the student money manual 2013

7/28/2019 The Student Money Manual 2013

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20 13

Get the app on your phone or visit creditaction.org.uk/studentsGet smart about money

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Independent,in-depthadvice

Everything

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Moneymanual

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Moneymatters

you need toknow about


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01

At Santander we understand the importance of having goodmoney management skills. Thats why we support projects andorganisations that promote nancial awareness such as the Credit

Action Student Moneymanual .

Your time at university should be one of the most excitingchapters of your life. However, tuition fees and other costs maymake you wonder whether you will be able to manage nancially.Take the time to read the Moneymanual and discover what fundingis available, how to apply for it and how to manage your moneyonce youve got it.

Its crucial that you make informed decisions about yournances over the next few years. I hope you nd the

Moneymanual a useful tool to help you along the way:this is an opportunity to pick up money skills that wont

just get you through university, but will set you up for life .

Charlotte Hogg,Head o Retail Distribution

Santanders Charlotte Hogg on why money management is key.

www.creditaction.org.uk/students

2013 Credit ActionCredit ActionLynton House7-12 Tavistock SquareLondon WC1H 9LT

Tel: +44 (0)20 7380 3390E: [email protected] W: www.creditaction.org.uk

Student Moneymanual 2013Writer and project editor: Ruth BushiDesigner: Mike JonesImagery istock

Credit Action is the operating name of The Money Charity, a registered charityno. 1106941 and a company limited byguarantee, registered in England and Walesno. 5244075.

This book is only a guide to managing money weve had to simplify some issues. While we aim togive you useful and relevant info, we cant be heldresponsible for your financial decisions as a result.

Every effort has been made to ensure this bookletis accurate and the information provided is correctat the time of print (December 2012), but someinformation may be subject to change.

We're very grateful to the National Association ofStudent Money Advisers (www.nasma.org.uk), theDepartment of Business, Innovation and Skills, theStudent Loans Company and UCAS.

the student moneymanual

A degree isa antasticinvestmentGraduates earn an average12k a year more thannon-degree holders. *Higher education also givesyou an unrivalled opportunityto experience student life and,most importantly, immerseyourself in a course yourepassionate about. But it is,ultimately, an investment and only you can decidewhether its worth it.Find outhow much it costs on p3,and start demanding value formoney.

Studentloans arent

ree money There is an argument thatyoull never pay back yourstudent loan. The chances arethat, because of your highergraduate salary, youwill . Do thesums for yourself, get educatedabout interest rates andmakean informed choice (p10) .

No one shouldbe excluded

rom educationbecause theycant pay Theres a lot of financial supportout there: our section onfinding the funds (p9) laysout whats available.

Everyonedeserves thechance to

gain moneyskillsLearn how to make your

money work harder now andyoull lessen the likelihood offuture debt worry either way,youll have more cash to becomfortable with. Start withmoney skills on p19 .

Staying on top of yourmoney will allow you toreally enjoy your time atuniversity.

How to use

t h i s g u i d eO fcial sponsor o the Student Moneymanual 2013

/creditaction* Office of National Statistics, April 2011

G o o d

l u c k !Take the time to read the Moneymanual and discoverwhat unding is available, how to apply or it and howto manage your money once youve got it.

Get our info for part-time students atwww.creditaction.org.uk/students


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03

How much will it cost?


will i t cos tMost people planning to goto university or college in 2013will be asked to pay for highereducation.

BUT lots of you wont have topay anything upfront.

AND there's loads of fundinghelp available out there.

Bottom line? If you want to goto university or college, dontlet finance fears fudge up yourdreams.

how much

4 No pay no gain? Tuition fees laid bare7 Spend | thrift: money journal8 Funding the study bug


Worlds oldestuniversity: University oBologna, northern Italy( ounded 1088).

Worlds most expensiveuniversity: GeorgeWashington University inthe US charges $45,735in tuition ees thatsaround 28,000 everyyear.

Michael Kearneyis o icially listed asthe worlds youngestgraduate, getting a BAin Anthropology romthe University o SouthAlabama at 10. Theoldest is Allan Stewart,who got his ourth degreein Australia aged 97.

There are more animalswith degrees than youmight expect, usuallyachieved by pet ownerstrying to make a point.They include sciencejourno Ben Goldacresdead cat Hettie.

The University oPlymouth o ers a

oundation degree in SurScience, with modulesincluding CORN138 SurPractice.

The very irst series oUniversity Challenge waswon by the University oLeicester, back in 1963.Ox ord University holdsthe record or the mostwins overall.

Actor Harrison Fordsold the hat and whip hewore as Indiana Jonesto help und labs in UCL'sInstitute o Archaeology.

A student atCambridge Universityonce called 999 or anambulance becauseshed run out opainkillers.

The term redbrickuniversity was coined bya pro essor rom LiverpoolUniversity: Edgar AllisonPeers was inspired by theunis Victoria building.

Liverpool HopeUniversity was the irstto hold an open dayon virtual gaming siteSecond Li e.

Thinking about joiningsome societies whenyou get to uni? Howabout the AutonomousUnderwater VehicleSociety (Cambridge),Extreme Ironing (LeedsMet) or KiguSoc (peoplewho like to wear onesies,University o York)?

Our survey saidIn 2012, Student Moneymanual talked to almost 600 university applicants.Of those going to uni this year: 81% expect to fund their studies through a student loan

More than a third expect to get a job to help pay their way

Most expect to learn about money from their folks

Of those who had changed their mind about going to uni altogether,more than a third said it was down to money

werent you in my geography seminar?

>> Christine Ohuruogu,Alexander Graham BellandColdplayall went toUniversity College London.

>> 26 British PrimeMinisters have attendedthe University of Oxford,includingDavid Cameron.

>> Andy Serkis(Lord of theRings' Gollum) is a LancasterUniversity graduate.

>> Charles Darwinstudied at the University of Edinburgh.

>> Applications to theUniversity of St Andrews jumped by 44% after it wasrevealedPrince Williamwould be studying there.

