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  • FIRST POST
    • zafreenfarooque
    • By zafreenfarooque 5th Nov 18, 8:26 PM
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    zafreenfarooque
    Taken to court for student loans while on ESA
    • #1
    • 5th Nov 18, 8:26 PM
    Taken to court for student loans while on ESA 5th Nov 18 at 8:26 PM
    Dear all,
    Would really like some help please!
    I did my uni course during the 90s, but due to mental health and other health problems I have been unable to work, so now on ESA.
    I got a letter from some co. from northants business centre saying I need to pay back 11k, which I just don't have as all my income is from benefits.
    Anyone know what I can write in the defence section of court forms?
    Please help if you can- many thanks
Page 1
    • twhitehousescat
    • By twhitehousescat 5th Nov 18, 8:49 PM
    • 2,134 Posts
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    twhitehousescat
    • #2
    • 5th Nov 18, 8:49 PM
    • #2
    • 5th Nov 18, 8:49 PM
    when was the last time you were in communication with the lender / loan co

    was this official court papers , who is the company that are claiming 11k
    Time pretending I was asleep whilst under his desk , has given me insight to this sordid world
    • zafreenfarooque
    • By zafreenfarooque 6th Nov 18, 10:51 AM
    • 8 Posts
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    zafreenfarooque
    • #3
    • 6th Nov 18, 10:51 AM
    • #3
    • 6th Nov 18, 10:51 AM
    Hello
    I had a solicitor letter about 2 weeks ago which I ignored thinking it was a scam.
    The co. are called erudio student loan co, and the paperwork headed 'in the county court business centre'?..I can see a circle stamp with the crown symbol and county court on it.
    I thought old student loans were written off?
    Any way not sure what to do...apart from in the defence section writing I am ill- list conditions, doing the same for my disabled child, and stating all income is benefits?
    I dont mind paying them something if I ever get a job, but right now even paying them 1 a month is difficult...
    • Pixie5740
    • By Pixie5740 6th Nov 18, 10:58 AM
    • 13,266 Posts
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    Pixie5740
    • #4
    • 6th Nov 18, 10:58 AM
    • #4
    • 6th Nov 18, 10:58 AM
    Hello
    I had a solicitor letter about 2 weeks ago which I ignored thinking it was a scam.
    The co. are called erudio student loan co, and the paperwork headed 'in the county court business centre'?..I can see a circle stamp with the crown symbol and county court on it.
    I thought old student loans were written off?
    Any way not sure what to do...apart from in the defence section writing I am ill- list conditions, doing the same for my disabled child, and stating all income is benefits?
    I dont mind paying them something if I ever get a job, but right now even paying them 1 a month is difficult...
    Originally posted by zafreenfarooque
    Does any of the following apply to you? If so have you communicated this with Erudio/Student Loans Company?

    Under The Education (Student Loans) Regulations 1998, lenders will cancel your liability to repay if you:

    Die.

    Can show the lender you get a disability-related benefit and because of this disability you're permanently unfit for work.

    Are not behind on any repayments under any agreement for a student loan and were under the age of 40 when your last agreement for a student loan was made and you reach the age of 50, or when the last agreement for a student loan has been outstanding for no less than 25 years, whichever is the sooner.

    Are not behind on any repayments under any agreement for a student loan and were aged 40 or older when your last agreement for a student loan was made and you reach the age of 60.
    Have you been deferring your loans?

    Since there is an upcoming court case it might be a good idea to contact one of the debt charities: CAP UK, National Debtline or Step Change.
    • zafreenfarooque
    • By zafreenfarooque 6th Nov 18, 1:45 PM
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    zafreenfarooque
    • #5
    • 6th Nov 18, 1:45 PM
    • #5
    • 6th Nov 18, 1:45 PM
    Hello
    No I haven't mentioned about the disability but would do so under the defence section of paperwork, which is the only one that applies to me.
    I haven't been deferring the loan, just haven't heard anything about it until very recently
    Yes, I'll try and contact a debt group
    many thanks
    • ruperts
    • By ruperts 6th Nov 18, 1:55 PM
    • 1,055 Posts
    • 1,760 Thanks
    ruperts
    • #6
    • 6th Nov 18, 1:55 PM
    • #6
    • 6th Nov 18, 1:55 PM
    Who did you take the loan out with?

    If it was the Student Loans Company then I wouldn't expect to receive anything like this as you only have to start paying it back once you're earning over a certain amount, and I believe that was also the case in the 90's.
    • Pixie5740
    • By Pixie5740 6th Nov 18, 2:24 PM
    • 13,266 Posts
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    Pixie5740
    • #7
    • 6th Nov 18, 2:24 PM
    • #7
    • 6th Nov 18, 2:24 PM
    Who did you take the loan out with?

    If it was the Student Loans Company then I wouldn't expect to receive anything like this as you only have to start paying it back once you're earning over a certain amount, and I believe that was also the case in the 90's.
    Originally posted by ruperts
    If you earn below the threshold you have to apply to defer the loan each year. The OP did not do this which is why Erudio are now taking the OP to court.
    • sheramber
    • By sheramber 7th Nov 18, 10:25 AM
    • 5,435 Posts
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    sheramber
    • #8
    • 7th Nov 18, 10:25 AM
    • #8
    • 7th Nov 18, 10:25 AM
    If you don't defer and don't pay then you are in default of your contract that you signed when you signed up for the loan.

