UK to sell off 900-million-pound student loan portfolio

[Legal Beagles]

(Reuters) – The British government will announce on Monday it has agreed a deal to sell off a portfolio of student loans worth 900 million pounds, Sky News reported on Sunday, quoting people close to the situation. The loans will be offloaded to an unnamed private debt collection agency, the broadcaster said, saying they would […]

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[MIKE770]

Re: UK to sell off 900-million-pound student loan portfolio – report | Reuters

Time to give away the Government as they are worthless.

[enquirer]

Re: UK to sell off 900-million-pound student loan portfolio

The British government will announce on Monday it has agreed a deal to sell off a portfolio of student loans worth 900 million pounds.

Following which, I predict that this forum will be very busy indeed.

[strong123]

Re: UK to sell off 900-million-pound student loan portfolio

Omg. That's dreadful! Wonder which dc will get it.

[vinnie76]

Re: UK to sell off 900-million-pound student loan portfolio

I wonder what that means for people.....

[Amethyst]

Re: UK to sell off 900-million-pound student loan portfolio

Student Debt may be more vigorously chased by heartless DCA's with all the inherent problems and issues we see with any DCA claim.

It COULD mean student debtors could arrange full and final settlements with DCA's for a proportion less than the original debt.

APPARENTLY the £900m of debt has been sold for £160m

"Borrowers will remain protected and there will be no change to their terms and conditions, including the calculation of interest rates for loans."

''A consortium called Erudio Student Loans led by investment fund manager CarVal bought the book of mortgage style loans which were taken out by around 250,000 students between 1990 and 1998.

The price paid reflects the consortium's assessment of the proportion of loans likely to be paid back in full or in part, with the majority of the book in arrears or deferred. Of the loans sold, just 14% of borrowers are currently repaying their debts. Around 46% are earning below £28,775, the level at which the repayment threshold kicks in. ''

https://www.gov.uk/government/news/s...book-completed


''Erudio Student Loans is backed by a consortium led by CarVal Investors and Arrow Global Limited who are experts in consumer debt management.''

[teaboy2]

Re: UK to sell off 900-million-pound student loan portfolio

So basically the government has just washed it hands of what is in fact £740 million pounds of British tax payers money - No doubt the greedy DCA will be aiming to get the debts back in full, so will be looking at making at least a minimum of £400 million back on them that do pay or make settlements.

I find this waste of tax payers money to be shocking to be honest, why didn't the government enforce the debts by getting court orders to take affordable amounts per week/month from debtors salaries/wages and/or benefits? Instead of throwing £740 million of taxpayers money down the drain!

[enquirer]

Re: UK to sell off 900-million-pound student loan portfolio

So basically the government has just washed it hands of what is in fact £740 million pounds of British tax payers money...

Another report reveals that the total loan book is actually £40bn.
http://www.dailymail.co.uk/news/arti...ollectors.html