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  • FIRST POST
    TazFrank1
    ERUDIO student loans help
    • #1
    • 16th Mar 14, 9:32 PM
    ERUDIO student loans help 16th Mar 14 at 9:32 PM
    HI,

    My student loan has recently been sold to erudio student loans company. I currently defer my loan as I am below the salary threshold to pay it back. The letter states that erudio will supply details of my loan to credit rating agencies, something that has never been done before. There have never been any details of my student loan on my credit file. Will this adversely effect my credit score?? I know I am right to defer as I do not earn enough to start paying it back, however, I am worried that a 10k student loan debt that has not been paid off can only be a bad thing for my credit score

    thanks
Page 20
    • ericctheking
    • By ericctheking 29th Apr 14, 9:15 AM
    • 324 Posts
    • 264 Thanks
    ericctheking
    Well HMRC are already linked up with Experian (they are partners you see, so they can get around sharing people's private data that way) who are linked up with arrow global who own erudio (you can see where all this is going!)
    • Former MSE Helen
    • By Former MSE Helen 29th Apr 14, 6:36 PM
    • 2,324 Posts
    • 971 Thanks
    Former MSE Helen
    MSE News: Erudio Student Loans: Graduates have money taken from accounts despite defe
    It's the latest in a string of problems borrowers have faced since Erudio bought the mortgage-style loans book

    Read the full story:

    Erudio Student Loans: Graduates have money taken from accounts despite deferring




    Click reply below to discuss. If you havenít already, join the forum to reply. If you arenít sure how it all works, read our New to Forum? Intro Guide.

    • JeLaw
    • By JeLaw 29th Apr 14, 7:50 PM
    • 172 Posts
    • 175 Thanks
    JeLaw
    "An Erudio spokesman says: "It has always been the case that an active direct debit is required to be in place under the terms of these loans and it is customary for direct debit instructions to be unspecified in exact amounts. This is the same as was undertaken by the SLC and is the same as direct debits taken in the credit card, mobile phone, and utility industries."

    Is this right? I'm sure some on this forum have said the direct debit only needs to be active if the loan is not in deferral.

    I actually never cancelled my direct debit mandate. My bank account hasn't changed since the time I took out my loans. But I checked with my bank and I don't have any active direct debits at present.

    After reading of Erudio taking money despite loans being in deferral, I really don't want to set a direct debit up. My loans are deferred until September - and unless I suddenly receive a large pay rise, I'll be deferring again.

    I'm also still not sure whether there's anything I can do to stop my information being passed to a CRA. I have one 1997 loan.
    • Rosskie
    • By Rosskie 29th Apr 14, 8:27 PM
    • 46 Posts
    • 57 Thanks
    Rosskie
    1997 loan then they can pass on your info under the terms of your agreement, and wont need any further signatures, so no, you cant stop that.

    Cant speak for 97 loans on the DD point but the terms of 98 on do not require a direct debit to be in place to defer, and I would challenge Erudio to show otherwise. If your not eligible to defer then they can insist on direct debit payments if they so wish, but have the option to accept other means.
    • JeLaw
    • By JeLaw 29th Apr 14, 8:50 PM
    • 172 Posts
    • 175 Thanks
    JeLaw
    1997 loan then they can pass on your info under the terms of your agreement, and wont need any further signatures, so no, you cant stop that.

    Cant speak for 97 loans on the DD point but the terms of 98 on do not require a direct debit to be in place to defer, and I would challenge Erudio to show otherwise. If your not eligible to defer then they can insist on direct debit payments if they so wish, but have the option to accept other means.
    Originally posted by Rosskie
    Thanks.

    I'm not happy to say the least but don't suppose there's anything I can do. Although I plan to write to Erudio anyway to request they don't pass my info on to a CRA. I might as well try.

    I have one 97 loan and one post-98 loan. I think I'm going to leave things as they are for now. I'm not going to set-up a direct debit and will challenge Erudio if they demand one. I'm currently deferred and unless I receive a large pay-rise (unlikely) I'll still be eligible to defer at the end of my current deferment period.
    • Deadbeat
    • By Deadbeat 29th Apr 14, 8:54 PM
    • 131 Posts
    • 144 Thanks
    Deadbeat
    I've already paid mine off.

    But this latest news make me less confident that the demands for payment will cease.
    • rizla king
    • By rizla king 30th Apr 14, 6:42 AM
    • 2,843 Posts
    • 1,903 Thanks
    rizla king
    See below.

    Direct Debit Mandates.

    If you analyse the agreement terms, having a direct debit mandate is NOT a requirement for deferment and they should not be able to refuse you deferment if you dont. Apart from being over the income threshold, the only reason they can refuse deferment under the agreements is if the loans have previously been demanded back in full. Under the agreement they can ONLY demand the loans back in full if you fail to make a required payment under the agreement. In other words not having a DD in place is not a breach of the agreement that allows the to demand the loan back in full, so it is not a breach that gives them legal grounds to refuse a deferment. Again Erudio do their best to make you think otherwise with deceptive wording on the forms.
    Originally posted by rizla king
    • erudioed
    • By erudioed 30th Apr 14, 8:05 AM
    • 654 Posts
    • 935 Thanks
    erudioed
    Nice article for some things indeed and thank you for looking into it in detail but was it actually Erudio you were talking to Helen, or someone speaking on behalf of Erudio? With very suggestive recent evidence that they have subcontracted all work out to Ventura/Capita, who was answering those questions? I am curious.
  • sabasa
    Hi All

    Just looking some advice about whether I would qualify for deferment, I have looked at various sites including SLC and Euridio but can't see anything that would cover my particular circumstances

    I earn just above the amount for deferment (£53 above per month) but last month I opted to "buy" additional leave from my employer and as a result the amount that I am paid before tax and N.I has reduced, this reduction in my salary is until December. The amounts are shown on my payslip as shown below. I think that my "gross salary" is the amount after the additional holiday is taken off, not the basic salary amount and that I would qualify for deferment. Can anybody advise if I am correct?