>> Sir John Sawyers, head of MI6, attended the Universityof Nottingham, as did DrStewart Adams, who createdIbuprofen and Dato Seri NajibRazak, the Malaysian PM.

T he a ve ra g e g ra d ua te s ta r t ing

sa la r y is 2 2,3 0 0

( lo ve mo ne y.co.uk ). T he t hre s h

o ld or s tud e n t lo a n

re p a yme n ts in Eng la nd a nd W

a le s in 2 013 is 21k.


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L ove it or loathe it, whenit comes to your schooldays, youve never had itso good: free education ifyou want it, an allowance

if youre lucky, top-ups, treats, nobills and a free taxi service to boot.If youre applying for a degreeyoull very quickly find youre not inKansas anymore. Heck youre noteven in Narnia.

Most universities and degree-awarding colleges in the UK nowcharge for their courses. In fact,theyve always charged for theircourses but, generally, the lionsshare has been covered by theGovernment and grumpy taxpayers,leaving students to worry aboutliving costs and the great OriginalCurry or Mushroom? Pot Noodledebate. Over the last few years,

theres been a significant shift inwho foots the bill (now its youguys, the future grumpy taxpayers,)plus an eye-watering hike in howmuch institutions can ask you topay.

Dont panic Fear is your brains wayof telling you youreready to make aninformed choice about

what youre letting yourself in for.Were not going to tell you what

decisions to make, but we will giveit to you straight so you can makethe most of the level playing field.

The political debate of highereducation funding and the rights,wrongs and petty insults couldeasily run into several volumes but

n o p a y n o g ai n ?Your school days may or may not have been the best

days o your li e

but theyll probably be your cheapest.Moneymanual unwraps the cost o higher education.

the take-away message is thatmostfirst-time students wont have topay fees up front, and not at alluntil youre in work and earningover a certain amount . Thefinance package includes studentloans, grants and bursaries to tideyou over in the meantime.

So, if youve got a hankering forhigher education, dont feel you

cant consider it just becauseyou dont have a trust fund anda pony.

Who chargeswhat?

Good question. Feesvary according to awhole host of factors,from where you live,

to where the university is located,to whether youre a full- or part-time student, yada yada. Heresthe maximum institutions cancharge first-degree, full-timeundergrads :

As a result of moreadministrative independence,fees and funding varies quitesubstantially around the UK. This means a bit of a jackpot forScottish students you guys cantake advantage of fee-free highereducation as long as you study inScotland (youll be stung for thefull amount if you want to study inanother country).

Fees are also lower forstudentsfrom NI who study in NorthernIreland, whileWelsh studentscan get much higher fee grantswherever in the UK they study,effectively capping your fees at3,575 (which means paying backa much smaller loan later on). EUstudents are also entitled to thesame fees and funding as homestudents in their host country.

Students from England canbe charged up to 9k whereverthey study in the UK and,importantly, this is the one time youwont be classed as EU residents. So,if youre thinking about hopping

Tuition ees:

05


Fear is your brains way o telling youyoure ready to make an in ormed choiceabout what youre letting yoursel in or

Bear in mind that private colleges can charge what they like theyrenot bound by fee capping. Part-time fees are calculated on a sliding scaledepending on what percentage of the full-time course youll be covering inthat years study.

Source: UCAS

Where you live Where the institution is

England Scotland Wales NIEngland Up to 9k Up to 9k Up to 9k Up toScotland Up to 9k No fee Up to 9k Up to Wales Up to 9k Up to 9k Up to 9k Up to NI Up to 9k Up to 9k Up to 9k Up to 3EU Up to 9k No fee Up to 9k Up to 3,Other international Variable Variable Variable Vari

the student moneymanual www.creditaction.org.uk/students


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a day in the li espendI thrift?

Laura Martinez studied modern languages and cultures in herhometown o Palermo, Italy be ore coming to City University to studyaudiovisual translation. She rates London as the per ect location

or her MA but how does it stack up or spending?Moneymanual went snooping in her money diary.

Want to be featured in the next Student Moneymanual?Email us at [email protected] and your diary could be analysed by one of our money experts.

It looks as though Laura had a couple ofunexpected costs on this day some of which shecould have saved money on by being prepared.Laura usually makes her lunch the night before when she forgets, it works out quite costly.Whether it's leftovers from dinner, a sandwich ora salad get creative and save bucks in the longrun. Avoid snack costs by carrying something youcan eat between lectures or library visits: a pieceof fruit, cereal bar or packet of crisps. Carrying adrink will also help.

"Stationery costs are one of the staples

for students. Make a list at the start of eachterm and shop around including online. Iffriends need the same items, buying in bulkcould save you money. Dont forget to makethe most of your student discount or buyfrom the students union, which usually has arange of deals and discounted prices.

"Students under 19 can still get freeprescriptions make sure you fill out an HC11form (see gov.uk). If youre over 19 and haveregular prescriptions to fill, you could save moneywith a pre-payment certificate.

Draw up a list of of costs for each of your preferred uni choices: coursecost, town/campus rents, travel (around town and getting back home)and how much a night out will cost you. If you've already made yourchoices, make a start on your budget on p21.

Bushara RajaEducation Officer, Credit Action

07

over the border to get subsidisedstudy forget it. Theres a whole lotmore detail about the funding set-up later in this guide read on.

Whether youre charged as ahome (studying in your country ofresidence), EU or internationalstudent is down to yourinstitution. Generally, its basedon nationality and residenceover the past three years. Sounless you had very forward-thinking parents, youll find it hardto duck higher fees by emigrating.

How much willit really cost?

The cost of highereducation isnt justabout the fees. Theresa whole raft of living

costs, from rent to stationery totravel and socialising. Consider thebigger picture: compare the townssocial scene versus subsidisedentertainment on campus; or thecost of keeping fit in the StudentUnions gym compared with whatyou pay now. The cost of goingaway to study isnt just aboutwhose fees are cheapest but dontforget that, as a first-time student,youll be eligible for student loanson very favourable terms.

