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Student Loan
Strategist

Plan 4: The Scottish Advantage

Repayment rules for students funded by SAAS.

2026 Threshold £33,795
Repayment Rate 9%
Write-off Time 30 Years

Why Plan 4 is unique

Scottish Plan 4 has a significantly higher threshold than Plan 1 or Plan 2. This means as a Scottish graduate, you keep more of your paycheck every month.

Interest Rates: Unlike Plan 2 (which is RPI + up to 3%), Plan 4 is usually set at either RPI or the Bank of England Base Rate + 1% (whichever is lower). This often makes it one of the "cheaper" loans to carry.

The "Write-off" Benefit

Most Plan 4 loans are written off 30 years after you become eligible to repay. If you are a low-to-medium earner in Scotland, you are statistically less likely to repay the full balance compared to Plan 2 holders.