STUDENT FINANCE MATTERS

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STUDENT FINANCE MATTERS
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SESSION CONTENTS

• Student Finance England
• Section 1 The Student Finance Package
• Section 2 Student Loan Repayments
• Section 3 Applications Information
• Section 4 Money Management

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COMMON CONCERNS
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COMMON CONCERNS TUITION FEES
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COMMON CONCERNS
COMMON CONCERNS REPAYMENTS
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COMMON CONCERNS
COMMON CONCERNS GENERAL
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STUDENT FINANCE ENGLAND
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STUDENT FINANCE ENGLAND

• Student Finance England (SFE) provide financial
  support on behalf of the UK
• Government to students from England entering
  higher education in the UK
• The two main costs full-time students will have
  while studying are
• tuition fees and living costs.
• SFE make finance available to help students with
  both.
• Depending on their circumstances, course and
  where they study,
• students may be able to get a range of financial
  help and support.
• This includes grants and bursaries (which dont
  have to be paid back)
• and loans (which do).

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SECTION 1
THE STUDENT FINANCE PACKAGE
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THE STUDENT FINANCE PACKAGE SUPPORT AVAILABLE TO
STUDENTS INCLUDES
Tuition Fee Loan
The Student Finance Package
Maintenance (Living Cost) Support
Bursaries Scholarships
Additional Support
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SECTION 1
TUITION FEES LOANS
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TUITION FEES LOANS

• Universities and colleges can charge new
  full-time students up to
• 9,000 per year (6,750 part-time) for tuition
  fees.
• Eligible students wont have to pay any tuition
  fees up front.
• A Tuition Fee Loan is available to cover the fee
  charged by the university
• or college (up to 6,000 for approved courses at
  private HEIs).
• Tuition Fee Loan doesnt depend on household
  income.
• SLC pay any Tuition Fee Loan directly to a
  university or college.
• The loan is repayable, but only when the
  students income is
• over 21,000 a year.

Publicly funded
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SECTION 1
MAINTENANCE SUPPORT
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MAINTENANCE SUPPORT

• Maintenance support is available to help with
  living costs a student
• will face while in higher education.
• Two main types of support are available,
  Maintenance Loan and Maintenance Grant.
• The Maintenance Loan is repayable and all
  eligible students are
• entitled to get some funding.
• The amount of loan available will depend on where
  a student lives
• and studies.
• Maintenance support is paid directly into the
  students bank account
• each term.

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MAINTENANCE LOAN 2014/15 MAXIMUM RATES
Where Students Live Study Maximum Loan Available
Parental Home Live at home 4,418
Elsewhere Live away from home and study outside of London 5,555
London Live away from home and study in London 7,751
Overseas Study overseas as part of a UK course 6,600
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MAINTENANCE LOAN MEANS TESTING
Full-Year Student 65 Non Means Tested 35 Means Tested Maximum Loan
Parental Home 2,871 1,547 4,418
Elsewhere 3,610 1,945 5,555
London 5,038 2,713 7,751
Overseas 4,290 2,310 6,600
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MAINTENANCE SUPPORT
MAINTENANCE GRANT

• The Maintenance Grant doesnt have to be repaid.
• How much grant a student can get depends on their
  household
• income (100 means tested).
• Household income thresholds for 2014/15

Household Income up to 25,000
Full Grant of 3,387
Household Income up to 42,620
Partial Grant
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SUPPORTING AN APPLICATION HOUSEHOLD INCOME

• If youll be supporting a students application
  for student finance that
• depends on household income, SFE will need to see
  details of your
• household (taxable earned and unearned) income
  and National Insurance
• (NI) number(s).
• Earned income includes
• wages, salaries, tips, and other taxable employee
  pay
• long-term disability benefits received prior to
  minimum retirement age
• net earnings from self-employment
• Unearned income includes
• interest from savings (only the annual summary is
  required)
• benefits and pensions
• rent from property or a room

For most applications, SFE verify income from
your NI number with no need to send any
documents, unless we ask for them
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SUPPORTING AN APPLICATION TAX YEAR USED FOR
ASSESSMENTS

• Please give financial information for the tax
  year prior to when the student
• will start in higher education.
• For students starting in Sept 2014 please submit
  financial information
• for the 2012/13 tax year.
• Supporting an application drop in income
• If your income has dropped by 15 or more in the
  current tax year SFE
• can reassess an application so a student may get
  additional support.
• Submitting a Current Year Income (CYI) form
• support the student's application for finance as
  normal
• complete the (CYI) form with estimates of this
  financial year's details
• provide evidence to support estimates at the end
  of the current tax year

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COMBINED MAINTENANCE SUPPORT LIVING AWAY FROM
HOME, OUTSIDE LONDON
Household Income Maintenance Grant Maintenance Loan Total
25,000 under 3,387 3,862 7,249
30,000 2,441 4,335 6,776
35,000 1,494 4,808 6,302
40,000 547 5,282 5,829
42,620 50 5,530 5,580
42,875 0 5,555 5,555
50,000 0 4,836 4,836
62,132 over 0 3,610 3,610
Students can get a quick estimate of their
student finance entitlement using the calculator
on gov.uk/studentfinance
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SECTION 1
BURSARIES SCHOLARSHIPS
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BURSARIES SCHOLARSHIPS
BURSARIES SCHOLARSHIPS

• Many universities and colleges offer financial
  support to their students
• through bursaries and scholarships.
• Bursaries
• linked to personal circumstances and often,
  household income
• awards can include fee waivers or cash
• Scholarships
• can be linked to academic results or outstanding
  ability in an area
• such as sport, music or art
• can be subject specific and are limited in numbers

