The Student Room Group

Student Finance England Refuse to fund me due to arrears on account

I’m currently on a part-time PGCE course that would normally be eligible for funding. However when I tried to apply for student finance through my online account I could only proceed so far before a message appeared on screen directing me to phone Student Finance England on a certain telephone number. I did this and the operative at Student Finance England told me that I had been put through to the debt department at Student Finance England. There was no information on record with Student Finance England about my debt and they have had no communication from the student loan companies (I have old-style mortgage student loans). The debt on my account is because I failed to submit two deferment letters in 2017 and 2018. This was due to having to act as a carer for an elderly relative that involved moving house at short notice and a lot of stress. I initially tried to explain to Student Finance England my situation in 2019 and demonstrated that I was under the threshold for payment by sending in tax statements with the missing deferment letters but instead they forwarded my communication to one of the loan companies, Erudio. Erudio tried to make me sign up to an agreement to pay back arrears due to my missing deferment letters but I refused to do this. The arrears are now statute barred but I am now in the position of never being able to access funding again. I have made an initial appeal to Student Finance England and wondered what my chances of getting this decision overturned are. I’ve read conflicting information as the statute barred nature of these debts/arrears may mean that Student Finance England aren’t allowed to prevent me from receiving funding. I also thought it was odd that there is no information on my account about the debts.

Reply 1

Hi there,

So just to confirm we have said you are no longer eligible for funding due to arrears on your account? When did you submit an appeal and how did you submit the appeal to us?

Thanks, Drew

Reply 2

I submitted an appeal via email 2 December and received this response on 3 December:
“Thank you for contacting the Formal Appeals department. Based on the contents of your correspondence, the Formal Appeals team are not theappropriate department for you[…].”
I then immediately resent my appeal and stated that I didn’t think that my original appeal was fully read and understood. I then received this response on 5 December:
“Thank you for contacting the Formal Appeals department. Please considerthis email as acknowledgement that your appeal has been registered.Please note that appeals are worked in received date order, and we arecurrently experiencing a high volume of cases which has impacted ourresponse times. Your case handler will contact you once they have been assigned and reviewed your case.”
I’ve never been officially informed that I am ineligible for any further funding from Student Finance England via letter. However when trying to apply for funding for my PGCE through my online account I am unable to proceed as this message appears:
“To continue with your application please contact us on 0300 100 0632
We need to discuss some of your details with you before you can continue.”
I rang this number and the operative said that I needed to discuss my situation with the companies who purchased my student loan as Student Finance England didn’t have any information about my arrears. I was told that I would need to ask about the status of my account. The advice I’ve received from debt charities is that any arrears (due to not submitting deferment letters) are now statute barred due to the amount of time that has lapsed.

Reply 3

Original post
by CeeCee75
I submitted an appeal via email 2 December and received this response on 3 December:
“Thank you for contacting the Formal Appeals department. Based on the contents of your correspondence, the Formal Appeals team are not theappropriate department for you[…].”
I then immediately resent my appeal and stated that I didn’t think that my original appeal was fully read and understood. I then received this response on 5 December:
“Thank you for contacting the Formal Appeals department. Please considerthis email as acknowledgement that your appeal has been registered.Please note that appeals are worked in received date order, and we arecurrently experiencing a high volume of cases which has impacted ourresponse times. Your case handler will contact you once they have been assigned and reviewed your case.”
I’ve never been officially informed that I am ineligible for any further funding from Student Finance England via letter. However when trying to apply for funding for my PGCE through my online account I am unable to proceed as this message appears:
“To continue with your application please contact us on 0300 100 0632
We need to discuss some of your details with you before you can continue.”
I rang this number and the operative said that I needed to discuss my situation with the companies who purchased my student loan as Student Finance England didn’t have any information about my arrears. I was told that I would need to ask about the status of my account. The advice I’ve received from debt charities is that any arrears (due to not submitting deferment letters) are now statute barred due to the amount of time that has lapsed.

Hi there,

Just to advise the current timescale for appeals to be reviewed is 40 working days at present. The automated email is confirmation your appeal has been sent to the department. The team will review and determine your eligibility accordingly.

To clarify as well, have you spoken to the company who purchased the debt and what have they advised? Thanks, Jason

Reply 4

My student loans are with Thesis and Erudio as these loans were sold off by the government in 2013 although my deferment letters are sent to the student loans company. Thesis had sold my arrears to a company called Link. I have sent them a letter stating that the debt is statute barred as advised by debt charities and have not had a response to this. With Erudio, the Student Loans Company sent them the correspondence relating to my missing deferment letters and I was then contacted by them in 2019 as they wanted me to set up a payment plan which I didn’t respond to. I have never been approached by this company about these arrears since that time. I have only received statements about my arrears and a letter stating that they had made errors to do with my account by wrongly applying interest to it when they shouldn’t have. The arrears with Erudio will also be statute barred as it is six years since my correspondence was sent to them by the Student Loans Company. It is a complex situation due to the nature of these old style student loans.

Reply 5

Original post
by CeeCee75
My student loans are with Thesis and Erudio as these loans were sold off by the government in 2013 although my deferment letters are sent to the student loans company. Thesis had sold my arrears to a company called Link. I have sent them a letter stating that the debt is statute barred as advised by debt charities and have not had a response to this. With Erudio, the Student Loans Company sent them the correspondence relating to my missing deferment letters and I was then contacted by them in 2019 as they wanted me to set up a payment plan which I didn’t respond to. I have never been approached by this company about these arrears since that time. I have only received statements about my arrears and a letter stating that they had made errors to do with my account by wrongly applying interest to it when they shouldn’t have. The arrears with Erudio will also be statute barred as it is six years since my correspondence was sent to them by the Student Loans Company. It is a complex situation due to the nature of these old style student loans.

Hi there,

If you haven't heard from the company it may be best calling them to query this further.
Appeals will be in touch if you have made one, and the timescale Drew advised is correct for the response.

Thanks,
Claire

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