With the New Year just around the corner, many people will likely be thinking about some resolutions they want to adopt for 2024.
05.12.2023 - 22:11 / dailyrecord.co.uk
Martin Lewis has issued urgent Student Loan advice to over 1m people tonight.
During Tuesday night's episode of his ITV show, the money-saving expert said that over one million people overpaid on their student loan during the 2022/23 tax year, meaning they are owed a refund.
Martin said there are four reasons behind the potential overpayments,
The number one reason is that they were put in the wrong payment plan by their employer, reports Birmingham Live. One viewer wrote into the show to explain that she found herself in this position and as a result, received a refund of £1,303.
Others may have started paying the loan back despite not earning over the threshold which changes depending on what year you graduated, and currently stands at £27,295. This could be due to varying monthly salaries, Martin explained.
Some people had money deducted from their pay cheque despite fully repaying back the loan and others started repaying too early. Student loan repayments are not supposed to begin until the April after you graduate - but mistakes can mean that this is not the case.
Martin went on to say that if you have overpaid, there is no reason to keep the money where it is. This is because "student loans don't work like normal loans," he said. He went on to call them a "graduate tax" and said the refund is "absolute cash in your pocket."
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This should be processed in 28 working days but there may be delays over Christmas.
Check that you've overpaid first and get all the documents you will need ready. There may be delays due to a large amount of calls, Martin warned.
Find out more information here.
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