On the other hand, while youwont need to start repaying yourstudent loan for a few years, whenyou do, youll be expected to payback significantly more than youborrowed. Why? Your loan startsamassing interest from the day youborrow it and continues earning

interest until you make the finalpayment (or its written off after 30years, whichever comes first).

Dont just assume, however, thatthe higher the fees, the more youneed to borrow and therefore themore it will cost. Buy-now-pay-laterfees are intended to protect lowerearners, while the better off will beexpected to pay their dues. Either

way, a proportion of your monthlysalary could go towards loanrepayments for up to 30 years.

Short story?Dont make choices purely onfees: your interest in the subject,

future career plans and yourpersonal development will all beas valuable as your salary in laterlife. In the meantime, paying feesgives you consumer power. Whilethe universities can make you sweatover your grades, you now get toscrutinise their offer and see exactlywhat you get for your debt.

>> p10 Lowdown on loanrepayments

>> p16 How to borrowmoney from your folks

0 8: 2 0 H a d t o r en e w m y w e e k ly b u s p a ss on th e w ay to w o rk .

(13 .10 )

12 :0 0 D id n t h a v e t im e t o p re p a r e m y l un c h l as t n i gh t s o I g ra b s o m e f o od o n t h e g o fr o m P r t a M a n g e r.

(4 .2 0 fo r a s a n dw ic h an d a b o tt l e o f w at e r )

17 :0 0 R e a lis e I n e e d t o b uy a b i nd er f o r m y d i ss e r t at i on so p op t o W a t e rs t o n e s t o p ic k o n e u p. (12 )

18 :3 0 P ut in a n h o u r in t h e l ib r ar y . I n e e d t o e at ! ( 3 o n a w r a p , cr is p s a n d a d r in k )

19 :3 0 G o t o B o o t s t o p i ck u p m y p re s c ri p ti o n m e d ic i ne . (7 .5 0 )

2 0 : 0 0 I t s b e e n a p re t t y f ul l d ay , b u t I st i ll n ee d t o p i ck up s o m e s ho p p in g f o r to m o rr o w s lu n c h .

(5 .6 0 c ou rg e tt e s , c a m e m b e r t)

T o t al f o r th e d ay : 4 5 .4 0

the student moneymanual www.creditaction.org.uk/students


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Fi ndi ngFinding the unds

09

What it costs to live the student high-li edepends on everything rom your talent orthri , to how o en you hit the bar comparedto the books, to where in the UK you wantto study even your course can make adi erence. While its not an exhaustive list,weve created the outline o a reasonablestudent budget below use it as a startingpoint in making your money plan.

ow much are you worth? Work out your personal budget online atcreditaction.org.uk/budgetbuilder

Funding thestudy bug the unds

10 The lowdown on loans12 Working it off: The freshers perspective15 Grants16 The f-word17 Other sources of funding18 Loan ranger: Our insider spills the beans

Somewhere to stay Cheaper to stay with your

folks or share with friends

University halls are often cheaperthan private rents

Some student accommodationincludes all bills and contentinsurance shop around

Studying

Pre-c ourse/set texts Lab or specific kit

the uni wont provide Stati onery, printing,

photocopying

Not looking like a tramp Clothes, shoes and their

upkeep Toiletries Household cleaning stuff

Bills

Water, gas, leccy if not in rent

TV licence/cable

Broadband, home phone,mobile

Getting about

Local fares Going home Cycle or car maintenance

Toadying up to people Bir thday presents Christmas/seasonal presents Other treats

Munchies

Weekly shop Snacks while you're out Dining out

Getting your kicks

Gym, sports, societies Hobbies, drinking, smoking Films, music, gigs

Start/end o term costs Moving your gear Kitchen kit, bedding Beg or borrow where possible

One-o charges

0 -8 0 / m o n t h

0 -9 0 0 / m o n t h

3 0 0

Computer equipment and software Holidays Interest and bank charges


There are a number ofways to cover your highereducation craving:

Loans (which have tobe paid back)

Grants (which dont) Parents, jobs, savings

From bursaries to benefitsand booster funds,Moneymanual looks atwhere the cash comes from.


0 -2 0 0 / y e a r

Ma ke your o wn b udg e t on p 21

o r se e our s tud en t p ro f le s on l ine

.

0-15 0 / ye a r

h op t i l l y o u d r op ?

1 0 0- 2 0 0 u p f ro n t,

the n 2 0 / mo n th

2 0 - 2 0 0 /

m o n t h

8 0 -2 0 0 / m o n t h

2 5 -1 0 0 /

m o n t h

1 5 0 - 2 0 0 / m o n t h


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Finding the unds

F or the price of your averagethree-year, undergraddegree, you could buy yourfirst Lexus GS F Sport withheated, leather seats.

By no means is what youreabout to undertake cheap but, likea luxury car, a degree can take youplaces.

Unlike the GS, there are feweradmiring glances but therearefunds available to help you get adegree in the form of the StudentLoan.

Fee andmaintenance loans There are two types of fund you canget as part of your Student Loan.

1. Tuition fee loans arentmeans tested so it doesntmatter how much you or yourfolks earn. As long as this is yourfirst full- or part-time degree andyoure a UK or EU student, youcan apply for a loan to cover thefull cost of your course fees.

2. Full-time students can alsoapply for amaintenance loanto cover living costs. You can

apply for a proportion of the fullloan without being means tested,but your family income will betotted up if you want the fullmonty. There are further top-uploans for courses longer than 30weeks. Some Oxbridge colleges

also offer their own maintenanceloans.

How much canyou borrow? How much you ultimately borrowwill depend on a number of thingsbut theres a quick breakdown inthe table below. To keep thingssimple, its limited to studying inyour home country but outsideLondon and living awayfrom your folks.

o n l o a ns I you cant cover the cost o your ees and living expenses up ront,youll likely need a loan. Simples. Moneymanual spells it out or you.

How to getyour money You apply to the Student LoansCompany and they reply within sixweeks with a letter of notificationtelling you what you can get. Ifthat includes the fees loan, youllneed to show this letter to youruniversity or college so they knowpayment will come directly fromthe loans company. Youll get anymaintenance loan (and grant seep15) paid directly to your bankaccount in three instalments, one atthe start of each term (monthly inScotland).

