Student Loan Repayments

[Dayvo]

I graduated in 1999, taking out my last loan in September 1998.

Having been able to defer my repayments due to not earning more than the minimum monthly amount, I now find myself having to start paying it back as my salary is now more than the minimum amount.

I have heard that once reaching the ripe old age of 50, the debt is wiped off!

Does anyone know for certain if this is the case?

 

[Black Sheep]

i don't know, but i was told the other day that the interest rate on it has dropped to a really low level at the moment.

 

[surfgurl]

It is in my case. I also graduated in 1999. I think it was for everyone who took out loans before 1998, so double check your paperwork. I think if you start paying back before you reach 50 you have to carry on.
My husband is 50 in two years time and is counting down until he can tell them where to go. He earns just under the threshold.

 

[marinyork]

i don't know, but i was told the other day that the interest rate on it has dropped to a really low level at the moment.

Er no. I'm paying more on it than some people are on mortgages, I wouldn't call that low. However inflation for March isn't looking too bad at the moment cf the two previous years...

As for your question Dayvo it's written off at 65 but that was an added in thing to get the new top-up fees in and applies to everybody under the tuition fees system, you're on the older system, not 100% sure it applies to you. The old system is different and has all sorts of different clauses.

SI 1992 #1211 seems to apply

Cancellation
12.—(1) A borrower's liability to make repayments in respect of all loans shall be cancelled if—

(a) he dies; or

(B) he is a person to whom paragraph (2) applies.


(2) This paragraph applies to a borrower who is not in breach of any obligation in relation to any loan and—

(a) if he was aged less than forty when he last entered into an agreement for a loan, if he attains the age of fifty or if the loan for which he last entered into an agreement has been outstanding for not less than twenty-five years (whichever event is the sooner); or

(B) if he was aged not less than forty when he last entered into an agreement for a loan, if he attains the age of sixty.

 

[bonj2]

I graduated in 2000 and have nearly paid mine off.

 

[Arch]

I graduated in 2000 and have nearly paid mine off.

Muggins. I'm hoping never to attain a high enough salary to start...B)

 

[Dayvo]

Ooh, I might be lucky!

Cancellation

(a) if he was aged less than forty when he last entered into an agreement for a loan, if he attains the age of fifty or if the loan for which he last entered into an agreement has been outstanding for not less than twenty-five years (whichever event is the sooner); or


8 grand to spend on something else! Although I won't be counting my thousands before my 50th in January! B)

Thanks marinyork!

 

[zimzum42]

By living overseas I don't pay any of it back, whatever I earn.

Not planning on coming back to work in the UK for a good while yet!!!!

 

[yello]

My student loan stayed in the bank and was repaid in full when I got a job after graduation. I only took it as a 'just in case' as I was self supporting. And it was cheap money at the time.

 

[Llama]

i've got a student loan -i graduated in 2007 and we do not have the option to defer - it just disapears each month on my pay slip - and looks like it will for some years yet...

 

[Chuffy]

I was around in the first year that they came in. I still earn below the threshold and I've got no intention of paying it back unless I absolutely have to....