Confused with student loan repayments

cduuffo13

Hi Guys am confused about the student loan repayments,


I get paid £7 and hour basic rate and ontop of this I get commission. I get paid a weekly basis too. Some week's I get paid little commission and bonus's whilst other week's I get more. My wages are NEVER the same each week.


On my good week's I get student loan deducted from my wage and last year I paid approx. £65 student loan. In total I earned £16,931.95 and apparently I am over the threshold by about £20?


I thought I was entitled to a refund from SLC but they are saying that I'm not and that's because I have gone over the yearly threshold by £20


Am I wrong to think Im due a refund?

Tixy

As I understand it, you would not be entitled to a refund as you can only claim a refund if you earned below the annual threshold.

So even though that means you have paid more off your loan than you would have done if you had earned your salary equally through the year there is no entitlement to a refund.

cduuffo13

That is basically what SLC are saying.


I'm obscured to the fact that They work on the basis of how I get paid for example , Weekly or Monthly.


Now : For any week I go over a certain amount I pay student loan, however If I was paid monthly it would work the same, for any month you go over a certain amount you would pay student loan.


This is unfair IMO. example


I could get paid
2 week's of £325
2 Week's of £290
Total for the month = £1230 however on the week's I've paid student loan's when being paid £325.


If I got paid monthly of £1230.
I would of paid £0

Tixy wrote: »

As I understand it, you would not be entitled to a refund as you can only claim a refund if you earned below the annual threshold.

So even though that means you have paid more off your loan than you would have done if you had earned your salary equally through the year there is no entitlement to a refund.

Tixy

That's just how student loan repayments work.

Repayments have never been based on your cumulative income for the year, always on the pay in a pay period.

cduuffo13

Nevermind.


Thanks for the heads up

Numpty69

I thnk you are very unlucky

SeduLOUs

That's my understanding too after reading all the terms yesterday when applying for this year's part-time loan.

You can only request a refund if you are under the threshold for the year.

Next year you could keep an eye on your payslips and tot it up as you go - I'm sure your employer would be happy to reduce your final salary by £20 if you are on the borderline again...

Alternatively, you could explain the situation to employer and ask if they can spread commission payments more evenly? Might say no but no harm in asking.