long will it last, 6 years? After 6 years will they just put another default on again for a further 6 years. Assuming this debt does not leave me until I'm 67 years old and can get a pension, I wouldn't supply my DD details anyway so it would be all payable.

I have just been trying to build my credit rating (which is good at the moment but not excellent as no credit cards) and if this comes about it will be a pointless task.


This selling off of loans really puts me of sending my teen to University :mad:

erudioed

we are as far as allowing a private company to process our deferments, with the same bunch we are fighting are for all intents and purposes Honours Student Loans, with Thesis being another shell company (but i dont know whos behind them). We are the third wave and the model for future student loans, albeit we were lent the money by our government. The final picture is them, or banks, loaning the money i guess. It is just another example of the Americanisation of all things money! It makes one wonder where tax money actually gets spent! Those in power, whoever that may be, certainly want to privatise virtually everything publically funded where they can make a profit. This is why this issue is much bigger than us, but also why our fight is much bigger than us and of paramount importance why we make as many people possible aware of what and who our children will all be dealing with for most of their adult life when this model becomes the UK norm.

CloudsinSky

@ Rather_Confused (message # 615)

I haven't finished reading the thread past your message, so maybe already answered. This is my experience anyway. As you did, I filled in all the form except the direct debit bit because I've had the same bank account as when I first took out the loans and account details remain same as provided to SLC.

I, like you, was slightly nervous with this new form at leaving any section blank but I think the bit on the form that you quoted makes it clear that in our case it was appropriate to leave it blank.

The response you got back from them hasn't removed all doubt though, has it? But you have checked and you have an active DD in place, ESL £0.00 (same as I do) so I don't think you should have any cause for concern.

I would just keep on to them to ensure that they process your application quickly and keep you informed if it is incomplete in any way.

My deferment was granted (but I did submit a complaint to them backed by FOS because they had informed me that due to their backlog they wouldn't look at my application until after my current deferment ended, and thus would begin collecting repayments - that I couldn't afford. I said this was unfair treatment and quoted the assurance they'd given all of us in our letter of assignment (re. the transfer from SLC) "you will not be inconvenienced"................................................................ ha ha

CloudsinSky

@ Anna2007 (message # 616) everything you say makes sense to me, and also like you say and others have said it's up to each person to choose their own approach since it's not black and white.

I didn't blank out any sections of the form, went along with it all very submissively. In my case I don't yet regret that...........................

CloudsinSky

@ BaffledByErudio (message # 617)
Could you submit all your evidence of conflicting advice on the DD issue to FOS and Erudio as another complaint and ask that they clear this up for you (and others affected in same way) ?

I also have a few audio recorded conversations and may submit these as part of my complaint that I began but isn't concluded as it was superceded by my deferment being granted. However, aside from the fact that I was deferred, my original complaint still stands and I intend to pursue it once I hear back from FOS on how to go about that.

Rather_Confused

CloudsinSky wrote: »

@ Rather_Confused (message # 615)

I haven't finished reading the thread past your message, so maybe already answered. This is my experience anyway. As you did, I filled in all the form except the direct debit bit because I've had the same bank account as when I first took out the loans and account details remain same as provided to SLC.

I, like you, was slightly nervous with this new form at leaving any section blank but I think the bit on the form that you quoted makes it clear that in our case it was appropriate to leave it blank.

The response you got back from them hasn't removed all doubt though, has it? But you have checked and you have an active DD in place, ESL £0.00 (same as I do) so I don't think you should have any cause for concern.

I would just keep on to them to ensure that they process your application quickly and keep you informed if it is incomplete in any way.

My deferment was granted (but I did submit a complaint to them backed by FOS because they had informed me that due to their backlog they wouldn't look at my application until after my current deferment ended, and thus would begin collecting repayments - that I couldn't afford. I said this was unfair treatment and quoted the assurance they'd given all of us in our letter of assignment (re. the transfer from SLC) "you will not be inconvenienced"................................................................ ha ha

Thanks for your comment @CloudsinSky, good to see that someone has managed to get a deferment without the DD information. I rolled over and gave in this morning as I was getting very anxious and stressed about it and it had kept me up the last couple of nights.

I printed out the scanned copy of my deferment form and added in the DD information, then sent it by email to the deferment address along with the following message:

Thankyou for replying to my email below. As it took a while for you to reply to my original email and I was concerned about getting my deferment in on time, I sent the deferment form off to you via Recorded Delivery - this arrived with you on 8th May at 12:09 and was signed for by a "Sellars".

I had not included Direct Debit details as the form states "Please provide Direct Debit details if your current details are no longer valid, or there is no Direct Debit in place on your account". As my Direct Debit details are valid and there is already a Direct Debit in place on my account (ref ESL £0:00), I was of the understanding that I did not need to fill this section in, as this is what your form states.

However, your email below states that I MUST fill in this section, despite you already having my details and an ESL Direct Debit already being set up on my account. I am very concerned that a second Direct Debit will be set up, and that despite my qualifying for deferral that you may try to take money from my account, possibly twice, as has happened recently to many other people in this situation.

As you insist that I must fill in all the sections, I am sending you an amended copy of my form with the Direct Debit section filled in. I hope you will see that you already have my details and that there is already a Direct Debit set up on my bank account. I would be grateful if you can let me know that this satisfies your requirements, or whether I will need to fill in another paper deferment form. If this is the case, would you be so kind as to send me another deferral form to fill out.

Somewhere between assertive and passive aggressive I know, but I'm SO IRRITATED by the fact that they say one thing in one place and then say something completely different elsewhere and make me feel like a scammer or some kind of crim about it. I have a right to defer as my income is lower than the amount specified. They are just making this difficult so we all pay up and go away. What a horrible company to deal with.

Ryansson

Well I have waited over a month for ESL to send me a copy of my original agreement so I printed out the letter earlier on in the thread and have enclosed evidence of my income including bank statements for 3 months. Will send tomorrow to be signed for. My deferment date ends 24/5/14 so I can envisage some threats etc to try to get me to fill in the forms.

It seems I don't have a direct debit on my bank account for them and am not filling in another unless they demand it. Am I right in saying this is one thing they can insist on?

JeLaw

Ryansson wrote: »

Well I have waited over a month for ESL to send me a copy of my original agreement so I printed out the letter earlier on in the thread and have enclosed evidence of my income including bank statements for 3 months. Will send tomorrow to be signed for. My deferment date ends 24/5/14 so I can envisage some threats etc to try to get me to fill in the forms.

It seems I don't have a direct debit on my bank account for them and am not filling in another unless they demand it. Am I right in saying this is one thing they can insist on?

Sorry I can't help. I'm also wondering about the direct debit. And getting more confused and concerned....

I think I'm going to have to contact them. I've been so busy with work and other stuff, and my deferment isn't due for renewal until September. But reading some of the posts on here, it seems some people think not having a direct debit set-up will give Erudio an excuse to refuse to write-off the loans (when that time comes).

Earlier on this thread, it was suggested having a direct debit set-up was not a breach of the agreement (if we were entitled to deferment). Now, I'm getting worried.

When Erudio wrote to me they noted I was in deferment and they'd write again when this period was up.

They also said I had a direct debit set-up and so didn't need to do anything.

But....I've checked my bank account online and there doesn't appear to be a direct debit. I've never cancelled the direct debit (set-up when I first took out my loans) and still have the same bank account. So I'm assuming my bank must have cancelled it at some point due to it never being used?

I don't want anything coming back at me later down the line. So, I'm thinking now maybe I should set one up. And then have the stress of checking my account all the time to make sure nothing is taken from it!