How to Pay

Aged 19+ and applying for a Level 3 or higher level course?

If you’re aged 19 or over and are thinking about studying a Level 3 or Level 4 course, the 19+ Advanced Learner Loan might be for you. The loan is there to help you with the cost of your course fees.

It’s easy to apply – your household income isn’t taken into account and there’s no credit check.

Repayments

You don’t have to pay any of your loan back until you’ve started earning over £27,295 a year.

If you leave or change course after two weeks or more, you’ll have to pay back any money that was paid to your college or training provider.

You can choose to pay off some or all of your loan at any given time with no extra charge.

Any outstanding balance is automatically written off 30 years after your scheduled qualification end date.

Example of repayment amounts

Payments will depend on the amount you earn over the repayment threshold during any given pay period, not the amount that you’ve borrowed.

Your pay period depends on when you receive your salary. This could be every week, every four weeks or a calendar month. Payments will stop if you earn below the repayment threshold for that pay period.

Repayments are set at 9% of your income above the minimum of £27,295 a year, £2,274 a month or £524 a week.

Interest on your repayments

You’ll be charged interest at the Retail Price Index (RPI) + 3% while you complete your course and until the following April after leaving your course.

After that interest is linked to your earnings.

So if you earn:

• less than £27,295, the interest is set at the RPI
• £27,295 to £47,835, the interest is set at RPI + up to 3% on a sliding scale
• over £47,835, the interest is set at RPI + 3%