When you first start universityyou wont receive your very firstpayment until youve formallyregistered (enrolled) on your course

so youll need some cash to tideyou over when you first get there.

You'll need to re-apply for anyloans you want for the followingyears study.

Paying it backYou wont need to start repayingyour student loan until youve leftyour courseand are workingand are earning more than the salarythreshold (21k for students fromEngland and Wales, 16,365 if youre

from Scotland or Northern Ireland).Once youve hit the threshold,

you pay 9% of the differencebetween the salary threshold andyour actual salary, for as long as ittakes to pay back your loan plusinterest (see p13).

Deductions are takenautomatically from your monthlyearnings the details will be notedon your payslip. Any bonuses orovertime you get will be trackedautomatically, so you may makea loan repayment one month

because overtime and bonusestake you above the threshold, butnot the following month. Loanrepayments track your salary ifyou fall below the threshold, yourrepayments will stop until youreback above it.

What aboutinterest rates?While the rates on student loans are,frankly, unbeatable, theyre notfree interest will accrue between thetime you take out your loan and thetime they prise the final instalmentfrom your sweaty, clenched fist.

The lowdown


Home country Max. fees()

Max. fees loan Max. maintenanceloan ()

Max. student loanover three years* ()

Scotland 0 0 5,500** 22,000Northern Ireland 3,575 3,575 4,840 25,245England 9,000 9,000 5,500 43,500Wales 9,000 3,575(a fees grant

makes up any difference you dont need to paythat part back)

4,745 24,960

Interest ratesEngland and Wales

While youre studying:rate of inflation plus 3%.

After graduating and earning:

Below 21k: rate of inflation

21k-41k: rate of inflation plusup to 3% depending on salary

41k or more: rate of inflationp lus 3%

Loans interest forScottish and NIhome students is 1.5% per year atthe time of writing.

Rate of inflation is the amount thatcosts have increased (or decreased)across the board, across the whole ofthe UK. Student loans use the retailprice index, which is 3.6% at thetime of writing.

Continued on p13


Maximum amounts vary for part-time students see www.creditaction.org.uk/studentsFigures correct at the time of going to press. *Four years in Scotland **6,500 for independent students

You can see how far yourmaintenance money needsto stretch on p8. When youvestopped panicking, see p20 onhow to make a budget and p25for money-saving advice.


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Finding the unds

f a s hi o n Bristolstudent profle

Josiah Wong joined the English and Journalism degree course atUWE Bristol in September 2012. We asked him about fnance, utureplans and why he touches ood or a living

The goodI really like Bristol as a city and UWEwas one that worked on pointsinstead of grades, which was useful

for me. It is an expensive city,though its up there with London.

The badI have to pay nine grand a year UWE is one of the universitiescharging the full amount whichIm paying with a fees loan. I alsohave to pay 695 a month for myaccommodation. It is very niceaccommodation, though big,high-rise apartments with flatsinside theyre also quite new. Iwas talking to my [student] friendswho live in Wales and they said,695 is that for the term?! And Iwas like no .

The weirdBefore uni I was working at homein Sainsburys, on the checkouts.Its just a job to try and make some

money its not what I want tobe doing ultimately, but its goodpay and I just have to sit thereand touch food. Ive got towork because Ive got 2k Ive gotto find from somewhere for myaccommodation and I havent takenout a maintenance loan.

The ees The debt doesnt really worry mebecause I know that I wont haveto start paying it back unless I

suddenly get a very nice job which I think is unlikely on finishingmy sort of degree. But it has putoff a lot of people I know theyremore worried about money than Iam and cant rely on their parentsfor financial support.

I changed my A-level optionsafter the first year and stayed on anextra year so I was caught by thefees increase. If Id known about thefees jump I might have done thingsdifferently but my plan has alwaysbeen to go to uni. Ive picked a jointcourse, so Ive got lots of optionswith the English part of the courseif journalism doesnt work out. Imreally looking forward to it.

How was it for you? Let us know how you get on whenyou get away or just share your money-saving expertise.

The debt doesnt worryme because I knowthat I wont have to startpaying it back unlessI suddenly get a verynice job


/creditaction


* What Do Graduates Do? (2011)www.hecsu.ac.uk

How much isyour loan worth?Your loan starts earning interest as

soon as you receive it and keepsearning interest until youve repaidthe whole amount or for the termof the loan if that comes sooner (25years in Northern Ireland, 30 yearsin England and Wales, 35 years inScotland). The full amount of yourloan will include tuition fees andany maintenance loan plus interest .

Will you payit all back?Any loan you havent paid backafter 25-35 years is wiped off which sounds like free money,right? Not quite. One of the mostcompelling reasons for highereducation is the difference adegree makes to earning power.According to a Government

survey*, average UK graduatestarting salaries range from17,720 to 23,335. Hopefully yourpay will go up over the courseof your career, with final salariesof between 30k and 80k notunheard of. This means you couldearn enough to start repayingsooner than you think and willlikely pay back the full loan amount thecompleteuniversityguide.co.ukhas a loan repayment calculatoryou can use to calculate the oddsfor yourself.

Monthly paymentsHow much you pay back eachmonth depends on the country inwhich you took your loan, as thesalary threshold varies by region.In England and Wales its 21k; inScotland and Northern Ireland, its16,365.

You can use this formula to workout monthly repayments:

(((your salary)-(threshold)) x0.09)/12

In other words, take the differencebetween your salary and thethreshold and multiply by 0.09.

Divide the whole lot by 12 to get amonthly figure.

Remember also that, as your salaryincreases, so too will your monthlyrepayments:

Wipeout?Its tempting to think of theStudent Loan as money youll neverhave to pay back. The chancesare, on an average graduate salarycurve, youll probably pay backthe full amount but even if youdont youll be paying monthlycontributions for most of yourworking life. The only way youllavoid this is if you earn less than, orclose to, the salary threshold inwhich case only you can answerwhether the cost and effort ofgetting a degree will be worth it

for you. The Student Loan is fixed on

better terms and rates than anyother loan youll get but, as withany other type of loan, get into thehabit of thinking about the ideal,the realistic and the worst casescenarios for how your borrowingwill affect you.

