Pre-98 Student Loan due to be wiped in September but...

JeffMason

Hi All,

So my pre-98 student loans are due to be wiped as of September this year. I took the last one out in September 96 so I assume I am correct here.

I've mostly always worked freelance and never regularly earned enough to pay them back -- but I've just had the forms for deferment again and this year my gross income has just gone over the maximum for being eligiable to defer. Frustratingly, it's only by a few hundred pounds and I just got my first mortgage and house and it's the worst time to have extra outgoings.

Can anyone advise on how this works? If I start paying now, how can I keep it to an absolute minimum (or even better defer for a few more months) and will it still be wiped as of September? Do I have to apply to wipe it or does this happen automatically? 

I'm a little scared of this extra outgoing. My current job has given me a small annual pay rise and tipped me over the edge! Any advice welcome!

davelewis

My last student loan was 1996 and I have just successfully deferred for the final time. I phoned 'Thesis Servicing' who are now  administering my loans and they told me they will get fully wiped on 7th October of this year and I will get a letter to confirm this.

I believe if you have gone over the threshold, you need to start repaying but they should get wiped fully this autumn. You will hopefully only pay a few months before they get wiped. My advice would be to phone whoever now administer your student loans for advice. 

jimbo6977

If you miss a due payment, it won't be wiped. So you need to make any due payment in good time.

JeffMason

Thanks both!

Mine is Thesis Servicing too so the date should be the same. I have realised that my pension is taken in advance of me then being taxed so my gross should be the amount without pension which knocks me under the threshold hopefully. If not, I'll have to take the hit on it until October, which will be very hard!

MovingForwards

Use a salary calculator to see what the figures are, then you'll know where you stand.
If need be can you temporarily increase the amount of pension you're paying from your wages?