ERUDIO student loans help

kaMelo

Given the rounds of pay rises currently taking place I would suspect the income level for deferment will increase quite a bit next year too.

daswalkerdas

Nice.

Mortgage Style Loans

From 1 September 2022 until 31 August 2023, the interest rate for mortgage style loans will be RPI, that is,9%.

The deferment threshold for mortgage style loans will be £35,092.

https://www.gov.uk/government/news/student-loans-interest-rates-and-repayment-threshold-announcement--3

Not on Eudios site yet though

kaMelo

daswalkerdas said:

Nice.

Mortgage Style Loans

From 1 September 2022 until 31 August 2023, the interest rate for mortgage style loans will be RPI, that is,9%.

The deferment threshold for mortgage style loans will be £35,092.

https://www.gov.uk/government/news/student-loans-interest-rates-and-repayment-threshold-announcement--3

Not on Eudios site yet though

That's surprising, the deferment threshold has dropped over a thousand pounds. Given this is worked out from average full time earnings it would suggest that figure has dropped also which, given the current rounds of pay demands, is not what I would have expected.

lantanna

I expected it to rise as well. I’m just under, another year of deferral. My loans will be written off in 2026. If you start repaying are they still written off after 25 years?

kaMelo

lantanna said:

I expected it to rise as well. I’m just under, another year of deferral. My loans will be written off in 2026. If you start repaying are they still written off after 25 years?

As long as you are up to date with deferral/repayment and always have been then yes, the write off date is exactly what it says.

lantanna

Thank you, hopefully at worst I only have to pay for a year. I really couldn’t afford it right now on 34k that’s for sure

ElwoodBlues

Anyone else received another settlement offer from Erudio? Somehow they managed to send me two copies of the same letter - offering to accept about 15% of my current loan balance to settle. I'm not going to bother with it as only 3 years away from expiring now, and I'm unlikely to earn over the deferment threshold any time soon.

But does anyone know if Erudio will mark your credit file if you settle? Is it possible that they'd enter it as a 'partial settlement' or 'partially satisfied'? My understanding is that gets treated just as badly as a default when lenders see that on your file?

lantanna

They don’t report on your credit file at all. I got a similar letter. I’m £800 off repayment figure so I’m considering it. I’m 2 years off, if only I knew what the threshold was going to be next year

daswalkerdas

No threshold rate for mortgage style loan yet - strange!

daswalkerdas

Nice, looks like I'll be repayment free, my loan term ends September 2024.

25 Aug 2023

New deferment threshold and interest rate confirmed

The Department for Education has confirmed to Erudio Student Loans that from 1 September 2023 to 31 August 2024 the new deferment threshold for mortgage-style student loans will be a gross annual income of £38,255.00 (equivalent to £3,187.91 per month). The new interest rate for the same period will be 13.5%.