Student Loans - Rebate given in error

[Paralytic]

Isn't there some "thing" whereby if a refund was made in error and you, as the recipient, genuinely didn't realise an error had been made and spent the quids, you can keep the cash? It's not like the SLC doesn't have form for being utterly rubbish at managing loans with millions owed in refunds for overpayment.

I've heard there is such a thing, but you have to prove that thing and its clear that thing was not the case for the OP here as (s)he knew the monies were paid in error.

[ladymuck]

I've heard there is such a thing, but you have to prove that thing and its clear that thing was not the case for the OP here as (s)he knew the monies were paid in error.

They only found out when they looked at their account after being notified that the details were now on GOV.UK and wanted to see what the new format looked like.

[wattaj]

Back in the day, SLC and HMRC did not have real-time data sharing so it was possible to have cleared one's student loan and still be paying it off via PAYE. Many, many thousands was incorrectly collected by SLC and had to be mopped up every couple of years.

That might have changed now, but I think that that's unlikely given how protective HMRC are towards their thiefdom.

Personally, I'd say ****-em and wait for a bill at some point. usual caveats: IANAL, IANAA, etc., etc...

[Old Greg]

Isn't there some "thing" whereby if a refund was made in error and you, as the recipient, genuinely didn't realise an error had been made and spent the quids, you can keep the cash? It's not like the SLC doesn't have form for being utterly rubbish at managing loans with millions owed in refunds for overpayment.

It is very much exceptional cases, if the OP wants to argue that in a civil court, or just possibly (unlikely) on a criminal charge of 'retaining wrongful credit' under the Theft Act 1968.

[Paralytic]

They only found out when they looked at their account after being notified that the details were now on GOV.UK and wanted to see what the new format looked like.

I suspect they fully knew the £2K was paid to them in error at that point at which that happened.

[MonkeysUncle]

I suspect they fully knew the £2K was paid to them in error at that point at which that happened.

No I didnt.
I got a letter from SLC saying that I have overpaid and a rebate was due (this was back in 2019) and to call them. I did, they said i was owed 2k due to overpayment. More than likely this was due to be being on an inside IR35 role for half the year which meant I paid Student loans as part of my PAYE and the other half I didnt, but paid it in my SATR.

I got paid the 2k, used did actually use it for a holiday.

I would never have known it was an error if I didnt log into the HMRC website and check. As far as I was aware, my student loan was paid off.

[Old Greg]

No I didnt.
I got a letter from SLC saying that I have overpaid and a rebate was due (this was back in 2019) and to call them. I did, they said i was owed 2k due to overpayment. More than likely this was due to be being on an inside IR35 role for half the year which meant I paid Student loans as part of my PAYE and the other half I didnt, but paid it in my SATR.

I got paid the 2k, used did actually use it for a holiday.

I would never have known it was an error if I didnt log into the HMRC website and check. As far as I was aware, my student loan was paid off.

I think you need to pay it back, but maybe go to a specialist forum (MSE might be good).

[PerfectStorm]

I can only offer my sympathies. Every interaction thats meant getting a student loan finalised between the SLC and HMRC always makes the individual feel like this is being done for the very first time in history, rather than something that happens hundreds of thousands of times each year.

Mine was in and out of my last few years of SA before all agreed that yes - it had been paid off

[wattaj]

As an aside, and having worked there twice, SLC are a tulipstorm of incompetence and over confidence. IMHO, it would be cheaper and more efficient to go back to handing out grants and being done with it.

[jayn200]

Isn't there some "thing" whereby if a refund was made in error and you, as the recipient, genuinely didn't realise an error had been made and spent the quids, you can keep the cash? It's not like the SLC doesn't have form for being utterly rubbish at managing loans with millions owed in refunds for overpayment.

You can't keep the cash.

If you received the refund in error and spent it without noticing and it was a genuine mistake then it's not a criminal act but you still need to repay the debt. You can probably arrange a payment plan.

If you received the refund in error and spent it when you knew it was given to you in error then it's a crime and you still owe the money but you may also get additional criminal charges.