This is lowest for full-time higher education borrowers at 25% as they will have the highest loan balances
The proportion of plan 2 borrowers expected to have repaid their loans in full has not changed compared to 2019-20 cohort forecast published in the last student loans forecasts release in
The transfer proportion differs from the RAB charge in the way future repayments are discounted to present values. The discounting of future repayments used for calculating the transfer proportion is based on the individual borrower’s interest rates, which vary across different loan products. This is why the transfer proportion can be lower or higher than the RAB charge for different loan products. This reflects the different use of the transfer proportion and RAB charges. Further information is available in the ONS payday loans Louisiana discussion on the alternative valuations of future repayments.
The remaining 75% will generally repay part of their loan balance, with some almost fully repaying. The higher education full-time RAB charge is therefore close to that of part-time higher education borrowers and Advanced Learner Loan borrowers, despite the lower proportion that finish repaying their loans.Read More »This is lowest for full-time higher education borrowers at 25% as they will have the highest loan balances