Maximum Loan Rates
Part of these loans are means tested and there are exceptions to these rates. Students should contact their local award authority for full details.
Interest rates for income based loans
Student Loans Company will apply a 1.5% interest rate from 1 September 2010 across the UK.
Between 1 September 2010 and 31 August 2011, the interest rate may change because it is linked to the rates charged by high street banks. The rate will be the lower of the Retail Price Index (RPI) in March 2010, or 1% above the highest base rate of a nominated group of banks. The maximum rate of interest that may be charged between 1 September 2010 and 31 August 2011 is 4.4%; this was the RPI in March 2010.
Our customers monthly repayments are unaffected by the rate of interest. Customers with income based loans repay 9% of their earnings that are above the income threshold of £15,000.
Interest rates for fixed term loans
Fixed term loans were taken out before 1998. They do not attract the same rate of interest as income based loans. They are repaid over a fixed term (also known as 'mortgage-style') and the interest is linked solely to the RPI.
The interest rate from 1 September 2010 - 31 August 2011 will be 4.4%.
Previous interest rates
For previous interest rates go to Historical Interest Rates.
Take Up Figures 1991-2005
Useful figures on the take up of loans in the period 1991-2005.
Mortgage Style Loans Only
Students who started in higher education before September 1998 would have taken out a fixed-term (mortgage style) loan. Repayment of this type of loan can be deferred on a yearly basis if the repayers' income is below 85% of the national average. Find out more about the deferment threshold and maximum loan available.
Income Contingent Loans - Transition Loan Scheme
Details of the Income Contingent Loan Scheme covering the period 1998/1999.