Student loans

[Orange78]

What happens if during my IVA my salary reaches the threshold that means I have to pay back my student loan, can it be counted as a monthly expense?

[catullus]

Yes it can, Orange78, assuming that Student Loan Company was not treated as a creditor in your IVA which is usually the case.

[Oliver]

The overflow on your income would then be used to pay the Student Loan contribution within your budget or direct from your pay.

Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

[iva experts]

Hi Orange,

As your income would have increased the student loan payment would be offset to the increased income, hence cancelling each other out.

Best Regards,
IVA Experts
http://www.iva-experts.co.uk/

[Orange78]

Thank you, all. [^]

[DevonLassie]

Hi

Since we're on the subject of student loans! can anybody tell me how long it took for the SLC to stop deducting student loan payments once their IVA was approved?

My IVA was accepted in July and the SLC are stiil taking payments from me despite being included in the IVA. My IP did warn me it often took a while for the payments to stop but I can't help thinking that the SLC are being cheeky sods and dragging their feet just to get more money out of me!

Devonlass

[Oliver]

If they are included in the IVA they should stop immediately. Ask your IP to contact them asap and insist that they stop deducting this money.

Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

[MelanieGiles]

That is easier said than done Ollie. We generally speak to them every week about this sort of thing, and it still takes five months to get the money back.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[ray_a]

Thanks for the thread I have learn't something today!

Wasn't sure that IVA's would cover that aspect!

[Oliver]

Is it possible for the employer to block this deduction Mel?!!

Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

[MelanieGiles]

Not really, as most people undertaking IVAs would not wish their employers to know about their circumstances, and the employer is merely there to carry out the Court Order and not get involved with which process takes precedence - IVA or Attachment. Although this all seems a little irritating, the debtor is unaffected until it is sorted out, as the IP will adjust payments to reflect that monies are continuing to be paid to Student Loans.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[Lula]

Funny enough with me they took 1 payment and then my IP sorted it and they have took another one since!

[DevonLassie]

Thanks everybody for your replies.

I think it must just be down to pot luck with regards to how quickly the deductions stop!It's in no way my IP's fault.

Like Melanie has said I am paying reduced IVA payments at the moment to take into account the fact the SLC are still making deductions. It just bugs me that they are taking money for themselves which is supposed to be going towards all my creditors!

Do they have to pay back any payments they received after the IVA approval,i.e. refund it back to my IP?

[MelanieGiles]

Most definately they do - and this money is then added to the IVA fund and is distrubuted equally amongst the creditors.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp