Students warned that foreign move won't absolve them from loan debt
As British graduates increasingly look overseas for their first job after gaining their qualifications, they have been warned that they should not expect to be able to escape their student loan payments.
The Telegraph reports that failing to keep the Student Loans Company informed about their whereabouts, and failing to keep to repayment schedules could lead to people being pursued for their debts.
Individual countries set 'default' payments on student debts, and the article points out that these could be much higher than those under people's existing arrangements.
In addition, the thresholds at which payments start vary. While an ex-student must be earning £21,000 in the UK before they have to start paying back their debt, the Telegraph says that in India, this lower level is just £8,400.
Kevin O'Connor, head of repayment at the Student Loan Company, said: “There are penalties for borrowers who don’t keep in touch with SLC or provide the required information..
“Where the borrower still does not contact the SLC, arrears will be calculated so that the legal process can begin. Experience shows that many students respond at this point but, where they don’t, court action will be taken."
The Student Loans Company website, www.slc.co.uk, contains an overseas income assessment form, along with details of income thresholds which apply in many countries.
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