Small print If you take out a student loan for

a course that you dontcomplete, youre still liable forrepayments on any moneyyou did borrow (the terms andthresholds of repayment will bethe same).

Your student loan repaymentsstick with you even if you

later live and work abroad: thethresholds will vary according tolocal averages but interestwill be based on the UK rate ofinflation.

Monthly repayments ()Salary () England& Wales Scotland & NI

17,000 0 4.7623,000 15 49.76

30,000 67.50 102.26

80,000 442.50 477.26

(continued rom p11)

o n l o a n s The lowdown

Next step : Apply for studentfinance with these guys:Wales: studentfinancewales.co.uk England: studentfinanceengland.co.uk Scotland: saas.gov.uk NI: studentfinanceni.co.uk


9/17

the essential student moneymanual

Finding the unds

G rants ensure that studentsarent excluded from educationbecause of costs. Theyconstitute the magical part

of student finance: they dontneed to be paid back; but getting yourhands on the full amounts can seemharder than pulling a rabbit out of a hat.

Your first port of call should be aMaintenance Grant . The cash potvaries by country and is means tested,so the higher your family income, theless youll receive. Grants are paid ininstalments at the start of each term,and usually within a few days of officiallyenrolling on your course for the firsttime. So bear in mind that, in the first

year, you may arrive at uni beforeyour grant or loan does so

you might want to getsome other cash

together before youget there.

Not taken or Its not all about eesand urrowed brows i youre applying

or higher education,theres ree money thatyou may be able toclaim. First up: grants.gr an t ed

Feeling special? The amount of MaintenanceLoan you can apply for is reducedby the amount of any MaintenanceGrant you get. TheSpecialSupport Grant , for students receiving means-tested benefits,isnt counted as income (so wont affect your benefits) anddoesnt reduce the amount of student loan you can applyfor. You can apply foreither the Maintenance Loanor theequivalent amount of SSG.

What can you apply or?England and Northern IrelandMaintenance grants offer a share of up to 3,354 (England) or3,475 (NI) per year for family incomes up to around 40k. Anygrant you get will reduce the amount of loan you can apply for.In England:studentfinanceengland.co.uk In NI:studentfinanceni.co.uk

WalesMeans-tested Assembly Learning Grant (ALG) for livingexpenses of up to 5k per year. Youll need to have a familyincome of under 50k to get a stake of it and anything you doget may reduce the amount of student loan youre entitled to.You may be eligible for SSG (Special Support Grant) instead ofALG.studentfinancewales.co.uk

ScotlandA Young Students Bursary awards up to 1,750 a year onfamily incomes of less than 17k youll need a family incomeof less than 34k to be eligible for a proportion of the bursary. Italso reduces the amount of maintenance loan you may get.

Independent students can apply for a bursary of up to 750,with more loan support to make up the difference from theYoung Students Bursary.

Supplementary grants are available for students in particularcircumstances single parents, disabilities, etc.saas.gov.uk

15www.creditaction.org.uk/students


10/17

TheFinding the unds

E ven if you get the fullmaintenance loan andgrants, theres likely to besome shortfall in whatyou actually need to live

on. And, if you get less than the fullamount, its likely to be becauseyour means-tested family incomessuggest you or your folks are moreable to put in the extra. Either way,youre expected to start payingyour own way whether throughpersonal savings and income orfrom borrowing/accepting moneyfrom your family.

How muchdo you need?1. FeesHow much will your course costand are you eligible for a tuitionfees loan? If you are, thats one lessthing to worry about for now. Ifyoure not, where will the moneycome from?

Tuition fees minus any fees loan:_______

2. Living costsYou can get an idea of the kindsof things youre going to have topay for on p8 and start reckoningup how much youll need our

ballpark figure is in the region of9k per year, which sounds a lot.Cos it is.

Living costs minus any

maintenance loan and grant:_______

Doing the sumsCan they afford it?Can your folks afford to give youmoney? Will they give you moneyupfront, as part of your studentfinance payments, and/or can yougo to them if you getinto trouble later on?Will it be a one-off ora monthly allowance?

Is it a loan or agift?If its a loan,when and howare you expectedto repay it? Will yoube expected to payany form of interest?

String theoryWhen you borrowmoney from the bank,you pay interest andcharges for the privilege.When you take money

from your folks or friends, while itmight be interest-free, theres oftenan implied cost: the money may beearmarked for a specific spend, likerent, or coming home for christmas,

or you may be expected to accountfor your spending if it gets out ofhand. Heres what else you mightwant to ask your folks sooner ratherthan later:

So, take the bull by thehorns: have the talk now,

thrash things out and seewhat works for you and

yours. Let us knowhow you get on.

f - w or dOther sources o undingDont be put o rom applying to higher education by the

ear o costs heres what other fnancial help you could get.

Through your uni Some universities havescholarshipprogrammes for applicantswho are doing well at school butmight otherwise struggle to payfor higher education.Bursariesoffer further support regardlessof academic ability some aretailored for students from particularbackgrounds (lower income familiesor lone parents, for example) butothers may be open to all.

Universities in England chargingmore than 6k in fees also takepart in theNational ScholarshipProgramme (NSP) , which offerssome students from Englandat least 3k of financial supportthrough a mix of fee waivers,discounted accommodation andcash grants. Talk to your unisfinance office for eligibility info.

