Loan repayments – is a loan "write-on" legal?

taikataika

Hi,

I'm not sure if this is the right board so feel free to redirect me!

I had a pre-1998 student loan that was sold to the evil people at Erudio. Despite being easily eligible for deferment their scare tactics and intrusive forms were too much for me and I continued paying off my loan through maternity leave and beyond just to avoid a tarnished credit rating.

My last direct debit payment to them put my account in credit (just by a few pence), but they have just cancelled this amount that they effectively owe me back by putting a line on the statement saying "Write-On" for the same amount leaving the balance as zero and cleared.

Like I say, it's only a few pence, and were I not already seething about the company I might have just let it go, but I wanted to find out for sure – is this legal to take too much from a DD, "write on" the money and not repay?

Thanks in advance!

jonesMUFCforever

What about the miniscule amount of interest that would be charged that last month?

taikataika

That's been taken off on the line before. The DD payment took me into credit, then there was a line "interest" which reduced the amount of credit, then the "write on" line item put it to zero.