SLC & HMRC Refund 2026Under-Threshold RefundsDirect Bank Payout
Student Loan Overpayment Refund Claim Guide
Check if you are owed a cash refund for overpaid student loans (annual earnings under threshold, wrong plan, early deductions) and claim online from SLC.
Student Loan Refund Eligibility Checker
Select your overpayment scenario to view claim eligibility and steps
£
Refund Claim Eligibility Result:
Overpayment Claim Category
Annual Income Under Statutory Threshold
100% RefundableEstimated Cash Refund
£350
Online Claim Portal via Student Loans CompanyDescription: Occurs if PAYE deducted student loan payments in high-earning months (e.g. bonus/overtime), but your total annual gross salary remained below your plan threshold (£27,295 for Plan 2).
4 Main Student Loan Refund Scenarios
Over 100,000 UK taxpayers overpay student loans every year due to PAYE monthly calculation rules.
| Scenario | Why Overpayment Occurs | Statutory Refund Threshold |
|---|---|---|
| Annual Income Under Threshold | Bonus or overtime caused monthly PAYE deduction, but annual earnings were under cap | Full Refund (Plan 2 £27,295 cap) |
| Wrong Repayment Plan | Employer deducted at Plan 1 rate (9% over £24,990) instead of Plan 2 (£27,295) | Difference Refunded |
| Deductions Started Too Early | Employer deducted money before the April following course completion | 100% Refunded |
| Deductions After Loan Paid Off | PAYE deductions continued after total loan balance reached £0 | 100% Refunded + Interest |
How to Claim Your Student Loan Refund
1. Sign In to SLC Online Account
Log into your official Student Loans Company (SLC) online account to view your annual repayment summary.
2. Submit Direct Bank Refund Request
Request an automatic bank refund or call SLC on 0300 100 0611 with your P60 and bank details ready.
Frequently Asked Questions (FAQs)
Yes. If your annual income was below the threshold, if deductions started early, if you were placed on the wrong plan, or if deductions continued after payoff, you can claim a 100% refund from the Student Loans Company.
PAYE calculates student loan deductions on a weekly or monthly pay-period basis. If you work overtime, receive a bonus, or change jobs, deductions occur even if your total annual salary falls below the annual threshold.
No. There is currently no time limit for claiming back student loan overpayments from previous tax years through the Student Loans Company (SLC).
Once approved online or via phone, refunds are deposited directly into your UK bank account within 3 to 28 working days.
Refunding money you overpaid will restore your loan balance by that amount. However, for most Plan 2 borrowers whose loans will be written off after 30 years anyway, claiming cash back today is financially beneficial.