Government undingMedical students can get extrahelp with costs, including anNHS bursary up to a grand innon-repayable funds plus up toanother 3k in means-tested granthelp. Theres an attendant disabledstudents allowance, too. Seewww.nhsbsa.nhs.uk

Students with disabilities, orwho are single parents, may beable to claimincome support andhousing benefit but amountswill be affected by how muchMaintenance Loan youre entitled to(regardless of whether you actuallyborrow anything). While part-timestudents may be able to claimbenefits if theyre on a low income,

the majority of full-time studentscant claim benefits (including job-seekers allowance, even duringvacations). You can get furtherguidance fromwww.adviceguide.org.uk

Through StudentFinanceWales:www.studentfinancewales.co.uk England:www.studentfinanceengland.co.uk Scotland: www.saas.gov.uk NI: www.studentfinanceni.co.uk

Full-time students with kidscan apply for a childcare grant andparents learning allowance. If yourefinancially responsible for anotheradult, you can also apply for anadult dependents grant .

All three grants depend onhousehold income, dont need tobe repaid, and dont affect means-tested benefits. Entitlement andamounts vary by country andcircumstance.

Disabled Students Allowance(DSA)If you have a learning difficulty ordisability (including mental andphysical health conditions), youmay be able to get DSA, whichisnt means tested, and doesnthave to be paid back youllneed to provide evidence of yourentitlement, however. Paymentscover things like non-medical help,travel and specialist equipment but they must be costs incurred

because of your courseand as aresult of your disability. For instance,you could claim for a sign languageinterpreter, but not for books.

Everything else Theres a lot of money floatingaround in private scholarships,bursaries and local awards whichmay not be advertised as widely asthe national programmes above.Ask your faculty whats available, orsearch www.turn2us.org.uk or

www.family-action.org.uk

the student moneymanual 17

Bo r rowing m o ne y ro m y o u r fo lk s c a n p la y ha v o c with yo u r c a re ully c r a f e d se nse o ind e p e nd e nc e , so it s wo rt h t h inking no w a b o ut wha t yo u m ig h t ne e d to b o rr o w a nd und e r wha t c irc um st a nc e s.

Th e p a g e yo u r p a re n ts n e e d to se e !

What do you think? Do you expect an income from your family?Or do you think loaned money should always come with rules? Let us know: /creditaction

DSA: How much can youget?Full-time students can get up to:5,161/course for specialist kit20,520/yr for a non-medical helper1,724/yr for general assistance

Part-time students can get up to:5,161/course for specialist kit15,390/yr for non-medical help1,293/yr for general assistanceSource: www. gov.uk


How much can you lendme and when?

If I need to repay you,how much and by when?

How do you manage your money?

Do you have anybudgeting and money-saving tips?

What expectationsdo you have aboutme managing anymoney you give me?

What happens if it goes wrong or Iget into debt?


11/17

Money skills

the essential student moneymanual

skillsWant to make yourmoney last longer?

Beg Borrow Budget

Moneymanualshows you how toget some spending and staying power.

money

20 (How not to) blow your load21 Budget planner22 The good, the bad and the ugly of borrowing23 Banking basics25 Money-saving mojo28 Trouble-shooting29 Go forth and prosper

C o n f i d e n t i a l


Lo An student profle

True tales rom the ront line o student fnance:our insider reveals what she learned at uni.

During my third year, I wasunintentionally overpaid on thesecond instalment of my loan

they gave me more than I shouldhave received. I hadnt realisedId been overpaid and spent themoney thinking Id be gettinganother instalment in a few monthstime. Then I was told I wouldntbe given a third loan instalmentas a way of paying back the extramoney ...

It put me in a really tricky position:I didnt even have money for basicslike travel, food and books whichis when I started spending mystudent overdraft (something, yearslater, Im still trying to pay off ). There was a definite effect stress,and the way it affected my socialactivities and personal life. When myoverdraft ran out, I would have to

take the bus to places sometimesa two-hour journey rather than a30-minute tube ride just to savemoney.

One of the major consequencesof still being in debt is not beingable to fund everyday basics andthe effect it has on my social life.I have to think twice about doing

things such as going to the cinemaor eating out, because I have toquestion if its worth it and how

much more debt it will put me in.

Id always assumed being in debt iswhat student life is about, so I didntthink to ask anyone for help at the

time. Now I think if Id budgeted, Iwould have been comfortable livingoff my student loan money.

If I were to do things differently, Idopen a savings account and putaway a bit of money from each loaninstalment so Id have money tolive on over the summer (whenyou dont get a loan instalment!).Id definitely recommend makinga budget so you can spread yourmoney out over the year. Dontblow it all as soon as you get it!

19

One o the majorconsequences ostill being in debtis not being ableto und everydaybasics and thee ect it has on mysocial li e


More tales from the front line:www.youtube.com/creditaction


12/17

Blow your load

I ts easy to stick your first paycheque or grant payment intothe bank and shred that badboy in a couple of weeks butthat could leave you facing a

long term ahead of eating beans

and feeling sad.

How it worksYoull want to have a crack at thebudget planner on the next pageat least a couple of times over theyear. Do one now based on whatyou think youll spend during yourfirst year at uni, to get a rough ideaof what youll be living on. Onceyouve started your course, youshould spend at least a week or twokeeping a money diary or using ourspendometer app find out exactlywhat your Starbucks addiction costsyou. Keep all your receipts and usethem to re-do your budget plannerbased on real spending every sixmonths think of it as a financialMOT.

How to work itStart by listing your income. Thiscan be from your job, student loans,grants or your folks. Dont countcredit cards and other loans (seep22 for why regularly living onborrowed money can come back tobite. Hard.) Stick the amounts intothe budget planner.

Then add in all your outgoings over-estimating and roundingupon your spending is a good habit toget into, as youll have more leewayfor cut-backs later on.

Once youve added up all your

totals, subtract your total spendfrom your total income.

Start your budget on the nextpage.

How was it or you?If your balance comes out in theblack (youve got more money leftover than you need to spend) brilliant. Lend us a tenner?If you find youre in the red dontpanic.

1. Prioritise your spending. Yourrent is non-negotiable but, ifyou find you blow 50 a weekon cosmetics, you may to haveexperiment with the natural look or find cheaper brands.

2. Get more income. Have youchecked youre getting every grant,benefit and bursary youre entitledto? Could you cope with a part-time job? Could you wangle a six-figurebook deal?

