A growing student-loan balance can be alarming. But for UK income-contingent loans, the routine deduction is mainly driven by the repayment plan and relevant income, rather than a fixed instalment calculated from the balance.

That makes the deduction resemble a tax. It does not stop the agreement being a loan, remove your obligations to the Student Loans Company, or make the balance irrelevant to total repayments.

This lesson concentrates on Plans 2 and 5. Check your own plan, especially if you studied through a different national funding body, have a postgraduate loan or live overseas.