making Erudio an offer (student loans)

arknor said:
why did the government sell them off for 10% of what they were worth?
Click to expand...

The people left are largely those with incomes too low to trigger repayment (or too low for them to actually be able to pay it off in their lifetime). Also the outstanding list probably includes a lot of people that are untraceable.
 
Adam said:
It's all to do with risk. There is always a risk someone will default and not pay all the money back. Sometimes it might be worthwhile to write off some of the debt to reclaim as much as possible. There could be all number of reasons why the risk has changed since the loan was taken out.
Click to expand...

That was exactly the point of my post, a borrower who is making voluntary overpayments is not going to be seen as high risk in the lender's eyes thus is not likely to be offered a settlement.
 
Erudio are so much nicer to deal with that the student loan company ever were. No harm in asking, worst they can say is no.
 
slinxy said:
Hi,

I'm one of the many people who's students loans where sold off to Erudio, even thou I'm slightly below the threshold; I've been making monthly payments mainly due to the stories I've heard about them being a pain to deal with etc. etc.

I'm seriously considering making them an offer for the remainder of the loan I have with them which is just around 3.5k, it's not that I have the money but I need to get on the property ladder asap due to my age. so I'm going to try and rise the cash, to lower my monthly outgoings.

Is this a crazy move? shall I let them just take the £130-ish pounds every month till the loan is paid off?

Has anyone made Erudio an offer that's been accepted if so what sort of percentage have they been willing to accept, I understand that the goverment sold all the students loans for around 10% of what they was worth.

What's the best process for this time of thing? go in sensible say 75% of the remaining loan and hope that they accept it or start off low say 30% and see what they say? will they counter offer?

Thanks for the help... I'm hoping 2017 will be a total debt free year for me..
Click to expand...

Student debt isn't taken into account when applying for a mortgage, but can see where you are coming from in terms of monthly take home, but it will make less of a difference than you think (it's taken before tax).

**edit - this is not true any more.
 
Last edited:
bloodiedathame said:
Student debt isn't taken into account when applying for a mortgage, but can see where you are coming from in terms of monthly take home, but it will make less of a difference than you think (it's taken before tax).
Click to expand...

Student loans will reduce what you can borrow based on affordability.

And it's calculated gross (before tax), but paid net (after tax). (however, I don't know how these older loans work - it's only the pre ~1998 loans which were sold to Erudio, I believe)
 
Give it a shot, as many have said worst they can say is no.

If they bought it for something like 10% of the value you maybe pleasantly surprised how low they will go.
 
Basher said:
Really? What kind of mortgage lender forces you to pay a loan off :confused:
Click to expand...

Its lender dependant. Santander didn't want to know about me or the wife having student loans, but Halifax did want to know. Interestingly, they both offered us the same amount at the same interest rate though.

Most don't care.
 
Why not tell them you are moving abroad and won't be able to make further payments so are looking to make a compromise with them. It implies further payments won't be made and they'd rather recover some money than none. Gets you around the issue that you are paying and currently they think they are going to get 100%
 
Pipe & Slippers said:
Why not tell them you are moving abroad and won't be able to make further payments so are looking to make a compromise with them. It implies further payments won't be made and they'd rather recover some money than none. Gets you around the issue that you are paying and currently they think they are going to get 100%
Click to expand...

Or, they might say 'you still owe us 100%, get on with paying it'.
 
I don't think my wife will ever pay hers off, as her wage increases, the threshold seems to go up at a higher rate :o
 
Last edited:
Basher said:
Or, they might say 'you still owe us 100%, get on with paying it'.
Click to expand...

...you counter by saying when I'm abroad you'll get nothing, so deal now or write it off. Dunno how many UK based debt collection agencies have offices abroad, but I doubt whether the economics of chasing a relatively minor debt in a foreign country stack up. Just trying to think of what would induce them to deal
 
You must log in or register to reply here.
Back
Top Bottom