Student Loan Deferment terminated

flaminaims

Hi . I have student loans that I have deferred since taking them out in 96 and 97 . I have always had a lower income than threshold and I was expecting to continue deferring and have them written off when I am 50 ( current 46). Sept 2018 I became self employed and although I don’t reach earnings threshold the deferment wasn’t accepted as the proof they required was not available as I didn’t have audited accounts or tax return ( as you don’t submit tax return for a small business until second year of trading ) so after a lengthy exchange of insufficient information Erudio cancelled my loan and terminated our agreement, which I suspect is actually illegal. I have requested a copy of the original document I signed to take the loans out ( total around £6000) hoping that would lead me legally to being able to work out if they can legally terminate the contract that I agreed to pay back when I reached the earnings threshold which I still don’t meet . They have provided this . I am seeking advice as to whether I should engage in starting a payment plan with them which they have tried to get me into over the phone . I feel that if I engage I maybe roping myself into agreeing I owe them the money which I haven’t met earning criteria to pay back . Is it worth me just ignoring further letters or should I engage ? Thanks for any advice . 

[Deleted User]

 You say you don't meet the earnings limit but haven't evidenced such. So yes they can terminate.

Clive_Woody

Surely canceling your loan is a good thing.

extremehuntress

I am in a similar position as the above lady and Erudio tell me that my last Loan in 1997 and previous two from ‘94 & ‘96 cannot be written off despite passing 50 & 60 without high enough earnings because I stopped updating in 2014.   I had a second cancer after my first one a year prior so my health was my main concern. Now on Support Group ESA and retired from job on ill Health I have asked them to clear my debts and cancel Capquest debt collection involvement and update ALL credit/legal records and confirm by a hard copy letter.
This was as a result of MSE simple factsheet on Student Loans - incl start/end date info and dates of expiry of loans.  I think Erudio has misled me thar I have to pay & that they have added sizeable interest.
  

Lungboy

Unfortunately if you didn't defer then you'll have been in arrears and they are within their rights to refuse the writing off of the loans on age grounds while there are arrears on the account. Writing it off due to illness is different and I don't know where you stand with that vs arrears.