Student loan debt but never attended

anto135

This is gonna be a strange question but I thought it’s worth asking anyway.

I left college and started Uni in 2011, obviously getting a student loan but I left after a week. Being young and stupid I never officially withdrew as I thought it would’ve worth it to me to keep the grant I got every few months (stupid I know).

I’ve always just accepted that I’ve got this debt I need to live with and pay back as it’s my own fault and I accept that. However, I was thinking is there not a track of attendance that happens within universities that would automatically kick you off a course after so long of non attendance? I don’t actually know how it works in terms of receiving your course results if they’re sent to you or you’d need to manually check (as I wasn’t there long enough to find out) but i was kicked off the course for non attendance what does that mean for the student loan?

kaMelo

What should happen is the university notify SLC that you have left, stopping any subsequent loans and tuition fees being paid for spring and summer terms.

The winter term tuition fees and maintenance loan are paid even if you only attend 1 day and would need repaying in the usual way.

superbigal

Accepting subsequent instalments of your student loan could well be seen as fraudulent if the facts came out.

anto135

superbigal said:

Accepting subsequent instalments of your student loan could well be seen as fraudulent if the facts came out.

This actually has crossed my mind, didn’t think of it at the time but I wouldn’t justify it by pleading ignorance now

MalMonroe

So do you mean that you didn't attend any years of uni but received loans for three years? 

Normally a uni will contact students who do not attend so you should have received at least two letters at some point. And they DON'T just kick students off courses without finding out first if they can help in any way at all or if you would like to consider switching to another course (which you can do up to the second year).

Most universities do everything online now - and have done since way before 2011, so you should know that students receive marks, grades, etc., online. If you're not there though you won't have any logon details because they will have expired.

But in any case, the student loans company will automatically start deducting money from your salary if and when you have a job that pays over the threshold of whichever loan you were receiving at the time.

Because they have your National Insurance number they will be able to trace you through that. So I guess the loans company won't really care because they can collect your loan (as I say if and when you have that job earning over the threshold) just like they do with all the other students in the same position.

If you don't have a job earning over that threshold, then you are required to complete a deferment document. I'm very surprised that you appear to have heard nothing whatsoever from either university or the loans company, particularly as they will both have had some address for you. And of course, you are traceable through the NI number. You HAVE to defer, or they start taking money from your bank account - until you contact them and ask them to stop. 

In fact this whole story sounds really fishy to me because I don't think you would have been allowed to get away with taking money you weren't entitled to without someone doing a check at some point.

I have, in the past, been both a uni administrator (15 years) and a uni student. So have seen how things operate from both sides and your story really doesn't add up.

MalMonroe

superbigal said:

Accepting subsequent instalments of your student loan could well be seen as fraudulent if the facts came out.

If this story is true, which I doubt, the facts have already come out. 

kaMelo

Student loans are paid in three tranches, winter, spring and summer. What should happen when a student finishes a course is the university contacts SLC to confirm the student has left. Tuition fees for the term in which the student left  are payable in full to the university however maintenance loans are not. Leaving your course ends entitlement to the maintenance loan immediately, doing so mid-term will result in an overpayment of maintenance loan that is repayable immediately and does not form part of the usual deduction from wages above the earnings threshold. No further payments of tuition fees or maintenance loans for subsequent terms should be made unless the student has changed course/university and provided this information to SLC.


That is what should have happened, some specifics on what has happened would be good if the OP is willing to share it.

silvercar

Information on student loans on the student board:

https://forums.moneysavingexpert.com/categories/student-money-saving

[Deleted User]

silvercar said:

Information on student loans on the student board:

https://forums.moneysavingexpert.com/categories/student-money-saving

@silvercar maybe best that you add a sticky thread on here to direct people there as there are a lot of people posting on here about Student Loans and maybe best they are in the same place?