    I fear I may have a battle on my hands to get Euridio to accept this and that they will insist on taking "Basic Salary" as the relevant figure but I would argue that this is not the amount I was paid, the amount I was paid is the figure after additional holidays have been deducted.

    Payments

    Basic Salary 2812.16
    Additional holidays - 135.20

    Total Payments 2676.97


    Gross pay this employment 2812.17
    Taxable pay to date 2676.97
    • erudioed
    • By erudioed 30th Apr 14, 10:28 AM
    • 654 Posts
    • 935 Thanks
    erudioed
    Anyone believe the claim by Erudio/Ventura/Capita in the new MSE article that only 50 people have had DDs taken?

    Also, anyone had payments taken this week?
    • rizla king
    • By rizla king 30th Apr 14, 10:35 AM
    • 2,843 Posts
    • 1,903 Thanks
    rizla king
    Anyone believe the claim by Erudio/Ventura/Capita in the new MSE article that only 50 people have had DDs taken?
    Originally posted by erudioed
    Not for one millisecond.
    • erudioed
    • By erudioed 30th Apr 14, 10:38 AM
    • 654 Posts
    • 935 Thanks
    erudioed
    i wonder if theres an easy way to have a one click button somewhere to test the theory and gather up a more accurate number. I have no idea how that could be done given the parameters of posting on a forum though
    • ericctheking
    • By ericctheking 30th Apr 14, 10:38 AM
    • 324 Posts
    • 264 Thanks
    ericctheking
    erudio are refusing to defer people despite them having the required evidence.

    quote from erudio

    eligible for deferral but won't accept deferral until you return our form!


    "We can confirm with the evidence provided in your letter that your deferment will be accepted upon receipt of your signed Deferment Application Form, you do not need to complete any details other than your name and address on the form.

    Without the form we are unable to upload your details onto the deferment module and run it through the acceptance process. We are unable to manually over-ride this."

    What can we do about this?
    • rizla king
    • By rizla king 30th Apr 14, 10:44 AM
    • 2,843 Posts
    • 1,903 Thanks
    rizla king
    Complain to the FOS as it is pathetically ridiculous, and unbelievable that they can't do anything about it.

    Besides if they want a form with your name and address on, even these illiterate morons can probably manage to fill those bits in for themselves.

    Looks like they want the signed form so they can try and claim later that you agreed to their sneaky changes of terms and conditions.
    • ericctheking
    • By ericctheking 30th Apr 14, 10:47 AM
    • 324 Posts
    • 264 Thanks
    ericctheking
    Looks like they want the signed form so they can try and claim later that you agreed to their sneaky changes of terms and conditions.
    Originally posted by rizla king
    Does anyone know what level of assignment they have over the debt?
    I think this is important if things reach court etc.

    and can we complain to the FOS about them sneakily trying to change the terms and conditions.
    Surely this is deception for monetary gain? fraud even?
    Can people who have already signed the forms take them to court for this?
    Last edited by ericctheking; 30-04-2014 at 10:50 AM.
    • rizla king
    • By rizla king 30th Apr 14, 10:50 AM
    • 2,843 Posts
    • 1,903 Thanks
    rizla king
    Absolute legal assignment in this case. They can go to court in their own right as the creditor.
    • ericctheking
    • By ericctheking 30th Apr 14, 10:54 AM
    • 324 Posts
    • 264 Thanks
    ericctheking
    Before complaining to the FOS you have to complain to erudio right? and give them 8weeks to respond?
    But then people worry with deferment deadlines and DDs etc.
    • ericctheking
    • By ericctheking 30th Apr 14, 10:56 AM
    • 324 Posts
    • 264 Thanks
    ericctheking
    Also it is very expensive to call erudio's phone lines.
    Could you set up a premium rate number and give it to them as your contact number? (after all your time is important too!)
    • fermi
    • By fermi 30th Apr 14, 11:11 AM
    • 39,669 Posts
    • 47,650 Thanks
    fermi
    ---> Erudio student loans: time to complain to the ombudsman?

    Former students being aggressively chased for debts could soon deluge the Financial Ombudsman Service with their complaints.

    Student from the 1990s are fed up with the tactics of the firm which bought the outstanding debts from the Government last autumn. Erudio Student Loans paid just £120m for around £900m-worth of debt and last month contacted graduates with demands for proof that their loans do not yet need to be repaid.

    Those concerned have repayments deferred because their wages have stayed below an earnings threshold.
    Yet many have had money wrongly snatched from their accounts by Erudio, which is owned by debt collecting giant Arrow Global.

    However, i has taken up the case of several and Erudio has apologised and repaid the money, or the fed-up former students have reclaimed it under the direct debit scheme after confirming money was taken in error.

    For instance, reader Debbie got in touch after £84 was taken from her account. After i’s intervention, she reported: “I had the £84 credited to my account by Erudio yesterday.”

    But despite the firm ’s promises, more are reporting bad experiences and plan to complain. If they don’t get satisfaction they can turn to the Financial Ombudsman Service. It gets 50 new debt collection complaints a month and upholds 40 per cent.

    The ombudsman said: “If you feel you’ve not been treated fairly by a debt collector, or that they are not taking your circumstances into account, get in touch – we are here to get things sorted.” Details at financial-ombudsman.org.uk
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    • ericctheking
    • By ericctheking 30th Apr 14, 11:17 AM
    • 324 Posts
    • 264 Thanks
    ericctheking
    Do we have to complain to erudio first and give them time to respond to the complaint before complaining to the ombudsman?
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