Student Loan Fund to Deduct Extra 3,000 Baht from Overdue Borrowers

[snoop1130]

Photo courtesy of Bangkok Post

 

A wave of concern has swept through student loan borrowers as the Student Loan Fund (SLF) rolls out an extra 3,000 baht salary deduction for borrowers with overdue payments, starting this month. This measure aims to recover unpaid loans that have grown to concerning levels.

 

Nanthawan Wongkhachornjit, manager of the SLF, clarified that this deduction is specifically for borrowers who haven't cleared their overdue debts by July each year. Despite regular repayments by many, those with lingering overdue amounts will see this new financial cut.

 

The deduction announcement went viral, causing borrowers to express frustration and confusion, as many feel their efforts to pay regularly should exempt them from additional costs. Nanthawan assured the public that this isn't a universal policy but a targeted move to encourage fiscal responsibility and the fund's sustainability.

 

 

 

Borrowers unsure of their payment status can check the SLF mobile app to verify their account details and explore repayment options. The SLF is also offering flexible solutions to help manage repayments, including loan restructuring opportunities that extend the repayment period by up to 15 years.

 

To avoid penalties, the SLF advises borrowers to act swiftly—either by updating their repayment plan or settling overdue balances. Prompt action could reduce interest and late fees, thereby averting the salary deductions.

 

The SLF oversees a substantial fund providing loans to students across Thailand. But as overdue debts increase, tighter enforcement measures have become necessary. Borrowers must now choose between settling their debts or preparing for reduced monthly income as deductions commence this April, reported The Thaiger.

 

-- 2025-04-10

 

 

[JoePai]

Good - sense at last

[Briggsy]

The devil is in the detail as ever.

 

I remember when this scheme was rolled out. It provided an opportunity for kids from very ordinary backgrounds in rural areas with M.6 or Business Admin Diplomas to go on and get a (fairly ropey) degree. Obviously if they had passed the entrance exam to a prestigious government uni, then that was another route.

 

The view amongst the students 25 years ago was that they would never have to pay it back due to the way the scheme was structured and the way it was sold to them and their families.

 

It would be interesting to get a detailed picture of how the scheme has evolved, what the criteria are for repayment and where the money has ended up.