In this guide
2. Eligibility
The scheme applies to students who have received a maintenance loan from Student Finance Wales since the 2010 to 2011 academic year to support them to study a full-time undergraduate course. Those who receive loans for part-time undergraduate study or postgraduate study are not eligible.
Students will not qualify for the cancellation if they have any outstanding charges, costs, expenses or penalties in relation to their loan or if they are in breach of their loan agreement.
If students take out a loan in more than one academic year, the cancellation will be applied to the first maintenance loan which they took out .
As long as a student took out a maintenance loan and is eligible for a cancellation, their deduction will be applied when they make their first repayment. This can be a statutory or voluntary repayment. A student will make a statutory repayment if their income, after the statutory repayment due date has passed, is above the relevant repayment threshold. If their income remains below the repayment threshold for several years, they will still be eligible for a cancellation if or when they make a statutory repayment in the future. A student can also make a voluntary repayment at any time and this will also be counted as a repayment towards their loans.
The cancellation will be applied shortly after the first repayment is made and will normally be shown on the next student loans statement.
Students are only entitled to receive the cancellation once even where the amount of cancellation was £0 due to them paying their outstanding debt in full. Students should consider this when making voluntary repayments.