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Original poster

erudio student loans

999 replies

mrsbug · 17/03/2014 17:37

Hi, I have an old student loan from 1998 which I have been deferring since then as I have never earned enough to pay it back (there are some advantages to being poor Smile)

I recently had a letter from a company called erudio student loans saying they have bought my student loan from the government. All very reassuring about how the t and cs of my loan won't change, etc.

Now I've had the regular deferral letter from them and it's much more detailed than before. They want my bank details which I'm not really happy to give, and they say my details will be checked with a credit reference agency, which I don't think they used to do - my loan has never shown on my credit file.

Has anyone else had this? Do I have to give them this info?

OP posts:
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mandakl · 20/03/2014 17:50

"gross income" means income from ALL SOURCES before deduction for or relief from tax or other statutory charge, but not including any disability related benefits, and less any disability related costs;

That means the total of all sources of income before tax is taken off.

Of course, tax is only taken off taxable income, but it doesn't mean that ONLY taxable income is included as far as I can see.

mandakl · 20/03/2014 19:05

Seems Student Loans Company used their discretion to not include benefit payments.

That does not mean Erudio have to.

mandakl · 20/03/2014 19:14

Anyone who claims that benefit income cannot be included, can you please post a link to the piece of legislation where it clearly states this. If you can that will help everyone.

Original poster
mrsbug · 21/03/2014 08:59

Thanks everyone for your help Flowers

I've written them a letter as suggested by mandaki, with my three payslips and my child benefit letter, plus I've requested a copy of my loan agreement. I'm not sending their form back at all although I have copied the direct debit section and sent them that with my updated bank details. I haven't sent my P60 as it's not required, and because my income last year was totally different.

I will report back on what happens next...

My income is below the threshold even with my childcare vouchers, but I'd still like to know whether my income for the purpose of deferment is counted before or after the salary sacrifice. If it's the former, then I could be in a position where if I went up a pay grade at work and had to start paying my loan back, I would be worse off.

OP posts:
mandakl · 21/03/2014 09:39

That is what I currently intend to send much later in the year when mine comes up. I don't necessarily suggest that anyone else does, but thought it might be useful.

clubcardpoints · 21/03/2014 10:10

My DD agreements got cancelled as I changed my bank account a few years ago. I do vaguely remember that keeping a valid DD was a condition of the original loan though.

I have an almost dormant bank account which I barely use any more and has hardly any cash in it, and I'm going to set up a DD for that. It's for an account with no overdraft on it, so they shouldn't be able to get much money (there's a tiny credit balance). I know they are supposed to send you notice of starting DDs but I'd worry that I wouldn't be able to cancel it in time, esp if they are disputing your right to defer. And I know you could get a refund under the DD guarantee, but that's no help if the money's already been taken and you have other bills to pay. I think it's worth setting up a separate basic bank account just for this purpose if you're concerned about them having DD details.

mandakl · 21/03/2014 10:24

Searching various forums I found this which was interesting on that subject.

forums.moneysavingexpert.com/showthread.php?p=65032346#post65032346

KatharineClifton · 21/03/2014 13:09

Marking this thread as I got my forms this morning and paniced totally! Very used to the SLC deferal form, but this one looks all wrong.

KatharineClifton · 21/03/2014 13:16

Does anyone here have 92 & 93 loans and know about write off at a certain age? I didn't know that was an option, I thought I'd die with these flipping loans still coming up every year.

KatharineClifton · 21/03/2014 13:20

Ah, from reading more it seems that I buggered up the write-off because I sent in a late deferment and then had to pay a couple of months so my account would of been in arrears. Bum.

EddieVeddersfoxymop · 21/03/2014 13:33

I've just deferred for this year (Scotland) and noticed that some loans on my statement were showing as Erudio or whatever they're called. Some were previously sold to Thesis....I have never been notified of a change again? Well, not that I can remember anyway.

Every bloody year it's the same hassle deferring - they cannot understand that I run a small business. I won't be providing them with an accountants report because under HMRC rules, I don't need an accountant. Then I have to get my husband to sign a letter saying he pays all the household expense etc......we run a joint account, he earns it, I spend it but he doesn't actually "give" me money. I just help myself Grin but really, you'd think I was the only person in the world to share a bank account with my husband.

