Why the plan matters so much
Each plan carries a different threshold, so the plan decides how much comes out of your pay. If payroll uses a plan with a lower threshold than your correct one, repayments start earlier and take more than they should, in every single pay period.
| Plan | 2026-27 threshold |
|---|---|
| Plan 1 | £26,900 |
| Plan 2 | £29,385 |
| Plan 4 | £33,795 |
| Plan 5 | £25,000 |
| Postgraduate Loan | £21,000 |
The gap between Plan 1 and Plan 2 alone is nearly £2,500 of income a year that should not have been touched.
How to check your plan
- Sign in to your online student loan account and download your active plan type letter. This shows the plan the SLC has you on.
- Check the plan shown on your payslip. This is the plan your employer is applying.
- If the two do not match, your employer is using the wrong plan and you may be owed a refund.
How to fix it and claim, free
Honestly, the fix is simple and costs nothing. Show your employer the active plan type letter so payroll corrects the plan going forward, and ask the SLC to refund any over-deduction the wrong plan caused. You can request the refund in your online account or by contacting the SLC.
If your employer will not correct it, or the SLC will not refund
When the simple fix stalls, you need a formal complaint setting out the correct plan, your figures and the refund owed, with an escalation route ready to go.
Wrong Repayment Plan Complaint
Sets out the correct plan, the effect of the wrong one, and asks for the plan corrected on your account and in your employer's start notice, plus a refund. £15.
The other three refund reasons are in the refund hub, and how to complain to the SLC covers what happens after a refusal.
The letter for this
Wrong Repayment Plan Complaint
Written for this specific ground, with the law cited and the evidence demands built in. Complete the placeholders and send it.
Included free with the letter
- How Student Loan Complaints Work
- You May Be On the Wrong Repayment Plan
Frequently asked questions
How do I find out which student loan plan I am on?
Sign in to your online student loan account and download your active plan type letter. That shows the plan the Student Loans Company has on record for you. Then check the plan shown on your payslip, which is the one your employer is actually applying. If the two do not match, that is the problem.
What happens if my employer uses the wrong plan?
Each plan has a different income threshold. If payroll applies a plan with a lower threshold than your correct one, repayments start earlier and take more than they should, every single pay period. Over a year or two that becomes a substantial sum.
How do I get the plan corrected?
Show your employer the active plan type letter so payroll corrects your plan going forward, and ask the SLC to refund the over-deduction the wrong plan caused. Both steps are free.
What if I cleared the loan while on the wrong plan?
Then the over-deduction could be significant, because the error ran across the whole repayment period rather than a few months. Gather your payslips covering the entire affected period before you claim, so your figure reflects the full amount.
What if my employer will not correct it?
That is when you need a formal complaint that states the correct plan, your figures and the refund owed, with an escalation route behind it. Payroll departments tend to move faster once a written complaint with dates and numbers is on file.
Sources: gov.uk, Repaying your student loan (getting a refund, and what you repay). Thresholds last checked 19 July 2026. Thresholds change each tax year: check gov.uk for the current figures.