    If you default then the whole amount becomes repayable immediately.

    You need to get advice.
    • zafreenfarooque
    • By zafreenfarooque 7th Nov 18, 12:23 PM
    • 8 Posts
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    zafreenfarooque
    • #9
    • 7th Nov 18, 12:23 PM
    • #9
    • 7th Nov 18, 12:23 PM
    Thanks for all the replies
    The original loan was with the SLC- now erudio people
    I may have had a letter in the past but can't remember as sometimes its difficult doing basic things with my health problems.
    I have had conflicting advice- CAB suggest paying 10-15 per month/ my housing adviser saying go to court and explain you have no assets and offer no more tham 1 a month??
    • Sunny Intervals
    • By Sunny Intervals 8th Nov 18, 8:09 AM
    • 710 Posts
    • 2,385 Thanks
    Sunny Intervals
    Can you afford 10-15 per month? If not, that's your answer.

    I was paying 1 a month when I was on benefits and defaulted on my credit cards. Stepchange drew up an income/outgoings thing for me to send to my creditors.
    • zafreenfarooque
    • By zafreenfarooque 9th Nov 18, 9:18 AM
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    zafreenfarooque
    Short answer is no.
    My housing income advisor told me to just offer the 1 per month goodwill gesture and freezing of interest.
    He said if they don't accept, they are looking at around 200 to take me to court, and most probably the Judge will look at my medical conditions as well as lack of assets and let me pay the 1 a month.
    • Lungboy
    • By Lungboy 9th Nov 18, 12:28 PM
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    Lungboy
    If you haven't acknowledged the debt then it might be statute barred. You need to work out exactly when you acknowledged the debt, either with Erudio or The SLC.

    Also it might be time barred, when exactly in the 90s did you take your final loan?

    I think the disability line is unlikely as I'm guessing from the fact you are on ESA you're deemed fit to work, rather than being permanently unfit to work.
    • _shel
    • By _shel 9th Nov 18, 1:46 PM
    • 1,605 Posts
    • 2,794 Thanks
    _shel
    If you haven't acknowledged the debt then it might be statute barred. You need to work out exactly when you acknowledged the debt, either with Erudio or The SLC.

    Also it might be time barred, when exactly in the 90s did you take your final loan?

    I think the disability line is unlikely as I'm guessing from the fact you are on ESA you're deemed fit to work, rather than being permanently unfit to work.
    Originally posted by Lungboy
    Student loans don't become statute barred
    • Lungboy
    • By Lungboy 9th Nov 18, 4:02 PM
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    Lungboy
    The original mortgage-style ones do.
    • Sunny Intervals
    • By Sunny Intervals 9th Nov 18, 9:14 PM
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    Sunny Intervals
    I think the disability line is unlikely as I'm guessing from the fact you are on ESA you're deemed fit to work, rather than being permanently unfit to work.
    Originally posted by Lungboy

    If they're on ESA, they have been deemed unfit to work. If they were fit for work, they'd be on JSA.
    • Lungboy
    • By Lungboy 9th Nov 18, 9:38 PM
    • 1,555 Posts
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    Lungboy
    If they're on ESA, they have been deemed unfit to work. If they were fit for work, they'd be on JSA.
    Originally posted by Sunny Intervals
    Oh right, I thought DLA/PIP was for people deemed permanently unfit for work and ESA was for people temporarily unfit or those with disabilities that allow work but need assistance.
    • Sunny Intervals
    • By Sunny Intervals 9th Nov 18, 9:51 PM
    • 710 Posts
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    Sunny Intervals
    Oh right, I thought DLA/PIP was for people deemed permanently unfit for work and ESA was for people temporarily unfit or those with disabilities that allow work but need assistance.
    Originally posted by Lungboy
    Essentially:

    ESA = temporarily or permanently unfit for work due to illness or disability--paid to cover living costs

    PIP = temporarily or permanently disabled, in or out of work--paid to help with additional needs

    You can claim both at the same time.
    • Lungboy
    • By Lungboy 10th Nov 18, 10:37 AM
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    Lungboy
    Ok, then that's the route I'd take. Get a letter from your Dr stating you are permanently unfit for work and send it to Erudio with a letter stating your loan should be written off as per the terms of your loan agreement.
    • twhitehousescat
    • By twhitehousescat 10th Nov 18, 10:44 AM
    • 2,134 Posts
    • 2,580 Thanks
    twhitehousescat
    Ok, then that's the route I'd take. Get a letter from your Dr stating you are permanently unfit for work and send it to Erudio with a letter stating your loan should be written off as per the terms of your loan agreement.
    Originally posted by Lungboy
    a court claim has been started , the op needs to acknowledge the claim , ASAP or he will simply be given a default CCJ
    Time pretending I was asleep whilst under his desk , has given me insight to this sordid world
    • Lungboy
    • By Lungboy 10th Nov 18, 11:44 AM
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    Lungboy
    Oh absolutely, but alongside that they should be contacting Erudio to prove they don't owe anything.

    Just musing here but it doesn't fit Erudio's usual MO to start a court action themselves rather than farming it out to Dryden or Lowell's or whoever.
    Last edited by Lungboy; 10-11-2018 at 11:47 AM.
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