Hi,
I've taken on a professional career development loan with Co-op in 2015 of £8,500 to fund a MSc and can no longer afford the repayments of almost £300 per month as initially agreed and signed contract. I still owe just over £5,000.
I've been explained by the bank that I cannot lower the monthly repayments and can only default on my payments and that after 2 missed/ defaulted payments Co-op will pass on my debt to Wescot debt collectors.
Despite of written warnings on every page of my loan agreement stating that should I default on payments at any point my credit history may be "seriously affected", I have been reassured by co-op on several occassions that although they cannot put this into writing to me they can guarantee that as it's a "government backed loan" as opposed to a normal loan and therefore my credit history will not be affected as I default on payments to Co-op Or even when they pass on my debt to Wescot and then even if I miss the agreed payments with Wescot.
Seems too good to be true??
My question is,
can anyone confirm that this is in fact true for career development loans not effecting credit histories upon defaulted payments with the bank and Wescot?
So lost and a bit anxious in defaulting without any written confirmation from the bank on this.
..Any advice would be much appreciated!
Many thanks in advance!