Overpayment refund for me or not?

DIGGY

Hi

Can someone please clarify when you have overpaid on your student loan repayments? My understanding is that we pay back 9% of anything earned over the yearly threshold. I am sometimes paid weekly/monthly and am a mixture of under or over the weekly/monthly threshold amounts - however I thought you were entitled to a refund at the end of the year and upon request of anything overpaid. No I know you are entitled to an automatic refund if you earn under the threshold but I thought they could only take 9% of the difference. I hope this is making sense. But SLC are saying yes they agree I have paid over 9% but because I earned over the threshold not entitled to a refund. They have refunded a year when I earned under the threshold.

eg 13/14 tax year. Threshold was £16,365 earnings were £18,130. SO I should only pay 9% on the difference which would be £1765 which would be £158.85...SLC took in total £772.

SLC are saying because I get paid weekly/monthly and don't have an annual salary and also because I earned over the threshold no refund is due.

I have read all the articles and even their website which states....
"If your income is equal to or below £17,495 in any one tax year, you will be entitled to apply to us at the end of that tax year for a refund of your student loan repayments if you wish."

I understand that on some months I earned over the threshold and in others earned nothing at all but surely it has to be taken over your annual salary? Or do they have a get out clause tut.

Thanks for any input or advice.

DIGGY

Just realised I can answer my own question lol Equal to or less than...didn't help that twice on the phone I have been told I am entitled to a refund but need to put it in writing. The guy even worked it out with me on the phone...

Grrrrrrr

Ed-1

DIGGY wrote: »

I understand that on some months I earned over the threshold and in others earned nothing at all but surely it has to be taken over your annual salary? Or do they have a get out clause tut.

Your repayments due are whatever you earn over the pay period threshold.

Regulation 44(2)(b) of the repayment regulations: http://www.legislation.gov.uk/uksi/2009/470/regulation/44/made

44.—(1) The repayment deducted must be 9% of any earnings paid to, or provided to or for the benefit of, the borrower in respect of the employment which exceed the threshold specified in paragraph (2).

(2) The threshold is—

(a) £15,000, where the earnings period specified in respect of those earnings is a tax year; or
(b) in any other case, the amount which bears the same relation to £15,000 as the number of days, weeks or months of the earnings period specified in respect of those earnings bears to the number of days, weeks or months in the tax year respectively.

These were the 2009 regulations which have since been amended, e.g. for £15,000 read 'the repayment threshold'.

You are only entitled to a refund if your annual income is equal to or below the annual threshold and you have made repayments in the year from earning above a pay period threshold.