When are the original student loans written off?

winston___smith

I have had a look and can’t find total clarity on this. My final loan payment was in October’95, I graduated in July ‘96 and the first payment would have been due in April ‘97. 

Which is the 25 year write off based on? 

Does anyone have a definitive answer please. 

sourcrates

The limitation act applies to old style student loans, so no payment or written acknowledgement by yourself, for any period of 6 years, would render the account statute barred, thus rendering the write off point irrelivant.

MinuteNoodles

Old ­style student loans usually became due for repayment in the April following the conclusion of your course, and any limitation period could not begin until after you missed a payment on your loan. However, if you asked for your loan to be deferred within the six year limitation period, this would have restarted the limitation period.

So April 2003 if you never made a payment or acknowledged the debt. If you were making payments then it's 6 years after your last payment or 6 years after you asked for the debt to be deferred, whichever is the later date.

danandjens_worldtravels

https://blog.moneysavingexpert.com/2017/05/will-student-loan-written-off/

Earlier of 25 years after your first payment of your last loan agreement (usually the start of your final year), or when you reach age 50

I’d say 25 years from Oct 95.  Unless you’re already 50, this will be October this year! 

Regs say the following:
 12.  The lender will cancel the borrower’s liability to repay the loan if the borrower—

(a)dies,

(b)is not behind on any repayments under any agreement for a student loan and—

(i)was under the age of 40 when his last agreement for a student loan was made and he reaches the age of 50 or when the last agreement for a student loan has been outstanding for not less than 25 years, whichever is the sooner, or

(ii)was aged 40 or older when his last agreement for a student loan was made and he reaches the age of 60, or

(c)if the borrower can show the lender that he gets a disability related benefit and because of his disability is permanently unfit for work.

danandjens_worldtravels

Sorry link to the regs.
http://www.legislation.gov.uk/uksi/1998/211/made