Money Week reported that at the start of September many students will see their loans actually reduce. This is due to the fact that the interest rate on loans before 1998 have turned negative. Each September the interest rate is set for the coming academic year and has been historically based on RPI each March. Money Week note that it was -0.4%. This will not benefit current students or those that took out loans after 1998 due to a clause allowing the Government to act if such an event occurred. The rate is then set to 0%. Regardless of what one thinks of student loans, this is a very cheap form of finance.
Call us today or visit our website for more information and to arrange a meeting