Repayment Threshold 2020/21

Ed-1
Ed-1 Posts: 3,847
First Anniversary Name Dropper First Post
Forumite
edited 15 May 2019 at 10:00AM in Student MoneySaving
With RPI for March in at 2.4%, the repayment threshold for plan 1 loans will rise to £19,390 from 6 April 2020 (18,935 x 1.024 rounded up).

With the relevant average earnings increase for Jan to March in at 3.3%, the repayment threshold for plan 2 loans will rise to £26,575 from 6 April 2020 (25,725 x 1.033 rounded up).

The postgraduate threshold remains frozen at £21,000.

From 1st September 2019:

Interest rates for plan 1 loans will be 1.75% (as a result of the base rate being 0.75%. If base rate rises before 1st September 2020 the rate will be capped at 2.4%).

Interest rates for plan 2 loans will range from 2.4% to 5.4% depending on whether you are studying or not (including the period until April after finishing) and what you earn if you are in repayment.

Interest rates for postgraduate loans will be 5.4%.

For all but plan 1 loans this could all change depending on the outcome of the Augar review.
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 341.7K Banking & Borrowing
  • 249.7K Reduce Debt & Boost Income
  • 449K Spending & Discounts
  • 233.8K Work, Benefits & Business
  • 605.9K Mortgages, Homes & Bills
  • 172.3K Life & Family
  • 246.7K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.8K Discuss & Feedback
  • 15.1K Coronavirus Support Boards