If someone you love has died and they had a student loan, you do not have to worry about the debt. In the UK, all government student loans are written off when the borrower dies. The Student Loans Company cancels the loan, the estate is not liable, and no family member inherits the debt. This applies to every plan type — Plan 1, Plan 2, Plan 4, Plan 5, and Postgraduate loans — regardless of how much was outstanding.
Your immediate task is simply to notify the Student Loans Company (SLC). They will handle the rest once you provide a death certificate and the deceased’s customer reference number.
The short answer
| Loan plan | Eligible borrowers | Written off on death? |
|---|---|---|
| Plan 1 | English/Welsh students who started before 1 September 2012; Scottish students (pre-2021) | Yes |
| Plan 2 | English/Welsh students who started on or after 1 September 2012 | Yes |
| Plan 4 | Scottish students who started on or after 1 August 2021 | Yes |
| Plan 5 | English students who started on or after 1 August 2023 | Yes |
| Postgraduate Loan | Postgraduate Master’s and Doctoral students (England/Wales) | Yes |
All government-backed student loans are cancelled when the borrower dies. The outstanding balance — however large — is cleared entirely. The loan does not become part of the estate, and creditors cannot pursue beneficiaries for any amount.
Private student loans follow different terms. If the deceased had a loan from a private lender rather than the government, check the loan agreement — cancellation on death is not guaranteed.
Why student loans are treated differently from other debts
Most debts — credit card balances, overdrafts, personal loans — become liabilities of the estate when someone dies. Creditors have a claim against estate assets before any inheritance is distributed. Student loans are different. They are government-backed income-contingent loans, and the terms of the original agreement include explicit write-off provisions for death, disability, and (depending on the plan) the passage of time. As gov.uk confirms, the SLC will cancel the person’s student loan on notification of death.
This means the loan sits entirely outside the probate process. If you are dealing with someone’s estate, you do not need to list the student loan as a liability, and you do not need to reserve estate assets to cover it.
This is the opposite of credit card debt, which is a genuine estate liability that must be settled from estate assets before distribution to beneficiaries. Student loans require only notification — no payment, no claim, no negotiation.
What happens to repayments in progress
Repayments through PAYE (salary deductions)
Most working borrowers repay student loans through PAYE — the deductions are taken automatically from their salary by the employer, in the same way as income tax and National Insurance. When an employee dies, their employer should stop making deductions for the pay period after death. Any salary, holiday pay, or bonuses earned before the date of death can still be subject to student loan deductions for that period, as these relate to pre-death earnings — HMRC’s collection manual confirms this.
Once the SLC is notified of the death, they update their records and inform HMRC and the employer. Any deductions taken after the date of death are treated as overpayments and will be refunded to the estate.
If you are handling the estate, it is worth checking the deceased’s final payslips to confirm when deductions stopped. If deductions continued after death, contact the SLC — they will confirm the amount owed and arrange a refund to the estate.
For guidance on notifying HMRC about other PAYE matters after a death, see dealing with HMRC when someone dies.
Repayments through Self Assessment
For self-employed borrowers or those who repaid through Self Assessment, the final year of liability covers earnings up to the date of death. Any repayment due for that period should be factored into the final tax return for the estate. The SLC will close the account once notified.
Direct debit payments
Some borrowers — particularly those nearing the end of their loan — set up a direct debit arrangement with the SLC to avoid overpaying their balance. If the deceased had a direct debit to the SLC, this should stop once the bank is notified of the death (sole accounts are frozen on notification, which halts all outgoing payments). See what happens to bank accounts when someone dies for more on this. Any direct debit payment taken after the date of death is an overpayment — the SLC will refund it to the estate.
What if overpayments were made?
Any student loan repayments deducted or paid after the date of death are refunded to the estate by the SLC. Contact them to confirm the amounts involved. Processing typically takes four to six weeks once they receive the death certificate.
What you need to do
Notifying the SLC is straightforward. You do not need to act immediately — there is no time pressure — but the sooner you notify them, the sooner any post-death deductions stop.
