Student Loans Company kept growing my arrears even though they accepted my reduced payments, anyone had similar experience??

Hello guys,

I took out a UK student loan while studying there and have since returned to Lithuania. I contacted SLC in January 2025 when I was struggling financially and they agreed to accept a reduced payment of £2.72/month (later £5, then £10) based on my Income and Expenditure Form showing my disposable income was around £10.

The problem is that my scheduled repayment is £118/month, so every month the shortfall gets added to my arrears. In 14 months my arrears have gone from £0 to £1,208 despite me making every single agreed payment on time.

On top of that I experienced three administrative errors from SLC — incorrect arrears letters, a system error that cancelled my plan, and a misleading letter demanding £242/month that was never actually applicable to my account.

I have proposed multiple solutions, submitted every form they asked for on time, and formally complained asking for the arrears to be written off. They have so far refused.

Has anyone been in a similar situation, particularly as an overseas borrower? Did you manage to get the arrears frozen? Any experience with the Independent Assessor for Student Finance?

Just to be clear. I do understand that I took a loan and it needs to be repaid. But sometimes life happens and you can't afford the same amount of repayments.

Looking forward to your inputs.