Student Loan payments not being taken out of salary
Discussion
In April 2010 I moved jobs and informed the Student Loans company that this had happened and put them in touch with HR to sort out my details.
Two years later I have not had one payment taken out of my salary. I can only assume an administrative cock-up on their part.
The loan will have continued to accrue interest with no reduction in the capital amount - should I claim I should not be charged interest on amounts I should have paid off over the past 2 years.
Or should I just keep quiet until I am 65 and wait for it to be written off?
Two years later I have not had one payment taken out of my salary. I can only assume an administrative cock-up on their part.
The loan will have continued to accrue interest with no reduction in the capital amount - should I claim I should not be charged interest on amounts I should have paid off over the past 2 years.
Or should I just keep quiet until I am 65 and wait for it to be written off?
Hugo a Gogo said:
it's taken you two years to notice?
No, I did notice and contacted them again (missed this bit from the OP) and they said payments would start effective April 2011...so I waited, and again nothing happened. Tried to contact them again and got no response.Not a great excuse but it wasn't high on the agenda to sort out during 2011 as my wife was pregnant with the twins and was very ill all throughout the pregnancy. I guess I just let it slip.
Why do you think you should be able to claim for interest on the amount you would have paid off over the past two years?
If this was an issue for you, then presumably you would have put the missed repayments into a savings account which would have generated interest equivalent to was the interest you're considering claiming.
If this was an issue for you, then presumably you would have put the missed repayments into a savings account which would have generated interest equivalent to was the interest you're considering claiming.
Dr Interceptor said:
You can contact the Student Loans Company and switch to a direct debit if you prefer... that way you can overpay (if you can afford to), clear it quicker and get rid of it.
It also means it takes away any onus from them or your HR department to sort it for you.
I thought you could only do that with the last few thousand? It also means it takes away any onus from them or your HR department to sort it for you.
I had a balls up with my student loan and had to pay the 2 years i'd missed back in a lump sum as well as the regular payments which were coming out of the account again. Not easy when you're saving for a wedding.
Get it sorted sooner rather than later to save the hassle.
davepoth said:
Ignore it. It's not like it's a proper loan in any case. I treat mine like a tax, and if HMRC can't pull their finger out and manage PAYE properly then it's their problem.
Whilst I am paying mine off via salary deduction (very sloooooowly), were I in the position of the OP, I would take this attitude. Beware - some of the younger student loans are a bit more viscious in their accrual of interest. I'd advise the OP checks his rate and his statements to see exactly how much it's costing him to do nothing. Like it or not the money is owed and will have to be repaid at some point.
Either pay it back direct to the SLC, or save an equivalent amount if you can better the interest rate (though you'll still be down for a long time since earning 2% on a few grand is nowhere near as much as costing 1.5% on several tens of grands) but either way, take charge.
It becomes an issue if you want to buy a house, finance a business or something.
Either pay it back direct to the SLC, or save an equivalent amount if you can better the interest rate (though you'll still be down for a long time since earning 2% on a few grand is nowhere near as much as costing 1.5% on several tens of grands) but either way, take charge.
It becomes an issue if you want to buy a house, finance a business or something.
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