The Education (Student Loans) (Amendment) (England and Wales) Regulations 2007

Amendment of the Principal Regulations

12.—(1) Schedule 2 is amended as follows.

(2) In paragraph 1 for the definition of “2005 loan”, substitute—

““2005 loan”, “2005 academic year”, “2006 loan”, “2006 academic year” and “2007 academic year” have the meanings given by regulation 3(1) of the Education (Student Loans) Regulations 1998;”.

(3) In paragraph 1 for the definition of “old loan”, “new academic year” and “2006 academic year”, substitute—

““old loan” has the meaning given by regulation 3(1) of the Education (Student Loans) Regulations 1998;”.

(4) In paragraph 4 for “paragraphs 4A and 4B”, insert “paragraphs 4A, 4B and 4C”.

(5) After paragraph 4B, insert—

“4C.   If the loan which is the subject of the loan agreement is a 2006 loan and the borrower had completed the course in respect of which he applied for that loan before he entered into the loan agreement, the borrower must make the first repayment in April 2009 unless—

(a) the borrower defers repayment under paragraph 9;

(b) the lender cancels the borrower’s loan under paragraph 12; or

(c) paragraph 13 or 13C applies.”.

(6) In paragraph 13A for “a new academic year”, substitute “the 2005 academic year”.

(7) After paragraph 13B, insert—

“13C.   If when the borrower takes out a 2006 loan, he had already entered into an agreement for a loan in relation to a further course of study for the 2007 academic year, the lender will not ask him to make any or any more repayments under the loan agreement for the 2006 loan until he begins to repay the loan taken out in relation to the further course of study. The number of repayments for the 2006 loan will then be the same as for the loan taken out in relation to the further course of study.”.