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  • FIRST POST
    • MSE Eesha
    • By MSE Eesha 2nd May 17, 11:07 AM
    • 119Posts
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    MSE Eesha
    When will your student loan be written off?
    • #1
    • 2nd May 17, 11:07 AM
    When will your student loan be written off? 2nd May 17 at 11:07 AM
    This is the discussion to link on the back of Martin's blog. Please read the blog first, as this discussion follows it.





    Please click 'post reply' to discuss below.
Page 2
    • Ed-1
    • By Ed-1 9th Nov 18, 8:47 PM
    • 2,591 Posts
    • 1,384 Thanks
    Ed-1
    I think one of the issues with student loans is that the interest increases with RPI. HM Government has stipulated that it no longer thinks RPI is a proper and accurate measure of inflation so why arent they charging CPI on student loan?
    Originally posted by C_Mababejive
    The inflation measure in pre-1998 "mortgage-style" loans are fixed into contracts (governed by the Consumer Credit Act) and can't be changed.

    The inflation measure used in post-1998 "income-contingent" loans can be changed but the government have said they have no plans to change the terms of pre-2012 loans which are being sold off (and note the repayment threshold goes up quicker if it is uprated with RPI instead of CPI).

    With post-2012 loans, the government currently have no plans to sell these off and the terms of these loans are under review. However the government say they are continuing to use RPI as "it has always been used with student loans"!
    • C_Mababejive
    • By C_Mababejive 10th Nov 18, 10:49 AM
    • 10,863 Posts
    • 9,669 Thanks
    C_Mababejive
    How convenient...
    Feudal Britain needs land reform. 70% of the land is "owned" by 1 % of the population and at least 50% is unregistered (inherited by landed gentry). Thats why your slave box costs so much..
    • badmemory
    • By badmemory 11th Nov 18, 5:00 PM
    • 2,565 Posts
    • 4,048 Thanks
    badmemory
    They managed to put DB pensions down to CPI without much heartache, why not student loans. Of course they will be worth more to their friends that they sell the loans on to if they are still at RPI.



    Time to accept that there is as much corruption in the UK as there is in most of the rest of the world, we just don't tend to do it with guns. At least if someone pulls a gun on you then you know what you are dealing with.
    • Ed-1
    • By Ed-1 11th Nov 18, 8:17 PM
    • 2,591 Posts
    • 1,384 Thanks
    Ed-1
    They managed to put DB pensions down to CPI without much heartache, why not student loans. Of course they will be worth more to their friends that they sell the loans on to if they are still at RPI.



    Time to accept that there is as much corruption in the UK as there is in most of the rest of the world, we just don't tend to do it with guns. At least if someone pulls a gun on you then you know what you are dealing with.
    Originally posted by badmemory
    Keep an eye out for the ONS decision on changes to the accounting of student loans to be announced on Monday 17th December:

    https://www.ons.gov.uk/news/statementsandletters/reviewofthetreatmentofstudentloansinthepublicsecto rfinances

    If the interest on student loans no longer counts as income to the government as it accrues (even though they probably will never actually receive it in repayments) then it could well blow up the incentive for there to be a high interest rate on the loans.
    • badmemory
    • By badmemory 12th Nov 18, 12:21 PM
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    badmemory
    Unfortunately though, it is those higher interest rates that make them appeal to the people they sell these loans on to. But we can live in hope!
    • Ed-1
    • By Ed-1 12th Nov 18, 12:49 PM
    • 2,591 Posts
    • 1,384 Thanks
    Ed-1
    Unfortunately though, it is those higher interest rates that make them appeal to the people they sell these loans on to. But we can live in hope!
    Originally posted by badmemory
    They've no plans to sell post-2012 loans though (currently). It's only the pre-2012 loans (with higher repayments and a lower interest rate) that are currently being sold.

    And there's another incentive that could be blown up with the ONS decision - the incentive to sell, as currently selling the loans at a loss lowers the government's debt without affecting the deficit in any way. That could well be about to change too. If selling loans at a loss raises the deficit then there's little incentive to sell at all.

    The ONS's announcements on this can't come soon enough.
    • Strickland
    • By Strickland 4th Jan 19, 3:13 AM
    • 2 Posts
    • 0 Thanks
    Strickland
    Student loans from pre-1997 Written off criteria
    Hi,

    I'm sorry if I'm repeating a question, but I've looked through the thread quite carefully to be sure.

    My SLC loans were from 1997 and before. I am told that they will be written off after 25 years. Which should be in a few years time. I have 2 questions I cannot find the answers to. Please can anyone help. I've been successfully deferring them for the period and they have confirmed I have no arrears outstanding.

    1. How do they get cancelled? Do the SLC or Thesis automatically cancel them? Or do you have to apply or go through a process or produce any further evidence etc for them to finally decide to cancel them?

    2. They say they may not cancel them if there is any "breach of the loan agreement". Surely, if there had been any breach I would know this already and they would have informed me? Or is it possble that at the very last moment they are likely to say "oh, in 2005 you breached the agreement by doing XYZ?"

    Anyone know anything about the real situation of the above?

    Thanks
    • Strickland
    • By Strickland 4th Jan 19, 3:18 AM
    • 2 Posts
    • 0 Thanks
    Strickland
    I guess what I am really asking is "HOW will the student .loan be written off and what may stand in the way of that at the last minute?
    • naf123
    • By naf123 18th Jan 19, 12:07 PM
    • 1,320 Posts
    • 1,336 Thanks
    naf123
    loan end date?
    This is very confusing .

    I started a course (I have documents from student loans ) in 2005. I never took out a loan in 2005. I dropped out.

    I then started a new course in 2006. I don't think I took a loan till 2007.

    So is my debit written off after 25 years or when I am 65?

    How do I find out?

    Thanks
    • girllikeme1
    • By girllikeme1 23rd Jan 19, 11:19 AM
    • 174 Posts
    • 47 Thanks
    girllikeme1
    This is very confusing .

    I started a course (I have documents from student loans ) in 2005. I never took out a loan in 2005. I dropped out.

    I then started a new course in 2006. I don't think I took a loan till 2007.

    So is my debit written off after 25 years or when I am 65?

    How do I find out?

    Thanks
    Originally posted by naf123
    If you started after 1998 but before 1 September 2012, you're on Plan 1. More info on the SLC website.
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