1 / 17

Student Finance

Student Finance. Tuesday 21 st January 2014 Mr Coop. Student Finances – Myths. I can’t afford university Uni costs between £18,000 and £27,000 My loan will cover all of my costs I’ll be in debt for the rest of my life Cheaper fees mean paying back less My credit rating will be awful

channing-vega
Download Presentation

Student Finance

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Student Finance Tuesday 21st January 2014 Mr Coop

  2. Student Finances – Myths • I can’t afford university • Uni costs between £18,000 and £27,000 • My loan will cover all of my costs • I’ll be in debt for the rest of my life • Cheaper fees mean paying back less • My credit rating will be awful • What if I can’t afford to meet my payments

  3. Student Finances – No Worries • Everyone can afford to go to university • Additional help for low income families • The typical sum of £50,000 is mostly meaningless – it does not resemble the real cost • Fees paid upfront automatically

  4. Student Finances – No Worries • Know the facts (and the myths) • Gather the right information • Plan well in advance • Learn how to budget

  5. We Will Cover • Planning Student Finances: • Understand the sources of finance (income) • Find out about the figures, dates and timings • Think through the outgoings that need to be covered

  6. We Will Cover • The two aspects of finance: • One - tuition fees • Two - maintenance • The variables in student finance • Applying for finance • Paying it back

  7. We Will Cover • The maintenance loan and other sources of income: • Where it comes from • Who is entitled to what • What is covered • Other sources of finance

  8. The Figures – 2014 • Course fees: £6,000 - £9,000 • Maintenance loan (max – this is means tested): • £5,555 away from home outside London • £7,751 away from home in London • £6,600 overseas • £4,418 living at home

  9. The Figures – 2014 • All entitled to 65% of maintenance loan regardless of household income • Maintenance grant of £3,387 available for household income below £25,000 (plus a loan of £3,823 - £7,210 in total) • Income below £42,620 entitled to a smaller grant • Interest @ 3% above RPI

  10. The Figures – Loans and Grants

  11. The Figures – Other Sources • These vary from institution to institution so do engage with the university: • Scholarships (cash or gift in kind) – usually dependent upon academic ability • Fee Waiver – reduction in tuition fees • Bursary (cash or gift in kind) – usually means tested • Fee waiver vs bursary

  12. The Figures – Paying It Back • 9% repaid monthly from source above earnings of £21,000 • ie: someone earning £41,000 gross will repay £1,800 per annum (£150 per month) • Any outstanding debt wiped after 30 years • This is not debt as we know it – it more closely resembles an income tax • Does not effect credit score

  13. Budgeting • The importance of budgeting • The two elements of budgeting: • Income • Outgoings • Cashflow

  14. Applying for Finance • Completed online at: www.gov.uk/student-finance • UCAS application can be linked to finance application (saves time and effort) • Application can occur once UCAS application has been sent • No need to wait for offer or acceptance of offer in order to make application

  15. Not All Debt is the Same • Why student loans are different • Good planning means avoiding other (traditional) debts • Beware the man in the shiny suit

  16. Getting Help & Advice • We have added information and links to the school website: • Wilson's Student Finance

  17. Q & A

More Related