How do youstick to a budget?Its ultimately down to sheer willpower: learn to say no to one moredrink when you know youve maxedout your weekly allowance, or knockback designer labels in favour ofsome jumper your nan knitted. Inthe long run, youll be able to savefor what you really want, whetherits financial solvency after yougraduate, a meal out with friends

next week or a designer outfit nextseason.

Got a smartphone? Download thefreeSpendometer app from

www.spendometer.co.uk to keeptrack of your spending on the go.

>> p8 Not just books: What elseyoull need to spend cash on

>>p25 Thrift chic: How to makeyour money last longer

Money. You can get hold o it but, rankly, youve had ake tans thathave lasted longer. Is sticking to a budget a science or a black art?

( h o w n o t t o )


Money skills

Got a budget boosting tip? Share it atwww.facebook.com/creditaction H o w m u c h a r e y o u w o r t

h ? W o r k o u t y o u r p e r s o n a l

b u

d g e t o n

l i n e a t c r e

d i t a c t i o n

. o r g

. u k / b

u d g e t b u

i l d e r

Income (where your money comes from) Weekly Monthly Termly YearlyJob BenefitsStudent loanFamilyOther Total income (A)Outgoings (where your money goes) Survival RentCouncil taxGasElectricityWater TV licenceEducation costs (e.g., course fees and books)Essential transportFoodNecessary clothes ToiletriesMedical costs (e.g., prescriptions, optical, dental) Total survival (B)Lifestyle Rentals (e.g., TV, DVD, satellite)Clothes for leisureCosmetics and groomingPhone, mobile and internetHobbies and sportsSocial (including alcohol and cigarettes)

Anything else (e.g., insurance, laundry) Total lifestyle (C)Saving Special events (e.g., holidays and birthdays)Emergencies Total saving (D)Summary Total income (A) Total survival (B) Total lifestyle (C) Total saving (D)Total spending (B)+(C)+(D)=(E) Balance (A)-(E)

A fne balanceWant to prepare your pocket or uni li e and manage your moneybetter once youre there? You need a budget. We show you how.

www.creditaction.org.uk/students 21


13/17

The good, the bad & the ugly


Borrowing to buyCredit cardsCredit cards are likedebit cards but thecrucial difference is

that they allow you to spend moneyyou don't have . For that reason,

you need to think carefully aboutwhether this is another debt youwant to take on, and whether youhave the means to pay it back.

Heres how it works: you spendwhatever you need during themonth on your card; you're thensent a bill. If you pay off the wholebalance, youre evens. If you onlyever make the minimum repaymentyou accrue interest on anythingleft over and, with interest ratestypically at 24% over the year, itcan become harder and harder to

clear your balance. If you dont payanything at all that month the cardsupplier will slap you with a penaltyfee as well as the interest.

Credit cards can be usefulfor large purchases (anythingover 100 is covered by a cardcompany warranty, giving you extra

protection if anything goes wrong). They also come with a whole raft ofenticing offers to sweeten the deal,but don't be tempted unless you'realready in control of your financesand can manage the repayments,infull, every month.

In short if you want toborrowmoney , there are more cost-effective ways, starting with aninterest-free overdraft (p23).

Store cardsStore cards are like credit cardsthat tie you to just one shop andwith rocket-fuelled interest ratesto boot. If you're tempted byintroductory deals, make sure yourepay immediately and then closeyour account.

Borrowingto plug a gapPayday lenders

So-called paydaylenders sub you cashbetween pay checks usually smallish

amounts for a few weeks to tide youover until you next come into cash but on fairly hefty interest rates.Borrowing 100 for 30 days throughone online lender we looked at willsee you pay back 136.72. Youre

typically expected to repay thewhole amount in one go, and thereare hefty penalties if you dont.

Don't look for loopholes toborrow from these lenders (i.e.,fudging income or employmentdetails) to get your hands on themoney theyre not designed for

anyone without an income.

PawnshopsRather than being some benevolentcar boot sale, pawnbrokers areactually lenders.

You put up collateral (jewellery,gadgets) and the pawnbroker givesyou cash as a loan. If you repaythe loan by an agreed time, youget your goods back. If you can'tpay the balance, you can choose topay the interest alone. If you cantpay either, the pawnbroker canhock your gear to someone else(probably for more than you wereoffered for it).

Stick to pawnshops for checkingout bargain buys or offloading thatunwanted Glee boxset.

Borrowing to stop acrisis

Prevention is betterthan a we told you so.Get to grips with yourbudget first to avoid

the worst kind of debt nightmareslater on. If youre still struggling toget by, talk to your students'union.

>>p28 For more on trouble-shooting a cash crisis

A quick guide togetting hold oother peoplesmoney.o f b o r r o w i n g

F irst port of call is gettingyourself a student

bank account. Theseare friendlier than youraverage current account

plus, with the banks going all-out toget the student dollar, come with arange of perks.

Freebies Free cash, phoneinsurance, musicdownloads ordiscounts work in your

favour if youre the kind of personwho always stays in credit. If you'renot, don't choose an account onfreebies alone as you'll probablypay over the odds in charges andinterest rates in the long term.

Interest rates If you're the mythicalstudent who not onlystays in credit but hasmoney left over, or can

afford to stash a lump sum away,get yourself a high-interest savingsaccount at the start of the year andearn some interest on your extracash. Make sure youve got otherincome to keep you going, though

theres no point getting into debtin one account so you can earn

interest on another.

Overdra ts Student overdrafts arelike gold dust unlessyoure a student inwhich case theyre

like X Factor boy bands: absolutelyeverywhere. Theyre pretty specialanimals, though, so make sure

you shop around for the bestdeal for you. They often come in

interest-free flavours and last for theduration of your course, after whichpoint the bank will either want itsmoney back or start charging youinterest and/or fees. This wonthappen immediately, though typically you might be moved toa graduate account so youre notstung with the full fees and ratesstraight away.

bankingA cash stash under the mattress is so 19thcentury. Get to grips with how bankingworks then make it work or you.


