The Education (Student Loans) (Repayment) Regulations (Northern Ireland) 2009

PART 5N.I.Repayment by Overseas Borrowers

InterpretationN.I.

66.  In this Part—

“gross income” means income from all sources before deductions for or relief from tax or other statutory charge;

“residence” in or outside the United Kingdom has the same meaning as it has in the Taxes Acts; and

“Eurostat” means the Statistical Office for the European Communities.

Commencement Information

I1Reg. 66 in operation at 6.4.2009, see reg. 1(1)

Notice of overseas residenceN.I.

67.—(1) A borrower must notify the Department of any period of residence outside the United Kingdom which exceeds 3 months.

(2) A borrower must provide such information about the borrower’s income during any such period of residence as the Department may require.

Commencement Information

I2Reg. 67 in operation at 6.4.2009, see reg. 1(1)

Notice of liability to make repaymentsN.I.

68.—(1) Subject to regulation 70, where the Department is satisfied that a borrower is resident outside the United Kingdom, it may serve a notice on the borrower requiring the borrower to make repayments on any student loan in accordance with regulation 69.

(2) In a notice served under paragraph (1), the Department may require a borrower, if the borrower has failed—

(a)to give the notice required by regulation 67(1); or

(b)to provide any information required by the Department under regulation 67(2),

to repay immediately such part of a student loan as will reduce the amount outstanding to the amount which the Department considers would have been outstanding if the borrower had given the notice or provided the information required.

Commencement Information

I3Reg. 68 in operation at 6.4.2009, see reg. 1(1)

Repayment by fixed instalmentsN.I.

69.  A borrower must pay to the Department a fixed instalment calculated in accordance with regulation 71—

(a)no later than the day specified in a notice served under regulation 68; and

(b)no later than the same day of each subsequent month.

Commencement Information

I4Reg. 69 in operation at 6.4.2009, see reg. 1(1)

Repayment by income-related instalmentsN.I.

70.—(1) Where the Department is satisfied that a borrower to whom regulation 68 applies has complied with a requirement to provide information under regulation 67, the Department may determine that the borrower may repay a loan by income-related instalments in accordance with this regulation.

(2) The first such instalment must be paid on a date determined by the Department being a date not more than 2 months later than the date of the determination and subsequent instalments must be paid on the same date in each subsequent month for up to 12 months.

(3) Each instalment must be one twelfth of the relevant amount.

(4) The relevant amount is 9% of the gross income which the Department consider the borrower is likely to receive in the next 12 month period following the date of the determination referred to in paragraph (2), disregarding—

(a)income up to the applicable threshold, calculated in accordance with regulation 71; and

(b)income in respect of which the Department is satisfied that repayments are likely to be made under Part 3 or 4.

(5) The amount of the instalment must be stated in the determination.

(6) At the end of the period referred to in paragraph (2), the borrower must pay fixed instalments under regulation 69, subject to a further determination under paragraph (1).

(7) At any time during the period referred to in paragraph (2), the Department may make a re-determination under paragraph (1).

Commencement Information

I5Reg. 70 in operation at 6.4.2009, see reg. 1(1)

Calculation of fixed instalment and applicable thresholdN.I.

71.—(1) The fixed instalment in regulation 69 and the applicable threshold in regulation 70 are to be determined by reference to the most recent price level index for the borrower’s country of residence and in accordance with the following tables—

BandPrice Level IndexFixed Instalment
A0<30£49.20
B30<50£98.40
C50<70£147.60
D70<90£196.80
E90<110£246
F110<130£295.20
G130+£344.40
BandPrice Level IndexApplicable Threshold
A0<30£3000
B30<50£6000
C50<70£9000
D70<90£12000
E90<110£15000
F110<130£18000
G130+£21000

[F1(1A) On 6th April 2012, and on 6th April of each subsequent year until and including the 6th April 2015 each amount in the column entitled “Applicable Threshold” shall increase to an amount equal to X + (X x Y%) and rounded up to the nearest £5 where—

X is the amount in the amount in the column entitled “Applicable Threshold” immediately before the 6th April

Y is the percentage increase between the retail prices all items index published by the Office for National Statistics for the two Marches immediately before the commencement of the previous repayment threshold year.]

(2) The price level index for the United Kingdom is 100.

(3) Price level indices are to be calculated using the most recent provisional comparative price level indices measured in gross domestic product produced by Eurostat.

(4) Where the price level index for any country cannot be calculated because Eurostat does not hold the necessary data, it is to be calculated using the most recent provisional comparative price level indices measured in gross domestic product produced by the World Bank’s Development Indicators.

(5) Subject to paragraph (6), where a price level index cannot be calculated under paragraph (3) or (4), the applicable threshold and fixed instalment are those for band A.

(6) The Department may determine that the applicable threshold or fixed instalment for a borrower is to be that for a country other than the borrower’s present country of residence.

Textual Amendments

Commencement Information

I6Reg. 71 in operation at 6.4.2009, see reg. 1(1)

Application to cease repayment by instalmentsN.I.

72.—(1) A borrower who—

(a)is required to make repayments under this Part; and

(b)who has not been required to repay a student loan in full immediately under regulation 73,

may apply to the Department for a determination that the borrower is no longer required to make such repayments.

(2) Where the Department is satisfied that—

(a)the borrower is resident in the United Kingdom; and

(b)the borrower is likely to be resident in the United Kingdom for the tax year during which the date specified in the determination relating to that borrower will fall,

the Department may determine that a borrower who has applied under paragraph (1) is not to be required to make repayments under this Part from a date specified in the determination, being a date not more than 2 months later than the date of the determination.

(3) A determination under paragraph (2) has effect until the borrower again becomes liable to repay the loan under regulation 69 or 70.

Commencement Information

I7Reg. 72 in operation at 6.4.2009, see reg. 1(1)

ForeclosureN.I.

73.  If a borrower does not pay an instalment or other amount when it is due, the Department may require the borrower to repay the loan in full immediately.

Commencement Information

I8Reg. 73 in operation at 6.4.2009, see reg. 1(1)

Costs and expenses of the DepartmentN.I.

74.—(1) Where the Department incurs reasonable costs or expenses in taking steps—

(a)resulting from a borrower’s failure to comply with regulation 67, to

(i)obtain a borrower’s address outside the United Kingdom; or

(ii)obtain information about a borrower’s income during any period of residence outside the United Kingdom;

(b)to serve a notice under regulation 68(1) in any of the circumstances set out in regulation 68(2); or

(c)to recover the outstanding balance of the loan in full under regulation 73,

the Department may require reimbursement of those costs or expenses by the borrower and may add them to the borrower’s loan account and they will form part of the principal of the loan from the date on which they are added.

Commencement Information

I9Reg. 74 in operation at 6.4.2009, see reg. 1(1)