If you took out a student loan while on a university or college course that began before September 1998, you will repay in monthly instalments. These instalments will usually be collected by direct debit from your bank account and paid to the Student Loans Company.
If you have four or fewer loans for courses beginning before 1998, you will repay your loan in 60 monthly instalments. If you had five or more loans, you repay in 84 monthly instalments. The monthly repayment amount is calculated on the basis of the total amount borrowed, plus interest (based on the rate of inflation), divided by the total number of months over which you repay.
Interest is calculated daily from the point at which your loan is paid to you, and is added to your account every month until the loan is repaid in full. From 1 September 2008 to 31 August 2009, the interest rate is 3.8 per cent. How much you still owe will be outlined on your annual statement, sent to you by the Student Loans Company.
Under certain circumstances the Student Loans Company may cancel your liability to repay your loan, for example, if you are not behind on any repayments for a student loan and were under the age of 40 when your last agreement for a student loan was made and you reach the age of 50.
Cancellation of your loan may also apply if your last agreement for a student loan has been outstanding for no less than 25 years or you were aged 40 when your last agreement for a student loan was made and you reach the age of 60.
If you are permanently unfit for work and can provide evidence to show that you receive disability related benefit the Student Loans Company may also be able to cancel your liability to repay your loan.
If you earn under a certain amount, you may be eligible to defer (postpone) your student loan repayments. For more information please see the “deferring your loan” section.
If you want to view your current balance and repayment details or make a payment towards your loan(s), please login to the secure site. You will need your Customer Reference Number (formerly known as ART ID), and your security details to login.
