Help With Student Loans - HERE!

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  • Hi
    My daughter will be applying for a student loan for 2017-2018. Her twin brother is in full-time employment and lives at home. Do we count his income in household income?
    Also my husband and I both work full-time, we also run a smallholding part-time. This is losing money at the moment so we received a refund of tax back. How does this affect the total household income?
    TIA
  • You do not count siblings income and I’m sure a tax refund isn’t income. If you file taxes you need to be giving that figure and earnt parental income.
  • Hele_an
    Hele_an Posts: 108
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    Hi

    I've been informed that I will finish paying my Type 1 Student Loan back within the next two years and SLC has said it would be better to switch to a direct debit payment instead on through my employer.

    I totally understand this, however, through my employer my loan is paid back before tax - reducing my tax bill - when I switch to direct debit I will be paying after tax - meaning a bigger tax bill and less money in my pocket. Am I correct in thinking this? Is there any other way to combat this extra loss of money? I currently lay back around £100 a month and have a balance of around £2600. I could settle the account but would rather not especially as the rate is so good currently.

    Thanks in advance!
  • silvercar
    silvercar Posts: 46,861
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    Hele_an wrote: »
    Hi

    I've been informed that I will finish paying my Type 1 Student Loan back within the next two years and SLC has said it would be better to switch to a direct debit payment instead on through my employer.

    I totally understand this, however, through my employer my loan is paid back before tax - reducing my tax bill - when I switch to direct debit I will be paying after tax - meaning a bigger tax bill and less money in my pocket. Am I correct in thinking this? Is there any other way to combat this extra loss of money? I currently lay back around £100 a month and have a balance of around £2600. I could settle the account but would rather not especially as the rate is so good currently.

    Thanks in advance!

    That isn't true. You pay the same whether through your payroll or by direct debit.
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  • badmemory
    badmemory Posts: 7,626
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    The advantage of paying the last year or so by direct debit is that you will not overpay & need to reclaim that overpayment. That is the reason it is recommended.
  • Lokolo
    Lokolo Posts: 20,861
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    silvercar wrote: »
    That isn't true. You pay the same whether through your payroll or by direct debit.

    Just to expand on this.

    Student Loan is calculated from gross, but paid from net. Therefore there are no tax advantages to pay via PAYE.
  • Hi
    I wish to understand if I should pay my student loan off or my debts off with some money I have managed to save recently.

    I have the following student loans, which is over £4000 in interest since 1997. The total now is £8,318.83. (1997 £3,392.65, 1997 £3,364.93 & 1999 £1,561.25).

    I have also contacted Erudio to ask when my debt will be written off should I not pay before that time.

    The debts I have are interest free and being managed by debt management companies. For these debts I have been paying a minimum amount each month for nearly 15 years or so. This of course effects my credit.

    With the student loan I would like to avoid paying the monthly amounts (of approximately £150 each month) when I am at the threshold (I am just under that at the moment) just to free up some money and possibly save again. I also know the repercussions for not paying the student loan are great should I miss a payment, etc?

    With my savings I am hoping to pay off either the student loan in full or my other debts (with partial settlement figures). Could you please advise me of what is the best thing to do here...should I also consider saving still?
  • GM1880
    GM1880 Posts: 169
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    I've an odd one.

    I took out 5 Student Loans from 1997 to 2002, and had payments coming out of my salary from 2005 to 2009, then also learnt that they sold some to two companies called Capquest and NCO Europe and so I ended up paying them for my Student Loans as well. Now out of nowhere I've had a call from Link/Thesis saying I owe them £1300 for a Student Loan, then when I queried it saying I'd paid back about £11k which is approximately 5 student loans worth having gone back all my payslips and bank accounts, they then sent an email saying £2700 was owed.

    All very fishy. I cannot quite reconcile all the payments. Possibly I can speak to the SLC to ask which companies ended up being responsible for each of my loans, tot everything up to check if this is correct. But, either way, is this actually statute barred anyhow?

    Thanks
  • slcworker wrote: »
    Hey, i have alot of Knowledge of how the student loans procedure works. If anyone needs any help, i can advise as much general info.
    Obviously i cant divulge into specifics due to Data Protection and the fact that i'd get fired, but anything i can help with, just let me know.
    my girlfriend today has received a letter from student loans asking for £6951 after a reassessment of a grant in 2010/2011... I need to know why a have they reassessed. How are they able to go back that far out of the blue. if this was anything else isn't 5 years back a max?
    also nothing changed from when she was assessed. there is no justification with letter. Its not a small amount she is a single mum and struggles to keep everything going as it is.
  • Your girlfriend will need to ring her funding body to ask for details of why her application was reassessed and how the figure was arrived at. I guess, as it's government funding, they can go back as far as needed to ensure all funds have been correctly paid, but the only people who can answer her questions will be SFE/SFNI/SFW/SAAS, whichever is applicable.

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