Paying Off Uk Student Loan

[GreenLeaf]

I think if you're not earning over a specific amount, then you don't have to pay... at least that's the rule if you're in the UK and, for example, earning less than the threshold so assume it would be the same if you were abroad. Not sure what proof they'd requite about lack of earnings though and you will be accruing interest (though at a lesser rate than most debts) whilst the amount owed stays the same so depends on your plan in the long term. I think it's 30 years before they cancel it isn't it?

 

[grggry]

Hello nkotb

A few months after you graduate, the loan provider starts to take a small percentage of your income each month. If you earn below a certain threshold, or if you are unemployed, the payments are suspended until you are earning an amount deemed sufficient, which varies depending on exactly when you took out the loan. In any case, they want evidence of your financial situation, and in my experience they've been quite persistent in getting it. They also vary the threshold depending on where you are living, based on the country's average wage.

This is why I'm curious as to what other expats do, because in my own experience (although obviously not everyone's!) they've wanted evidence in the form of pay slips and/or bank statements, although there are enough educated UK expats living in Argentina on a tourist visa for me to think there must be a way round it.

 

[grggry]

Hi GreenLeaf

I'm not too concerned about the interest piling up. My student debt is about as high as it can be for someone of my age and I don't have high-earning skills, so I know it will almost certainly just get written off at some point.

I'm more worried about not being able to provide any proof of earnings or savings, and them taking large payments from my UK account, which won't be being replenished! I suppose the other option would be some sort of proof of study, but I'm not sure how many hours a week they expect you to do in order to not require payments.

 

[sesamosinsal]

Interesting. So, what if you just tell them that you're not making any money at all? This will likely be the case at the beginning, anyway? How can you have proof of income if you don't have any at all?

Perhaps you could draft a document that says you're here in Argentina and you're currently unemployed. This could be verified by the type of visa you have when entering the country -- you're a tourist. You don't have permission to work here legally. You have a notary public here verify this, and notarize the letter. It seems like a bit much, but surely that would suffice? What does everyone else think?

 

[glasgowjohn]

Its almost impossible to send money to the UK by official channels with the current legislation. This may change after the October elections.

But dont count on it....

 

[Steph170]

I have a student loan- they have never taken money out of my account if I earn less than 15K a year...so if you aren't earning or are earning less than 15k then they shouldn't take money out. Have you been asked to prove your status whilst between employment? Will you be declaring as self employed to thr UK if you get a job here or just not declare as if you were travelling?

 

[glasgowjohn]

Might it not be easier to say that you are continuing your education here?

And that you will advise them when you are in full employment.

 

[Juantime]

We paid our debts before coming over. Putting some money towards them will show willing. Running away from them will mean they will mount higher than you would like and will remain a constant stress. Remember, you took these debts.

Imagine a loved one getting ill and you needing to return. You'll be in for it then.

 

[grggry]

The only time I stopped making payments was when I went back to full-time education and they required evidence of this. Depending on how my situation pans out, one of the things I may do in BA is a fairly intensive language course so I might be able to get around it that way if the hours are enough or the confirmation of my enrolment is vague enough to make it sound like a full-time course. I'm not sure what they would do if I said I was unemployed in Argentina - if I were here in the UK at least they would require evidence. I think if I'm not earning and not in receipt of any benefits they would then ask how I am living, although maybe they're not as determined as I'm imagining.

Running away from them will mean they will mount higher than you would like and will remain a constant stress. Remember, you took these debts.

I'm not trying to run away from any debts though. I'm trying to figure out how I can offer evidence so that I am paying the correct amount. I'm entitled to not pay if I earn below a certain amount, as per the loan agreement.

Imagine a loved one getting ill and you needing to return. You'll be in for it then.

I don't understand what a loved one getting ill has to do with my student loan.

 

[syngirl]

The only time I stopped making payments was when I went back to full-time education and they required evidence of this. Depending on how my situation pans out, one of the things I may do in BA is a fairly intensive language course so I might be able to get around it that way if the hours are enough or the confirmation of my enrolment is vague enough to make it sound like a full-time course. I'm not sure what they would do if I said I was unemployed in Argentina - if I were here in the UK at least they would require evidence. I think if I'm not earning and not in receipt of any benefits they would then ask how I am living, although maybe they're not as determined as I'm imagining.



I'm not trying to run away from any debts though. I'm trying to figure out how I can offer evidence so that I am paying the correct amount. I'm entitled to not pay if I earn below a certain amount, as per the loan agreement.



I don't understand what a loved one getting ill has to do with my student loan.

I believe what is being implied is that a loved one gets ill, you charge a bundle to your credit card to fly back home -- because your pesos are worthless and as a foreigner you'll have to buy at USD value anyway -- so you arrive back home rather penniless and get flagged coming through, and soon enough your loan officer will be on your doorstep waiting for you to pay up.

Not sure how it works in the UK but in Canada they are getting quite strict about these things and are attempting to pass more info to Canada Customs so that those with debts get flagged as they pass through immigrations.