CSLM10162 - FAQs: employers questions and answers: stop notice: Employee has repaid loan. can I stop deductions?
Suggested answer
You cannot stop making deductions because your employee asks you to. Continue to make deductions until you receive a Stop Notice or are asked specifically to stop making deductions by HMRC.
Your employee can request a refund from the Student Loans Company if they think they have overpaid their loan.
You can find more information on gov.uk.