Old and new Student loan

SwiftS Posts: 29
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My daughter has graduated this year (so has three years of student loans). She’s taking a year out and plans to do PGCE next year. I didn’t realise PGCE is funded using the undergraduate student loan system. I wish she’d applied for this year as now she’s going to have to be funded under the new system for PGCE. I’m not sure how repayments will work. Does she make one repayment in due course and it’s split across the loans for her two courses. After 30 years payment for her first loan stops but then payment for her second loan increases and continues for another 10 years? 


  • kaMelo
    kaMelo Posts: 2,296
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    edited 20 August 2022 at 2:17AM
    I think your reading of the situation is correct. This is how it currently works for all previous student loans when a former student has more than one type, they are repaid under their own specific repayment criteria, and I suspect this will be no different.

    Whilst all undergraduate loans, as current plan 2 loans and post Sep 23 loans will both have different earnings thresholds and write off dates I can only assume they will call them something other than plan 2 and treat them in the same way as someone with both plan1 and 2 loans otherwise it will get very complicated when it comes to repayment.

    Here is some information on how current repayments work when you have more than one type of loan.

  • My Granddaughter started Uni in September 2021. So am assuming she is on a PHASE TWO Student Loan, & is 'anticipating' Graduation in Summer 2024. Success would enable her then, to take up a Masters Degree Course. PRESUMING NO GAP YEAR, would she stay on Phase 2, on a basis of CONTINUATION of study ? Equally, if she took a gap year, then Phase 4 would 'become applicable ?
  • SwiftS
    SwiftS Posts: 29
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    Postgraduate loans for masters degrees are a different scheme. It is the undergraduate loan rules which will change for September 2023 students. Postgraduate loans (other than PGCE) have always been a different scheme so an undergrad moving to do a masters degree would always be applying for a new ‘type’ of loan
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