Anika Posted May 4, 2012 Share Posted May 4, 2012 Hi, I'm intending, visa being approved on time, to be leaving for Australia at the end of September/beginning of October this year. However, I still have a substantial amount of my student loan to pay off. I know that I have to contact the SLC prior to leaving to let them know my plans but I was just wondering if anyone knows the simplest/most hassle free way of paying my loan back once I have a job, as at the moment it automatically gets taken out of my wages but obviously this won't work once I am in Oz due to the currency etc. Any advice would be appreciated. Thanks Link to comment Share on other sites More sharing options...
Jit7 Posted May 4, 2012 Share Posted May 4, 2012 I'm interested in the answer to this question too Link to comment Share on other sites More sharing options...
Guest sabink Posted May 4, 2012 Share Posted May 4, 2012 Ditto Link to comment Share on other sites More sharing options...
baz80 Posted May 4, 2012 Share Posted May 4, 2012 Hi, I am currently in Oz and paying off a UK student loan. Once I arrived in Oz and had been working for a few months I filled out an student loan overseas income assessment form and sent this to the student loans company with evidence of salary. They then calculated how much I would need to pay them on a monthly basis. I do this via direct debit from my uk account but it does mean I periodically need to transfer money back to the uk. Be warned that due to the current exchange rates the amount you pay back each month is likely to be significantly more than what you were paying in the uk. I guess the plus side is you get your loan paid off quicker. Hope that helps Barry Link to comment Share on other sites More sharing options...
StevieF8 Posted May 4, 2012 Share Posted May 4, 2012 Info for Pre 2012 student loans here (bottom of page) http://www.direct.gov.uk/en/EducationAndLearning/UniversityAndHigherEducation/StudentFinance/Gettingstarted/DG_199403 Link to comment Share on other sites More sharing options...
Anika Posted May 5, 2012 Author Share Posted May 5, 2012 Hi, I am currently in Oz and paying off a UK student loan. Once I arrived in Oz and had been working for a few months I filled out an student loan overseas income assessment form and sent this to the student loans company with evidence of salary. They then calculated how much I would need to pay them on a monthly basis. I do this via direct debit from my uk account but it does mean I periodically need to transfer money back to the uk. Be warned that due to the current exchange rates the amount you pay back each month is likely to be significantly more than what you were paying in the uk. I guess the plus side is you get your loan paid off quicker. Hope that helps Barry Thanks for that :-) How did you let the SLC know that you were leaving? Did they tell you to fill in the overseas income assessment form after you'd found a job or how does it work? Also, did they ask you to prove that you had any savings/money to tide you over until you'd found a job? I'm moving over with my husband so hopefully once we both have jobs the payments won't be too bad. Link to comment Share on other sites More sharing options...
baz80 Posted May 6, 2012 Share Posted May 6, 2012 Hi, I didn't initially let the SLC know when I was leaving. After working over here for a few months I contacted them and was told to fill out the overseas income assessment form. I think you only need to pay the SLC if you are working so they are not interested in what savings you have. My OH also has a UK student loan but she has not yet sent them an overseas income assessment form. We have been in Oz for a year and consequently she has not made any repayments despite working. Its one of those things that we intend to do but keep forgetting to do it. The SLC have our address and sent through our statements but do not seem to hound her for repayments. If I were you I would just do what I did - make the move out here and work for a bit until your financial situation is more settled and then contact them about repayments. Cheers Barry Link to comment Share on other sites More sharing options...
newjez Posted May 7, 2012 Share Posted May 7, 2012 It's funny because I've never paid my hecs debt while I've been in the UK. Whenever I work in Oz it gets paid, but for the UK, I never bothered. No one ever hassled me about it. It'll probably get written off soon, as it was quite some time since I was at uni. Link to comment Share on other sites More sharing options...
nic75 Posted May 7, 2012 Share Posted May 7, 2012 From experience (my son has moved to Oz and has a student loan) the SLC will send a letter to your last known address, he changed to our address before he left. They asked for current financial situation and advised him that if he did not reply he would be fined. He was travelling at the time and was able to have his loan deferred for a year. Link to comment Share on other sites More sharing options...
Guest MM Marc Posted May 7, 2012 Share Posted May 7, 2012 The SLC caught up with me on Aus after 1 year of not repaying. I just payed the £246 default amount as it was lower than 9% above the threshold because of the work I was doing. Send everything to the SLC by recorded delivery as they have a natural ability to misplace everything you send them........... Here is a link to the income thresholds for various countries. http://www.studentloanrepayment.co.uk/portal/page?_pageid=93,6678668&_dad=portal&_schema=PORTAL Newjez if your loan was pre 1998 and you have not repayed or acknowledged the debt for 6 years then it should already be frozen under the Limitations act once 6 years pass it is "statute barred" effectively you get off free! Link to comment Share on other sites More sharing options...
Gethsemene Posted May 8, 2012 Share Posted May 8, 2012 It works out roughly if you earn more than $75k it is cheaper to send earnings, otherwise pay the default.... Link to comment Share on other sites More sharing options...
Guest DMDM Posted August 17, 2012 Share Posted August 17, 2012 I filled in the overseas income assessment form before I left the UK. I left a UK bank account open and for about 2½ years the SLC took direct debits from it without problems. They stopped taking direct debits (although there's still one set up) without warning and the SLC haven't been in touch to work it out. Am I supposed to submit an overseas income assessment form every year? If so why did they take payments for more than a year? Why would they just stop? Thanks Link to comment Share on other sites More sharing options...
