Repaying your student loan 2018/19

Normally you don’t have to repay your loan until you’ve left your course and your income is over the UK repayment threshold which is currently twenty one thousand pound a year This is expected to change to twenty five thousand pound a year, two thousand and eighty three pound a month or four hundred and eighty pound a week from sixth April twenty eighteen

The amount you repay each month is based on your income, not how much you borrowed! Here’s how you’ll repay your student loan in three easy step If you’re a full-time student, you’ll be due to start repaying your loan the April after you leave your course If you’re a part-time student, you’ll be due to start repaying the April four years after the start of your course or the April after you leave your course, whichever comes first You’ll repay 9% of your income over the repayment threshold If your income changes, either rising or falling, your repayment amounts will change to reflect this If you stop working, your repayments will stop until you start working again and your income is over the threshold

If you’re employed, your employer will take your repayments directly from your salary along with tax and National Insurance If you’re self employed, you’ll make repayments directly to HM Revenue and Customs at the same time you pay tax If you go overseas, you’ll have to repay your loan directly to us so make sure you let us know before you go After the end of the tax year, HMRC tell us how much you’ve repaid and we’ll send you a statement showing your repayments and any interest added to your account You‘re charged interest from the day your first payment is made until your loan is repaid in full or cancelled

The interest rate is based on the UK Retail Price Index, and will vary depending on your circumstances For more information on repayment, go to wwwslccouk/repayment