The government has vowed to undertake a revamp of the current student loans repayment system.
Furthermore, from April 2020, the payment threshold will increase. Graduates will therefore, only be required to start paying back their loan if they earn over £26,575 per year.
In a move designed to modernise the system, the government intends to introduce a new online repayment service. Thus, providing graduates with ‘up-to-date balance information’.
Graduates are also being urged to switch from salary deductions to direct debit. More so, towards the end of their student loans in order to prevent them from over-paying.
Commenting on the review, Chris Skidmore, Universities Minister, said: ‘With more and more people enjoying the benefits of a university education, it’s only right that graduates have easy access to the information they need about repaying their student loan.
‘I urge all graduates to use this new service and to join the direct debit scheme as they approach the end of their loan to ensure a smooth end and not repay more than they should.’
If you are needing any assistance with payroll as whole. Contact us today, our dedicated team are happy to help.