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Crikey! My student loan statement has come through and written sneakily on the back....

36 replies

Skyler · 22/10/2007 19:45

is the fact that the interest rate is DOUBLEING from 2.4% to 4.8%!!!! Anyone else think that is blooming outrageous??!!!!
We are not in a position to pay it back at the moment so I guess that is the way it goes but I am shocked at the increase .

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bookwormmum · 23/10/2007 15:09

25 years? Is that from the first year you take it from or the last?

In that case, I'm 9 years into mine being written off then .

Skyler · 23/10/2007 20:03

It is 25 years is it? Great. They run all the loans separately so it would be 25 years from the last loan I suppose. How odd someones interest was 3.6%. Are they all different then? I suppose they must be. 2.4% is the highest mine has been so the jump is big for me.

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bookwormmum · 23/10/2007 20:19

A lot of the earlier loans have been sold off by the SLC - I had a letter years back telling me this when I'd only had one instalment paid to me! I suppose they sell the debts to finance the next lot of loans - maybe that's why the interest rates are not all the same .

Skyler · 24/10/2007 09:33

OH yes. Mine was sold I think , though all correspondance is still from SLC. I think NatWest have mine.....I really should pay more attention. I had to have the loans to live though so there was no option there and I have never earned enough to pay off so I kind of haven't paid much attention to them over the years.

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Fizzylemonade · 24/10/2007 13:44

Although not widely advertised I am sure it is written off after 25 years as my older sister always earns just below the deferment amount. She happily sings a song about it being written off after 25 years

I know that they changed the loans after many years because people weren't earning enough money to be forced to pay it back (should have been a grant IMO)

My first loan was 1992.

spookthief · 24/10/2007 13:51

I pay mine off next month .

I stupidly defaulted by not deferring one year and it all spiralled into a nightmare. So even though I've never earned enough to have to pay it back I've had to through my own idiocy. Still, big weight off my mind.

Let that be a lesson to you all: always defer on time because if you miss it once they'll never automatically send you the form again so it's easier to miss it the second time.

Skyler · 24/10/2007 14:40

Oh well done Spooktheif! For paying it off not defaulting obv. I always planned to let it expire, but the new interest rate scares me. Still I am not in a position to make the payments at the moment so no decision to be made at the mo.

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GreenGlassGoblin · 24/10/2007 14:59

I just had a nose at the student loans website(I'm so old mine was paid off years ago, but I always loathed the SLC and their glossy brochures...). The 25 year write off only applies if you took your loan out in or after 2006/7. Any loans taken out before that are written off at age 65. So don't go banking on the whole thing disappearing...

Skyler · 24/10/2007 15:10

Age 65. Hmm that sounds more like what I thought to be honest. Still if the rate of the amount of money I have to earn before I pay it back keeps rising as it has I will never be earning that much, even when I am 65

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bookofthedeadmum · 25/10/2007 09:25

In that case then, I'm never going to pay mine off . I'd rather pay a mortgage off over 30 years than my student loan - I can't live in my loan!

I'll probably talk to dp about this before I decide though.

Skyler · 25/10/2007 09:50

I have to say I never had any intentions of paying it off . I could pay it if I stopped paying into my pension I suppose, but that is more important to me than clearing my student loan debt

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