SLC offers greater flexibility to direct debit customers in drive to tackle over-repayments

07 September 2017

Customers of The Student Loans Company can now choose the date that their loan repayment direct debit is taken from their account each month.

The new system lets customers choose any date between the 1 and 28 of each month allowing them to align their Direct Debits with salary payments or any other convenient date. 

This move is part of SLC’s drive to promote its Prevent Over-Repayment (POR) Scheme which encourages borrowers to switch from the PAYE system onto direct debits to ensure payments stop automatically when their loan is paid off.

Paul Mason, Executive Director of Repayments and Counter Fraud, said:  “We write to every customer who is within 23 months of repaying their student loan inviting them to opt to pay by Direct Debit to remove the possibility of them over-repaying their student loan.”

The new arrangement applies to new customers and the 93,000 people who already use this method of payment to repay their student loans. The company warns that if the contact details SLC holds for them are out of date then they may miss out on the opportunity to join the scheme.

Students and repayers can check that they have given SLC the correct contact details by logging on to their customer accounts.