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The Repayment of Student Loans (Scotland) Amendment Regulations 2012

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EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations amend the Repayment of Student Loans (Scotland) Regulations 2000 (“the principal Regulations”). A new definition, “repayment threshold”, is added to regulation 2 of the principal Regulations.

The effect of the definition is that the repayment threshold increases in line with the retail prices index from the effective threshold immediately prior to the coming into force of these Regulations.

The repayment threshold is of relevance to regulation 9(4) of the principal Regulations which requires refunds to be made where a repayment of a student loan is deducted from a borrower’s emoluments where those emoluments did not in fact exceed the repayment threshold. Regulation 9(4) is amended to insert the newly defined term “repayment threshold”.

Part III of the principal Regulations makes provision for the repayment of student loans by overseas residents. Repayments can be made by instalments which link to applicable income thresholds that are set out in a table in regulation 13B(2). These Regulations insert regulation 13B(2A) which has the effect of increasing the applicable thresholds over the period to 6th April 2015 in line with the retail prices index.

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