University fees.... what happens when....?

[Corsair7]

What would happen when an ex student with large debts gets declared insolvent or bankrupt?

Would they potentially be able to no longer repay their dues?

[ninja-lewis]

Currently student loans are non-provable hence still need to be repaid following graduation.

[Corsair7]

ninja-lewis said:

Currently student loans are non-provable hence still need to be repaid following graduation.

Ah, thanks for clarifying. Good to know.

[TeamD]

ninja-lewis said:

Currently student loans are non-provable hence still need to be repaid following graduation.

So what's that mean then? Is it a government con like you always owe you income tax even if you've been sent to prison for not paying it?

[shirt]

there used to be a loophole whereby declaring yourself bankrupt would wipe out the debt. this was closed before i graduated [2003] and given the infancy of the SLA at the time there must have been a fair few who took advantage!

[youngsyr]

shirt said:

there used to be a loophole whereby declaring yourself bankrupt would wipe out the debt. this was closed before i graduated (2003) and given the infancy of the SLA at the time there must have been a fair few who took advantage!

I doubt it, student loans were capped at around £3K per year back then, IIRC. Hardly worth declaring yourself bankrupt over £9K-£12K of soft loans in a booming economy.

[shirt]

£4.5k was the max. iirc. that's £22.5k studying medicine, £27k if architecture.

i take your point, but it was a very well known fact at the time that bankruptcy wiped out the loan. also, the booming economy allowed many to take a gap year and thus spend a year of the bankruptcy period not caring about good financial credentials.

[youngsyr]

shirt said:

£4.5k was the max. iirc. that's £22.5k studying medicine, £27k if architecture.

i take your point, but it was a very well known fact at the time that bankruptcy wiped out the loan. also, the booming economy allowed many to take a gap year and thus spend a year of the bankruptcy period not caring about good financial credentials.

Do medics and architects pay full fees for their entire course?

Medics are essentially interns from 4th year onwards aren't they - I'd be surprised if they're paying full tuition fees on that basis?

It wasn't £4.5k maximum pre-2003 from memory either. I graduated in 2002 and took a full loan in each of my four years. I didn't leave with £18k of debt, that's for sure.

[shirt]

4yrs and £17.5k here, and that's with the reduced payment in the final year. seemed like a fortune at the time but wouldn't cover half of the tuition fees these days!

it's semantics anyway, there must have been a sufficient number of scammers for them to close the loophole.