Contact the Student Loans Company:
- Phone: 0300 100 0611 (Monday to Friday, 8am to 5pm)
- Post: Student Loans Company, 100 Bothwell Street, Glasgow, G2 7JD
What to have ready:
| Item | Why it’s needed |
|---|---|
| Original or certified copy of the death certificate | Primary evidence of death — the SLC requires this |
| Deceased’s Customer Reference Number (CRN) | Identifies the borrower’s account; found on SLC correspondence, annual statements, or the online account |
| Your name and contact details | So the SLC can follow up with you |
If you cannot find the CRN, the SLC can usually locate the account using the deceased’s name and date of birth. It is worth checking old SLC letters, email inboxes (search “Student Loans Company” or “SLC”), or the Repay your student loan online service — though you will need account login details to access it.
What happens next: The SLC will cancel the loan, update HMRC to stop PAYE deductions (if applicable), and confirm any refund owed to the estate. They will send written confirmation once the account is closed.
If the deceased was still a student at the time of death — for example, they had a maintenance loan in payment — the SLC will also cancel any remaining student finance instalments. You do not need to repay maintenance loans already disbursed.
Common questions
Does the estate have to repay student loans?
No. Student loans are not included in the estate’s liabilities. The executor or administrator does not need to list the student loan when calculating what the estate owes, and no estate assets need to be set aside to cover it. The loan is simply cancelled on notification of death. This is in contrast to most other unsecured debts — for a full comparison, see what happens to credit card debt when someone dies.
Does a spouse or civil partner inherit student loan debt?
No. A student loan is a personal debt between the borrower and the Student Loans Company — it does not transfer to a surviving spouse, civil partner, or any other family member. Even if the couple shared finances entirely, the loan dies with the borrower. The survivor does not become liable for any amount, and the debt does not affect what the surviving partner inherits from the estate.
What if the deceased was still in university?
If the person who died was still studying, the SLC will cancel any future loan instalments. Maintenance loan payments already made do not need to be repaid. Any tuition fee loan already paid to the university on the student’s behalf is also cancelled — the university is not entitled to pursue the estate for outstanding fees. Contact the university’s student finance team as well as the SLC, as there may be a partial fee refund depending on the point in the academic year.
What if the deceased applied for student finance recently?
If someone dies after applying for student finance but before starting their course, or before any funds are disbursed, the application will be cancelled. If any payment has already been made, the SLC handles this on a case-by-case basis — contact them directly.
What happens to Plan 5 loans?
Plan 5 applies to new English students who started their course from 1 August 2023 onwards. Like all other government student loan plans, Plan 5 loans are written off on death. The cancellation process is identical to other plans — notify the SLC with a death certificate and CRN.
A note on private student loans
Some students — particularly those studying at private colleges or institutions not covered by government finance, or those who took additional borrowing — may have private student loans from commercial lenders. These are subject to the lender’s own terms, and cancellation on death is not guaranteed. Check the original loan agreement carefully. If the loan was through a commercial lender, contact them directly and ask for their bereavement policy in writing.
For help dealing with any outstanding personal loans from commercial lenders, see what happens to credit card debt when someone dies for the general principles of how unsecured personal debt is handled by the estate.
What to do next
If you are managing a bereavement and need to work through the deceased’s affairs, the what to do when someone dies section has a full checklist of organisations to notify, with step-by-step guides for banks, HMRC, the DWP, utility providers, and more.
For estate administration and whether probate is required, see our probate hub — including guides on what probate involves, what documents you need, and how long the process takes.
Student loans sit outside the estate and will not delay or complicate probate. They can be dealt with in a separate notification call to the SLC, independently of the main estate administration process.
Sources: GOV.UK — when your student loan gets written off or cancelled | HMRC Collection of Student Loans Manual — CSLM16025: when do repayments stop? | Student Loans Company bereavement line: 0300 100 0611. Last verified: May 2026.