How do you repay a student loan? Plan 5, the threshold and what happens if I move to Türkiye

Who does this apply to?

• This is general information. It does not assess anyone's personal situation. It is for people with English Student Finance loans. It is based on the GOV.UK "Repaying your student loan" pages (October 2026). Figures are updated each tax year; check the page before you pay.

Which plan?

• GOV.UK says your plan depends on your course start date and the body you applied to; you cannot choose your plan. For England:
• Courses starting on or after 1 August 2023: undergraduate, PGCE, Advanced Learner Loans and Lifelong Learning Entitlement loans: Plan 5.
• Started 1 September 2012 to 31 July 2023: Plan 2.
• Started before 1 September 2012: Plan 1.
• Master's and doctoral loans are on a separate Postgraduate Loan plan.
• Scotland (Plan 4) and Northern Ireland (Plan 1) loans are separate.

How much do you repay? (GOV.UK table)

• Plan 5: yearly threshold £25,000 (£2,083 a month, £480 a week); you repay 9% of income above it. GOV.UK says the first Plan 5 repayments fell due in April 2026; the threshold is fixed until April 2027, then rises with RPI.
• Plan 2: £29,385 a year. Plan 1: £26,900. Plan 4: £33,795; all at 9%.
• Postgraduate Loan: yearly threshold £21,000, at 6%.
• Repayment depends on income; nothing is paid below the threshold. For example on Plan 1, someone earning £33,000 a year repays 9% of the £509 above the threshold (about £45 a month).

When does it start and when is it written off?

• According to the GOV.UK statistics page, on Plan 5 repayment starts in the April after the year you finish or leave your course. Interest on Plan 5 is RPI only (RPI was 3.2% for September 2025 to August 2026). On Plan 5 any balance left after a maximum of 40 years is written off (30 years on Plan 2).

How is it taken from pay?

• For employees it is taken through the employer's payroll; self-employed people or those who do Self Assessment have a separate method. You see the deduction on payslips and the P60; keep your payslips and P60, which you need for any refund.
• If the plan on your payslip is wrong, download your "active plan type letter" from your online account and show it to your employer.

If you move abroad (for example to Türkiye)

• GOV.UK says if you leave the UK for more than 3 months you must tell the Student Loans Company. You will usually keep repaying unless you can prove your overseas income is below the threshold. If you do not tell them, arrears can build up.
• If you return after more than 3 months abroad, update your employment details. Otherwise you may keep repaying at the rate for the country you lived in, which could mean paying more or a higher interest rate.

Credit report and other points

• Student loans do not appear on credit reports, but lenders may consider the repayments for a mortgage.
• You still have to repay if you leave your course early.

Points to watch

• Thresholds and rates change each year; this post is a general summary.

What can you do?

• Read Repaying your student loan and How much you repay.
• Check your plan on Which repayment plan you're on.