University Student Loan Query..

GreenMint

GreenMint

GreenMint

Soldato
Joined
11 Dec 2003
Posts
21,634
Location
Sol
Hey all, just asking a bit of a query that a friend has put to me today as she's not sure what to make of a situation that she's been presented with;

Her sister has texted her today asking if she can borrow £600, as she's had the student loan people hassling her for money back, the break down is this;

In 2004 she went to Nottingham Uni doing some course or other, dropped out and started doing another course from 2005-6, then after that she decided it wasn't for her, and moved to Leicester Uni, where she started a course, then, decided after a year to try something else, and started ANOTHER course from 2007-8 and the future is undecided!

The thing is, she's had a student loan every year, which I'm sure most students do have (I never went to uni so am not sure here!) And I was thinking the main thing is that the uni funds people (Not even sure of the right terminology) don't start expecting you to pay anything back until you are earning a set amount of money? (I think it was something like £17,000 P/A when my brother went) So we're not sure if they'd be hassling her for money now, and if so, why just £600?

The one real twist in this is she's not the most honest person in the world, has taken money from her sister before and a few other things such as her brother's dvds (About 15 of them) going mysteriously dissappearing and her never knowing anything about it :rolleyes: so my friend really isn't sure what to make of it, and as I know naff all about this, I thought I'd put it to the good , well educated people of OcUK to help with this query!

Is there any reason they'd be chasing for this money? Or is this as believable as the rumour about Fox actually owning a 1.2 Corsa?

Any help would be appreciated, as she really doesn't want to be taken for a ride, whether she loands her the money or not, so if anyone knows or has any idea if this kind of thing would happen, then I'd be really grateful if you have ANY input!

Cheers

-T
 
The only reason I can think of for them asking for money back is if they've made a mistake in some way - unlikely though.
 
Aye, I was thinking the same pretty much, she's claiming that its from her first course, but even though she dropped out, it's pretty much thier policy to not charge you/ask for it back until you're earning X amount, as they know most students wouldn't be able to pay this back. I'm not trying to soun naieve or on either side of the fence, just wanna get some thoughts on it as the thought that her sister it lying to her, again, and to get £600 of her is a bit dsheartening for her :(

Cheers guys.
 
They don't ask for money back in the normal scheme of things until you're earning £15,000 and I think it's deducted straight from your paycheck like tax then .. (Not 100% sure on this so might want to check though).

If they have realised they've made a mistake they might try to chase up her to get it back. Its possible, especially considering how convulted her history seems to be but to be honest if she has a previous reputation for being untrustworthy I'd be highly suspicious.

Edit, from the student loan website, http://www.slc.co.uk/about student finance/index.html

"The repayment of loans is repaid through the tax system, and only begins after the student has left higher education and is earning over £15,000. This system of collection is known as Income-Contingent Repayment (ICR), because it tapers the repayment obligation according to the gross income of the account holder."
 
Thanks for that, the terms of the loan agreements (Needing to be earning £15,000) aren't altered by the fact that she has dropped out of several courses are they? As I know they will be owed and deducted when employment commences. She's currently out of work and my friend just worries that her sister is being honest, despite having this info relayed, as far as I can see, as long as they didn't overpay in the first place, whether the course was completed or not, she will not be charged until earning that amount, I'm pretty sure that looks like the correct info, as soon as she offered earlier to call for her on Monday, her sister basically changed the subject, didn't even acknowlege the offer and said she'll call them tomorrow (Opening hours are monday-friday so asking her tomorrow night/sunday will be an eye opener if she did get through to this service whilst it is closed!)

I know where my thoughts are with this right now, but I know its a lot more for her to take in.
 
Yeah theyll never ask you for the money they just take it out via taxation so you cant say no to it if you're earning over the £15k minimum income.
I wouldnt be giving her £600 either way
 
They definitely can ask for money back.

My previous housemate, couple months ago, had a call from them saying they gave him too much money, and that he had to pay back a set amount by a certain date.

I cant remember how much it was, but he wasnt very happy about it.
 
my mate got kicked out of uni about a week before his aprilish installment of the loan came though. they took it back out his account a week later
 
Thanks A2Z, Yeah, I understand that situation can happen, but we've been told (Not that it is definitely true!) thats she's claiming its just cause she dropped out of the 1st Notts course, which, from all readings here, and on thier site, they wouldn't do unless they have overcharged.

I'll go help her quiz the perp tomorrow! lol :D
 
If she dropped out, but the loan company made payment to her after she had dropped out they can claim that back I believe, as the money shouldn't have been given to her.

That or them giving more money than they should have are the only reasons I can think of that the SLC would request money. All other money is dealt with as said above.
 
Deiwos said:
If she dropped out, but the loan company made payment to her after she had dropped out they can claim that back I believe, as the money shouldn't have been given to her.
Click to expand...

This is the most likely explination.

She does realise that the SLC probably won't cover tuition fees for the rest of her course?

Burnsy
 
Burnsy2023 said:
This is the most likely explination.

She does realise that the SLC probably won't cover tuition fees for the rest of her course?

Burnsy
Click to expand...

they wouldnt ask for £600 though, as thats only half of 1 payment of maintenance loan.

I think shes talking **** tbh, £600 isnt a likely figure in my eyes. Especially when you're talking about payments of 1.1k a time
 
was she paid a bursary or given a grant?

if they paid her a bursary and then later realised that she wasnt eligible for it it could be that.

my boyfriend received a letter stating that they'd over paid his bursary so held back one of his loan payments
 
All student loans are paid by via HMRC and only after you earn 15K pa. approx 9% of your gross salary is taken and kept by HMRC until the end of the financial year and then given to SLC.

What this might be for is Uni fees as if you drop from a course/uni before a full semester/term is completed your fess that have been paid for you can be recalimed. It sounds like the person in questions starts a course and then drops out, perhaps doing this so they dont have to get a hob and can live on SLC Loans, but loans can only be given for a maximum of 5 years and without repeating any level of study. For examle if you get a loan for your first year of, say a BSc and then drop out, if you start a different BSc following year but as a 1st year student you will not get loans unless there have been really bad mitigating circumstances.

Hope this makes sense.

Me I'd call gher bluff and offer to pay SLC direct and get a signed agreement with regards re-payment.
 
You must log in or register to reply here.
Back
Top Bottom