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Student loan and moving abroad

Former MemberFormer Member Posts: 1,876,323 The Mix Honorary Guru
edited March 27 in Work & Study
I've got a student loan, and when I finish this year, I plan to move abroad to be with my boyfriend.

I've had one person tell me that I won't be able to move until I've paid the loan off! <IMG alt="image" SRC="eek.gif" border="0">

I don't want to contact the students loan company in case they then stop my money or stop me from moving or something.

Thanks
Post edited by JustV on

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    Former MemberFormer Member Posts: 1,876,323 The Mix Honorary Guru
    Taken from the student loans website...this is for loans taken from 1998 - if you started before then...check their site http://www.slc.co.uk/index.html

    (The bottom bit is most relevant to you)

    Repayment - Overview

    Under the new student support scheme, you are liable to start repaying your loan from the April after you graduate or otherwise leave your course, and when your gross income exceeds £833.33 per month (£192.99 per week or £10,000 per annum). The majority of borrowers will have repayments collected by the Inland Revenue via the employer. So, repayments will be taken directly from your salary through the Pay As You Earn (PAYE) system. Alternatively, if you are subject to Self Assessment you will repay to the Inland Revenue via that method, or if you are outside the UK tax system you will repay directly to SLC.

    With the PAYE system, if your income falls below £833.33 in any month (£192.00 per week or £10,000 per annum), no repayments will be collected that month.

    Repayment will not be over a fixed period. Repayment details differ in that repayments will be calculated as a percentage of income above the £833.33 per month (£10,000 per month annum) threshold. This marginal income percentage is set at 9%. So, the level of repayments will rise or fall directly in line with your income. This means that the length of time over which you will repay your loan will depend on your income after graduation and on the total amount you have borrowed. See repayment examples.

    If you are self employed then you will have to complete a self-assessment tax return, which will include a mechanism for calculating student loan repayments.

    SLC will make alternative arrangements to collect repayments directly from you if you are outside the UK tax system.

    The interest rate is always based on inflation (Retail Prices Index). Prior to entering repayment interest is calculated daily at the appropriate rate from the day your loan is paid. The interest is added to your account every month. Once you enter repayment, and if you are either repaying through the PAYE system or Self Assessment, interest stops being applied until details are received from Inland Revenue. Interest will be applied retrospectively, dependent on your repayment method.

    You can pay off your loan more quickly by making extra repayments, even if you do not earn £833.33 per month (£10,000 per annum) or before your start date for repayment.

    If you have taken more than one course of higher education and borrowed under the previous mortgage-style scheme and the new student support scheme you will be expected to repay both types of loan simultaneously (unless you are a PGCE borrower - please see repay both types of loan).

    Repayments on any loan that are not yet due will be cancelled if you die. If you have kept up your repayments, any loan you still owe will be cancelled when you reach 65 or if you become permanently disabled.

    If you plan to leave the UK after you graduate or stop attending your course you will need to let us know in sufficient time so that we can make arrangements for you to deal direct with SLC. Please note that we will only take instructions from someone else if they have been granted power of attorney, that is, if they have the legal right to act on your behalf.

    If you have a query please call:

    SLC customer helpline on 0141 204 5605

    If you are still worried about contacting them - speak to your student advice office (usually in the union building) who should be able to help.

    Good Luck
    Susie

    <IMG alt="image" SRC="smile.gif" border="0">
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    Former MemberFormer Member Posts: 1,876,323 The Mix Honorary Guru
    thanks <IMG alt="image" SRC="smile.gif" border="0">
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