The deferment forms were the same as always, and they accepted it with no hassle. Erudio can kiss my behind if they want to know about our home, my bank account (with is joint and therefore none of their business), phone numbers and they certainly won't be checking my credit file as I won't give them permission to do that.

mandakl · 21/03/2014 13:34

No. You haven't messed it up. It only stop your getting it written of if you are behind with payments AT THE TIME you request the write off.

If you have caught up now you are fine. Smile

KatharineClifton · 21/03/2014 13:37

Fantastic, thank you mandakl :) I'll have to see if I can find the original agreement later and see when the write-off is. And get this deferment right!

CakeExpectations · 21/03/2014 13:47

If you discover when the write-off is, Katharine, please can you post details. My loans were 92 & 94 iirc, and buggered if I know where the original paperwork is.

I've just had to get a copy of last year's tax return, as they requested it. It doesn't actually relate to my current situation at all, so I can't see what the relevance is.

Is anyone else annoyed that a pre-paid envelope is not included for sending all the bumf back to them?

Finding this thread really helpful. Thanks OP for starting it.

KatharineClifton · 21/03/2014 13:53

I've found the regs - it is 25 years after the youngest one I think so 2018 for me

www.legislation.gov.uk/uksi/1992/1211/contents/made#tcon

SnakeyMcBadass · 21/03/2014 13:56

I am soooo confused after reading this thread. I'm a SAHM, with loans from 1998 and 99. I have never earned over threshold. I used to fill in the deferment form and DH signed a letter stating that he didn't support me above X amount. We always just split his income, as our finances are joint (but I don't earn anything myself). Is it the same now? I have filled in the whole form. Didn't think much of it, tbh. Balls.

ContentedSidewinder · 21/03/2014 14:11

My first loan was 92 and I believe very firmly that they will write it off after 25 years as my sister and I have always joked about this for the last 20 years.

She has always earned £200 under the deferment cut off and her wage increases at the same rate the student loan amount.

There is never a prepaid envelope included, it is usually a smaller envelope and I have to sellotape the damn thing shut due to all the documents I have to enclose. This year it is a bigger envelope though and as always a place marked to put the stamp.

KatharineClifton · 21/03/2014 14:13

Do the regs (2a) mean that if I go back to uni and take out a Student Loan under the new terms, there will be no write off?

'Cancellation

  1. (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.'

ContentedSidewinder · 21/03/2014 14:16

Snakey same as me, I did usual form filling, copy of my bank statement showing child benefit going it, I did a letter stating I don't work, we live on Dh's wage and I don't receive more than £2398 per month from him.

He then did a letter saying he works, I provide the childcare, I don't work, we live on his wage and child benefit alone and he does not provide me with more than £2398 per month.

Hopefully that covers all angles. We have done that type of letter for years with student loans, but we made it more detailed for Eurido because I technically fall into that category where they could question how I manage to live on child benefit and surely Dh must provide me with money.

CakeExpectations · 21/03/2014 14:20

Thankyou for the link, Katharine, that's very helpful indeed. Looks like mine will be written off in 2018 too, as I'll be 50 then. Shock

KatharineClifton · 21/03/2014 14:29

The age isn't computing for me CakeExpectations! My last birthday was last year ;)

Original poster
mrsbug · 21/03/2014 14:42

cake earlier in the thread someone linked to a letter requesting a copy of your original loan agreement. Sorry I'm on my phone so i cant copy the link for you.

also someone has advised sending the form by recorded post so erudio cant claim not to have received it.

OP posts:
majka · 21/03/2014 14:46

Can somoene pls say where on the new form does it state to provide them with 3 months bank statement. GOing crazy.

mandakl · 21/03/2014 14:48

Letter is here

www.nationaldebtline.org/EW/factsheets/Pages/39%20EW%20Credit%20agreements%20-%20getting%20information/Page-04.aspx

need to include £1 for the copies

Definitely send all correspondence to these people by recorded delivery.

Student loan company were bad enough for denying they got things you posted, but these people are worse.

Photocopy/scan what you send, and then post by recorded delivery.

Original poster
mrsbug · 21/03/2014 15:05

Ok possibly daft question but i have typed up the cover letter and printed it but i now realise i haven't actually written my total income in it.

do i need to redo it or can i leave them to figure it out themselves from the payslips?

OP posts: