Aibu to think the student loan is a graduate tax that you can avoid if your parents are wealthy enough?

[Tryingtryingandtrying]

Was it designed deliberately this way by people with wealthy parents? Can you pay the fees up front each year if you have enough money?

@titchy

Of course the SLC can receive international payments. If you feel like sending them that is

Errr right. Ok. If your conscience is ok with that I guess it's an option, if not exactly legal or principled

You'll never achieve high office with quaint ideas like that ...

You'll never achieve high office with quaint ideas like that ...

Not my aim....

@seeline this is where a lot of graduates who work in the public sector will get to and stop for most of their working lives.

Yes - get to, but not start at. Those figures assume starting salary.

www.savethestudent.org/student-jobs/whats-the-expected-salary-for-your-degree.html#art

So the lower limit reduced by 4k. This is going to increase the amount paid for each degree for middle earners. And push a substantial amount into paying, following the NI increase.
This system is hugely unfair on our young people. Especially those in public sector vocational courses who will never earn enough to actually pay it back, just far more than it was ever worth in interest.
Plus being beholden to policy change in the whim of whichever government is in power.

Came back just to share this article on how they're thinking about dropping the repayment threshold to £23k (and was surprised to see that at one point they clearly were considering on lowering it further!). The whole situation is ridiculous.

www.ft.com/content/f77fe7ee-6165-427a-8754-e90d22d5689f

Even the wealthy people should consider taking out the loan. Its one of the best rates you'll ever get.

And that is a load of bullshit.

As a graduate with a mortgage, I can assure you. Its the worst rates I have ever borrowed money on.

Those hit the hardest are middle earners - teachers, nurses etc. they earn enough to be paying back a fair chunk each month, but never enough to clear the interest.

This means they are paying out each month for c.30 years. Compared to say an investment banker who will clear it fairly quickly.

As said up thread, it’s not the repayment that’s the problem - it’s the interest.

The timing is poor as well - middle earners will be hit hardest when they are around 30/40, when they have mortgages, childcare and a ‘graduate tax’.

Said it it further up the thread - the government can change the terms. As they are not recovering enough then students will end up paying from a lower threshold and possibly a longer term. Hitting the middle earners the hardest paying back far more than they borrowed.

The interest is rubbish is certainly not the best rate you'll ever get - if you don't need it it's money that you borrow with the gamble that you don't ever pay back in full.