Katiem Posted August 17, 2012 Share Posted August 17, 2012 I've been reading up on student loans as I still owe a fairly hefty amount and to me, it looks like there are some good benefits to paying it off from abroad. My main annoyance with the SLC system in the UK is that though it gets taken from your pay each month, they only deduct the money from your balance at the financial year end. So throughout the year, you are accruing interest on an old balance whilst they are earning interest on your money!! :mad: From abroad, the deductions are made monthly as and when you pay so interest should reduce and the total should be paid quicker. The thresehold for earnings in Australia is equal to the thresehold in UK from what I've read to so though average salaries are higher (with higher cost of living), monthly student loan payments should also be higher. Link to comment Share on other sites More sharing options...
nic75 Posted August 17, 2012 Share Posted August 17, 2012 A word of warning for those on the old style loans - the debt book has been sold on and I'm sure they "new owners" will chase with renewed vigour. Link to comment Share on other sites More sharing options...
Guest Posted August 17, 2012 Share Posted August 17, 2012 It's funny because I've never paid my hecs debt while I've been in the UK. Whenever I work in Oz it gets paid, but for the UK, I never bothered. No one ever hassled me about it. It'll probably get written off soon, as it was quite some time since I was at uni. You don't have to pay a hecs debt back if living and working outside of Aus from what I understand with my husband. But you do accrue interest on it still. And once you return to live in Aus (and are employed there) you'll have to continue repaying it. They don't write it off afaik, we looked in to it. Hubby hasn't paid anything toward his as he has been in the UK for 6 or 7 years now but knows when we return to Aus next year he'll have to start repaying. You can choose to pay from overseas but its not something you *have* to do. Link to comment Share on other sites More sharing options...
Anika Posted August 17, 2012 Author Share Posted August 17, 2012 A word of warning for those on the old style loans - the debt book has been sold on and I'm sure they "new owners" will chase with renewed vigour. What are "old style loans"? I went to uni between 2003 and 2007, does that mean I have an old style loan? Link to comment Share on other sites More sharing options...
bell123321 Posted August 17, 2012 Share Posted August 17, 2012 I think it is loans before 1998? Link to comment Share on other sites More sharing options...
nic75 Posted August 17, 2012 Share Posted August 17, 2012 Yes, it's loans before 1998 but not sure if it includes 1998. Link to comment Share on other sites More sharing options...
Ric Perry Posted September 23, 2013 Share Posted September 23, 2013 Newjez if your loan was pre 1998 and you have not repayed or acknowledged the debt for 6 years then it should already be frozen under the Limitations act once 6 years pass it is "statute barred" effectively you get off free! What's this about the limitations act? Sorry i?m new to Law. My parents just received a letter from the SLC after I moved to Switzerland in 2006 - I moved to Oz about 8 months ago. Link to comment Share on other sites More sharing options...
dmjg Posted September 23, 2013 Share Posted September 23, 2013 It's funny because I've never paid my hecs debt while I've been in the UK. Whenever I work in Oz it gets paid, but for the UK, I never bothered. No one ever hassled me about it. It'll probably get written off soon, as it was quite some time since I was at uni. Its linked to your tax file number which you have for life in Australia. They'll get it, if you come back. they got me after being away for 9 years Link to comment Share on other sites More sharing options...
newjez Posted September 23, 2013 Share Posted September 23, 2013 Its linked to your tax file number which you have for life in Australia. They'll get it, if you come back. they got me after being away for 9 years It's not enough to worry me. A years contracting put a big dent in it. Link to comment Share on other sites More sharing options...
lebourvellec Posted September 23, 2013 Share Posted September 23, 2013 A word of warning for those on the old style loans - the debt book has been sold on and I'm sure they "new owners" will chase with renewed vigour. Pre 1998 loans were sold to company called thesis lending. These loans can be defered if not make the minimum threshold salary. After 25 years they are cleared. Link to comment Share on other sites More sharing options...
lebourvellec Posted September 23, 2013 Share Posted September 23, 2013 Yes, it's loans before 1998 but not sure if it includes 1998. No loans taken out after in 1998 are still looked after by SLC, but all loans are under the old system. I have 1 from 1997 then others from after they all paid back under old system. Link to comment Share on other sites More sharing options...
lebourvellec Posted September 23, 2013 Share Posted September 23, 2013 What's this about the limitations act? Sorry i?m new to Law. My parents just received a letter from the SLC after I moved to Switzerland in 2006 - I moved to Oz about 8 months ago. Loans under the pre1998 system were subject to the consumer credit act 1974, therefore if the debt has not been acknowledged in the last 6 years (5 years in Scotland) the debt can be claimed as statuted barred. Link to comment Share on other sites More sharing options...
walkerfamily123 Posted September 23, 2013 Share Posted September 23, 2013 They use a calculation to let you know what payments need to be made. for 2012 they have AUD - GBP exchange 0.643819 Therefore if you earned $60,000 in Aus it would be equivilent of 38629.14 pound Then you get a tax free threshold of 15795 Take one from the other and you have to pay 9% of the difference back per year (Therefore 2055.07....or 171.25 per month) I found that the best way to do it was to pay a years worth in a lump then save the AUD each month and wait for a good exchange rate to transfer a years worth at once. You can set it up to transfer from and australian bank but the exchange rate will change from month to month. Link to comment Share on other sites More sharing options...
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