Important to check university websites early and
ask at open days for information on available
bursaries and scholarships.
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SECTION 1
ADDITIONAL SUPPORT
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ADDITIONAL SUPPORT
ADDITIONAL SUPPORT

• Extra support may be available to students who
• have a child or an adult who depends on them
  financially
• have a disability, long-term health condition,
  mental-health condition
• or specific learning difficulty
• study an NHS or Social Work course
• NHS courses include
• nursing, midwifery, physiotherapy, speech and
  language therapy,
• dietetics, radiography, the later stages of
  medicine and dentistry

For more information on eligibility and
applications for NHS support go to
www.nhsbsa.nhs.uk/students
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SECTION 2
STUDENT LOAN REPAYMENTS
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STUDENT LOAN REPAYMENT
STUDENT LOAN REPAYMENTS AN OVERVIEW

• Students wont make repayments until their income
  is over 21,000
• a year gross (before tax).
• Full-time students will be due to start repaying
  in the April after graduating from/leaving their
  course.
• Repayments will be 9 of income over 21,000 and
  when employed deductions will be made from their
  pay through the HMRC tax system.
• If their income falls to 21,000 or below,
  repayments will stop.
• Early repayments can be made at any time, but any
  outstanding
• loan balance will be written off 30 years after
  entering repayment.

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STUDENT LOAN REPAYMENTS THE INTEREST
Interest added will vary, depending on a
students circumstances
The interest rate applied is updated once a year
in September, using the rate of RPI from that
March which is carried forward.
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STUDENT LOAN REPAYMENTS THE FIGURES
Income each year before tax Income from which 9 is deducted Monthly Repayment (Approx)
21,000 0 0
25,000 4,000 30
30,000 9,000 67
35,000 14,000 105
40,000 19,000 142
45,000 24,000 180
50,000 29,000 217
60,000 39,000 292
More information on loan repayments and interest
rates can be found at www.studentloanrepayment.co.
uk
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SECTION 3
APPLICATIONS INFORMATION
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STUDENT FINANCE APPLICATIONS KEY MESSAGES FOR
STUDENTS APPLY EARLY

• Each year thousands of students apply late for
  their finance and
• have no way to pay for their course or halls,
  some even have to drop out..
• ...dont let that be your son or daughter!
• It'll take at least six weeks to process an
  application so apply early!
• Apply online now at gov.uk/studentfinance to make
  sure that student finance is in place for the
  start of their course
• Students dont need a confirmed place at
  university or college to apply
• for student finance.
• Apply with their first choice, they can change
  details later if they need to.

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STUDENT FINANCE APPLICATIONS APPLICATION DATES -
NEW STUDENTS
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GOV.UK FOR MORE INFORMATION TO APPLY
www.gov.uk/studentfinance
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STUDENT FINANCE APPLICATIONS GET IT RIGHT FIRST
TIME

• Make a note of their account log-in details and
  keep them safe.
• Agree to share information from your application,
  this helps apply
• for many bursaries and some scholarships.
• Make sure any evidence and information needed to
  support an
• application is supplied first time (students and
  parent/partners).
• Submit an application even if theres a delay in
  getting income details from parent/sponsors so
  some funding (Tuition and Maintenance Loan) will
  be available when they start their course.
• If SFE request any additional evidence or
  documents to support the application use recorded
  delivery!

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STUDENT FINANCE APPLICATIONS RIGHT FIRST TIME -
COMPLETING AN APPLICATION
Before starting the application, students should
have the following to hand passport - SFE can
check identity using valid UK passport details
for most students university and course
details bank account details and National
Insurance number If you will be supporting a
students application you will need to set up
your own account on GOV.UK and provide
information including National Insurance
number(s), household income (from prior tax
year) and details of other child dependents
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THE STUDENT ROOM FOR FURTHER INFORMATION
RESOURCES
www.thestudentroom.co.uk/studentfinance
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SECTION 4
MONEY MANAGEMENT
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MONEY MANAGEMENT CONSIDER THE COSTS

• Before starting in higher education, its
  important students think about
• the costs they are likely to face and how to
  manage their money.
• A student will receive their maintenance support
  in termly payments
• and will need to budget for things like
• books and other study materials
• accommodation, food and drink
• sports, leisure and social activities
• There will also be other costs they may not have
  thought of yet such
• as insurance or a TV Licence.

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HOW MUCH?
MONEY MANAGEMENT HOW MUCH?
Studying in London? An 18 Student Oyster card
can save you 30 on Bus, Tram Travelcard
prices.
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HOW MUCH?
MONEY MANAGEMENT HOW MUCH?
Approximate figures from NUS The Guardian,
based on university owned accommodation
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MONEY MANAGEMENT HINTS TIPS TO CONSIDER

• Plan a budget and (try to) stick to it!
• Ask questions and get any advice they need from
  teachers or advisers, current students,
  university or college staff.
• Check out student bank accounts and NUS Extra
  cards.
• Try to avoid taking credit cards, store cards or
  pay day loans!!
• Be aware of phishing scams protect their
  information!!
• If they should need financial support and advice
  once at university
• or college, staff there will be able to help.

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KEY MESSAGES
KEY MESSAGES POINTS TO BE CLEAR ON

• Important to make the right university/college
  and course choice!!
• Tuition Fee Loans are available to all eligible
  students and future
• repayments are linked to a students income, not
  what they owe
• Research all finance available especially
  bursaries scholarships
• Apply on-line on time no need to wait for a
  confirmed place
• Application deadline for new students 30th May
  2014!!
• Check all details are correct before submitting
  an application

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QUESTIONS COMMENTS
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NEED MORE INFORMATION?
For further Information on student finance and
applications go to www.gov.uk/studentfinance Fo
r a range of helpful tools and guidance,
visit www.thestudentroom.co.uk/studentfinance