80% Of Women Graduates 'won't Repay Loan' After Tuition Fees Rise

[THE BALD MAN]

can't see this posted,think it's a day or two old.

http://www.dailymail.co.uk/news/article-1370998/Tuition-fees-rise-80-women-graduates-wont-repay-loan.html#ixzz1HzG2gZog

'Around four in five female graduates will never repay their student loan under the Coalition’s new tuition fees regime, it emerged yesterday.

An analysis of the student loan system shows that middle-income men who will finally pay-off their loan at the age of 47-50, will bear the brunt of the cost of higher education.

The figures show that between 70 and 80 per cent of women – up to 150,000 a year – will never repay their full loan, compared with 20 to 30 per cent at present. And when loans are written off, 30 years after graduation, the average woman will still owe £26,500.

Under the new regime, graduates will not have to pay off their loan until they earn £21,000 and women will not have to pay anything when they take time off to raise children.

Many women do not see their earnings rise above £21,000 after childbirth. The analysis found that, overall, students will take 14 or 15 additional years to repay their debts after the cap on tuition fees increases to £9,000 in 2012 – some 24 years in contrast to the current average of ten.

Between 30 and 40 per cent of men will not repay their full loan, compared with less than 10 per cent today. The analysis – by the consultancy London Economics based on official statistics – found that the fees increase will result in 45,000 fewer students going to university.

- Leeds Metropolitan University, a former polytechnic that is ranked only 99th in a table of English universities, yesterday announced that it will charge tuition fees of £8,500 a year.

- Reading University said it would charge £9,000 while Liverpool University is expected to agree the same amount tomorrow.'

Oh joy of joys another disaster noone can see coming.

Its just a window dressing scheme to take government borrowings off balance sheet . These loans will not be repaid.

[PopGun]

Its just a window dressing scheme to take government borrowings off balance sheet . These loans will not be repaid.

Indeed. Willets needs to get his thinking cap on, or simply just come clean.

[ydbc]

We know of two students who intend emigrating after graduation, not only for a "better" life but because they believe that they will not be chased for loan repayments after they are out of the UK tax system.

If they are correct, does this mean that we could be educating millions of students for the ultimate benefit of other countries? What a huge debt burden this will be upon the tax payers.

[Si1]

this is a non-story, it was always intended that the loans would be repayed out of commercial intyerest rates levied on higher earners, and that mid to low earners would not have to repay in full

it is progressive, see, it is a nice idea, it protects the poor and allows them to get an education without risking everything

[leicestersq]

Under the student grant model of education, you had free tuition fees and a small grant, that was it and it was done and dusted.

It was efficient because only a few people had access to it, you needed to be less well off, and get good A levels, which were tough once upon a time. Tuition fees were free for all students, but there just werent so many students.

Now we have to pay for a bureaucracy to manage this monster, and we lend not just to the poor but everyone at a non-competitive rate, even the rich load up on it. And there are many more students using it too.

Net result, massive complex system that gets scammed by students and universities alike, not to mention a few fat cats who run the payments system. And in return for this we get a load of grads for whom we either have public sector jobs or low wage jobs, meaning they drain the private sector even more or just never repay. Those who have learned anything at university will, as someone pointed out earlier, scarper abroad for their working lives.

What a mess.

I cant help think that we should either go back to the old system of very few university places for 18 year olds, or just have no state assistance at all after 18, let the market sort it out. It has to be worth a try.

[Democorruptcy]

100% of those who move abroad won't pay.

[leicestersq]

100% of those who move abroad won't pay.

I dont think you are right. I am sure that there is a way of collecting this debt from those working in the European Union at least. It might be enforceable in other countries too.

Can anyone confirm this?

[retz]

I dont think you are right. I am sure that there is a way of collecting this debt from those working in the European Union at least. It might be enforceable in other countries too.

Can anyone confirm this?

Well, I always live under assumption that if you have a bank account, they can enforce whatever they want.

[aa3]

Its another example of bankers becoming middle men where they weren't before. And extracting wealth while adding nothing.

[Jack's Creation]

I dont think you are right. I am sure that there is a way of collecting this debt from those working in the European Union at least. It might be enforceable in other countries too.

Can anyone confirm this?

