student loans pre 1998

[johnniegee]

Hi all,
I took out student loans from 1996 to 2001 and the Student Loans Company are asking for payment. I had not been in contact with them until they started harassing me last year. I told them that my loans were subject to the Limitation Act 1980 as they were taken out under the Consumer Credit Act but they have now threatened to send bailiffs to my home.
I did tell SLC that if they insisted on going to a court that to inform me of the date and I would appear there to argue my case. This seems to be ignored as bailiffs are due.
I would like to know if bailiffs can turn up at your door without SLC going to a court.
Also, as I have lost all the paperwork from those far off days, I would like to know if all my loans were covered by the consumer credit act as I had started in 1996 or are the 1998 onwards loans under a different system?

Thanks for you help.

[di30]

Re: student loans pre 1998

Hi there

Isn't there an earnings limit on when they start taking the payments?

I assumed they would be taken automatically through tax records through wages/

My son will have to repay his after his earnings hits the earnings limit of £15K.

However, as you have different circumstances due to the Limitation act I am not aware on how that works, but hopefully someone will be along soon who may have experience on how this works, good luck.

[Nibbler]

Re: student loans pre 1998

Do you really mean bailiffs or just debt collectors?

Bailiffs require that there is an unpaid CCJ already in place. Debt collectors can call without a CCJ, but they have no powers whatsoever.

Or has this already been to court for a CCJ? Then this could be the SLC (or whatever debt collector) applying for a warrant of execution so that bailiffs can be used?

And what exactly do you mean by "bailiffs are due".

We need to know in more detail what you have been told, or what formal notification of someone calling you have been sent.

Hi there

Isn't there an earnings limit on when they start taking the payments?

I assumed they would be taken automatically through tax records through wages/

Yes. About £15K as you say for pre 1998 loans.

But, no, they are not deducted from wages automatically. You have to defer repayment each year by declaring your income. If you fail to do that, then payments in full become due whether you are over the £15K. After 5 years of non-deferral, the full balance of the loans will have become payable and due immediately, with no further or back deferral possible.

Also, as I have lost all the paperwork from those far off days, I would like to know if all my loans were covered by the consumer credit act as I had started in 1996 or are the 1998 onwards loans under a different system?

Thanks for you help.

Yes. Loans from 1998 backwards are covered by the consumer credit act.

That may be something to look into, but SLC do have loan agreements archived from back then.

I think right now you first need to clarify whether there is a CCJ on these loans, and consequently what the current threats really mean.

If there is no CCJ and the debts are statute barred, then there is very little SLC or any debt collector can do. They should not be able to succeed in any fresh court action that is defended on the basis of the limitation act.