ERUDIO Student Loan Default

dizco

Hi All

I've seen numerous threads on here concerning Erudio, and most of them relate to deferrals, so forgive me for creating yet another Erudio post.

I took out student loans each year during the time I was at university between 1997 and 2001.

I was able to defer for the first 5 years afterwards, then around 2007, I became eligible to start paying it off, owing to an increase in my income. I duly set up a direct debit and paid it off monthly.

In 2008/2009 I defaulted on payments, and cancelled my direct debits. I was struggling financially and stopped paying the SLC without notifying them. I have had no contact with them since.

A few months ago, Erudio started to contact me about the debt, and I ignored calls (I don't recall receiving any correspondence from them).

I have received a text message today inviting me to contact Erudio, to create an account and start repaying again.

I am wondering if the defaults work the same way as they would do for other loans (ie written off after 6 years) or if I should really get in touch and reset the payment arrangement.

I know I should have maybe contacted SLC once my financial position improved, but I didn't.

I am 50 in 2 years time, and read that the debt will be wiped at this point.

Any advice you can give would be much appreciated.

dizco

Gentle bump!

Pixie5740

I believe that if you haven't acknowledged the debt for 6 years (5 years in Scotland) then it is possible your student loans have become statute barred under the Limitations Act.

https://www.nationaldebtline.org/EW/factsheets/Pages/time-limits-for-recovering-debts/Page-04.aspx

Do you know if SLC ever took you to court to get a County Court Judgement? Is there anything showing on your credit files?

dizco

I haven't acknowledged the debt in nearly 8 years, and as far as I'm aware I haven't had a CCJ issued by the SLC or had an attachment to earnings.

There is no entry in my credit file either.

Should I ignore?

Westminster

According to page 5 of this fact sheet - you may have a valid defence for the loan being statute barred.

Pixie5740

dizco wrote: »

I haven't acknowledged the debt in nearly 8 years, and as far as I'm aware I haven't had a CCJ issued by the SLC or had an attachment to earnings.

There is no entry in my credit file either.

Should I ignore?

In that case you're probably ok to ignore it but I think it would be worth phoning National Debtline just to double check.

welliesrgreat

I have exactly the same situation. I have not acknowledged the loans for almost 12 years and haven't heard anything from SLC during this time. I haven't made any payments or made any contact. A year ago Erudio sent me a statement of my account. I've recently bee receiving letters stating the my loans had 'matured' and full payment was now expected. I have sent a statute barred letter in return last week but have now received the 'Demand in full has now expired' letter with 'we may register a default against your loans'. I will send another statute barred letter recorded delivery this time. If you have other advice it would be really helpful. Thank you

elvisisalive100

I am in a similar situation. I must say I am very surprised that nobody seems to have any clear and concise facts about where we stand legally regarding these pre-1998 loans. Martin Lewis should come into the forum and clarify what the situation is. People's lives are in limbo until then.

HiToAll

Peoples lives are in limbo. For example. some people want to buy council houses with discounts given by the government on one hand, while hoping they dont have to pay back money given to them by said government as a help when studying.

welliesrgreat

Having sent a statute barred letter I received a letter from Erudio stating that they agreed that my loans were now statute barred. They said they would not be contacting me again and that my account was now closed. I too had heard nothing for almost 13 years, no CCJ's, no defaults and no record on my credit file. A good result.