It simply boils down to whether the cost of collecting that debt is more than the debt itself. That is the only consideration the collection agency will make.

[porca misèria]

Aha!

It's a cunning plan to give a generation of children time with their mothers.

[South Lorne]

I dont think you are right. I am sure that there is a way of collecting this debt from those working in the European Union at least. It might be enforceable in other countries too.

Can anyone confirm this?

...it is part of the loan condition to advise if you are going overseas and I'm sure the if you don't advise the total loan becomes repayable on demand ...if you emigrate to say Australia or wherever you have to declare loans outstanding ...any inaccurate information would hamper clearance...in fact if you go back packing you have to keep them informed and divulge details of your funding....

[guitarman001]

100% of those who move abroad won't pay.

This is incorrect. If you move abroad you still have to pay, and they can track you down and give you a hefty fine for not doing so.

Unless you know people who've moved abroad and not paid anything back? Let me know, I'll do the same!

[Democorruptcy]

This is incorrect. If you move abroad you still have to pay, and they can track you down and give you a hefty fine for not doing so.

Unless you know people who've moved abroad and not paid anything back? Let me know, I'll do the same!

When Question Time were discussing tuition fees they had the leader of the student union on and I thought that's what he said.

Apologies if I've got it wrong.

(Though tracking down someone who has moved abroad cannot be that easy or cost effective)

[guitarman001]

I agree it can't be easy or cost-effective, but I searched out the answer to this a while ago, being a bit of an old myth. Who knows, maybe you can get away with it. Maybe I should try, seeing as the government are shafting me. However best to be safe than sorry, I guess.

[skewed value]

I've got a couple of mates abroad, one in Aus and one in the US, they both aren't paying a penny anymore.

The Student Loans Company couldn't organise a piss-up in a brewery, let alone sort out my loan repayments for over a year..

[The Ayatollah Buggeri]

I dont think you are right. I am sure that there is a way of collecting this debt from those working in the European Union at least. It might be enforceable in other countries too.

Only a tiny fraction of British citizens emigrating to work abroad do so to other EU countries, for the simple reason of the language barrier. Most of the Brits who emigrate to other EU countries do so to retire, and of course student loans are irrelevant to them. Australia, Canada and NZ are the main destinations for British economic emigrants.

[guitarman001]

Guys this is actually really relevant to me... Right now SLC are taking the loan out of my pay every month through PAYE.

I also voluntarily pay off an extra £150 per month.

If I were to move to Germany in two years, do you lot reckon I could just 'get away with it' (let's face it, just like the banksters do). On moving back (ha!) it would start again?

Am I wasting money being a good citizen!? Am I being a fool here?

Edited March 29, 2011 by guitarman001

[interestrateripoff]

Who takes the loss of when the loan isn't repaid?

[guitarman001]

No idea... anybody know?

[South Lorne]

When Question Time were discussing tuition fees they had the leader of the student union on and I thought that's what he said.

Apologies if I've got it wrong.

(Though tracking down someone who has moved abroad cannot be that easy or cost effective)

...it's easy ..unless you set up a hut in the Amazon jungle....and cut out of society...

[South Lorne]

Who takes the loss of when the loan isn't repaid?

...the UK taxpayer of course.... :angry:

[christhpc]

No idea... anybody know?

Yes of course you do as you well know, being an educated person.

Still LMGTFY and here's one of the links:

http://www.emigrationexpert.co.uk/happens-student-loans-emigrate.html

Only do it if you don't expect to ever come back... And is that really worth it for the sake of £10K-30K. Debatable I guess

[guitarman001]

Thanks - of course you are correct!

I wonder what the stats are for nationals and foreigners who study here and then flee without repaying.

For the record - I'm paying mine off! All £15k's worth (now down to £12k)... this is nothing in comparison to a mortgage yet it is like a stone around my neck. I can't imagine how home-loaners do it.

[anonguest]

This is incorrect. If you move abroad you still have to pay, and they can track you down and give you a hefty fine for not doing so.

Unless you know people who've moved abroad and not paid anything back? Let me know, I'll do the same!

Errrr... they've got to find you first! My brother emigrated and never paid a penny whilst overseas. He is HIGHLY UNLIKELY to return before the debt 'dies'. To this day he has heard nothing from TPTB.