Money skills

The golden rules ostudent bankingHigh interest rate onmoney you have in thebank =

High interest rate onmoney you borrow =

APR (annual percentagerate) refers to theinterest charged onloans. The higher therate, the more moneyyoull have to find topay back.

Get your student account before you leave for uni so you have some place to pay in, and get at, yourgrant but bear in mind that many banks won't give you credit (overdraft or credit cards) until you tu


14/17

How do theywork?

Having an agreedoverdraft of 500means you canspend your existing

balance plus up to 500 of thebank's money. Make sure you lookfor an interest-free overdraft oryou'll have to pay back the moneyyou borrowed plus daily interest which can quickly add up. Ifyou don't agree an overdraft, oroverspend on your account, you'llhave an 'unauthorised' overdraft and the bank can whack you withinterest, PLUS a charge. Ouch.

Shop around to find an accountwith the highest guaranteedoverdraft limit see

www.uswitch.com orwww.moneysupermarket.com

If you max out your overdraftlimit, talk to the bank asap andask them if they'll temporarilyextend your limit.Don't

bury your head and carry onspending the problem won't

go away by itself and you cantake steps to get back in

con tro l.

Credit scoring Every time you applyfor credit a store card,bank account, creditcard, even a mobile

phone contract the 'lender' willrun what's called a credit check onyou. This is a comparison of yourfinancial history against their idealchecklist. If you don't meet theircriteria, you may be turned down.

1. Each sellers credit check is basedon their own credit scoring system.If you don't pass with one, you maypass with another (although avoidmaking lots of applications in ashort space of time as this formspart of the criteria).

2. The credit check is all about risk do you look like a reliable payer?

3. If you're new to bank accountsand credit, you may not yet haveenough credit history to pass thesechecks.

4. A student loan won't affect yourcredit rating. You can check yourcredit history for free atwww.noddle.co.uk .

Managing your accounts well andbuilding up a good rating in themeantime will help seewww.moneysavingexpert.comfor more ways to patch-up yourrating.

Money skills

Open one account for your dailyspending and keep your billmoney secure in another

Its easier to stick to a budget(p20) if you get cash out onceat the start of the week and onlyspend that

Never share your pin

Avoid ATMs in shops thatcharge you to get your cash try to stick to bank machines(and, for extra security againsthacking, try to use thoseinsidethe branch)

If you're buying (or selling)stuff online, a Paypal.comaccount transfers money

without revealing your bankdetai ls

Use your sense when shoppingonline and only buy fromreputable and secure websites

Get into the habit of checkingyour receipts and statementsto track spending or

unexpected charges

Talk to your bank straight awayif you lose your cards or suspectfraud on your account

Try to live within your meansmost of the time and saveborrowing for special occasionsand emergencies

Got money woes, worries orworse? Get advice from youruniversity's welfare office,

www.nasma.org.uk, or fromStepChange Debt Charity(0800 138 1111).

>> p16 How to borrow moneyfrom your folks

>> p18 Tales from the front lineof student finance

the gapSmart ways to save money and plug the hole betweenyour income and your outgoings. Mi n d

the student moneymanual 25

Got a sure-fire way to keep hold of your (cash) stash for longer?Share your tips at www.facebook.com/creditaction

Smart money moves


Know it1. Budget, dont fudge it

If you want to get a handle onyour finances, a clear idea ofwhat youve got to play with is

the place to start: make abudget (p21).

2. PrioritiseMake sure you pay youressentials first or keep yourspendable cash in a separateaccount so you dontaccidentally blow your rentmoney on Rizlas and Red Bull.

3. Spend lessBoring, yes, but guaranteedto save you money. Designer

labels, the latest smartphone,

eating/drinking out they alladd up. Pay off your priorityspending first, and get yourkicks for free.

Make it4. Get a job

If you cant juggle a part-timejob with your coursework,secure a holiday job to tideyou through the rest of theacademic year. You can earn upto 9,205 before you have topay the tax office their slice get your employer to give youthe relevant paperwork. If youget a job some place you shop,

you may get a staff discount toboot.

5. Be a consultantCapitalise on your skills and

pitch for freelance work inyour field of expertise anything from social mediato pet care. Get yourself a freeWordpress blog and cheapbusiness cards or flyersand promote yourself to localbusinesses, universitydepartments and fellows tudent s.

6. Sell outFlog unwanted CDs, books

or gadgets through Amazonand Gumtree. Check anytransaction fees before youpost and watch outfor postage costs; they


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27the student moneymanual

Money skills


Your university or college will usually becheaper on most things, rom stationeryto gym access

13. In it together?If youre flat-sharing, get the

names ofall tenants put onany household accounts that

way youre all equallyresponsible for bills and youwont be left chasing upanyones share. A basic bankaccount (without overdraft) thatyou all pay a set monthlyamount into will also ease

bil l-day dramas.

14. Best buysSupermarket own brands

forgo the fancy wrappingto keep costs down. Sometaste exactly the same as thebig brand versions. Some dont.Group shopping if youve theright group of friends orflatmates can save you cashin the long term; singleshoppers can still buy in bulkfor a sweeter deal. Making andsticking to a shopping listweighs in cheaper than

shopping on impulse.

15. TravelBook train, coach and air faresup to 12 weeks in advance toget the cheapest fares (twosingles may be cheaper than a

return, too).

16. SocietiesDont get fresher fever and payto join all the societies in thefirst week youll never go tohalf of them. Be choosy.

Beg, borrow 17. Learn to love free

Embrace the concept of thewish list and dont feelashamed to let your friends andfamily know what youreafter; youd be surprised whojust happens to be getting ridof an old laptop or sofa.

18. Prescriptions (free in NI,Scotland and Wales)Full-time English students under19 can get free prescriptions get your hands on a HC11form. If youre older, read thesmall print to see if theresanything else youre entitled to.If all else fails, you may be ableto save on repeat prescriptioncharges with a pre-paycertificate. Seegov.uk

19. SexCondoms and othercontraceptives are free fromyour local GP surgery or family

planning centre, plus some SUand welfare offices, so stock up even if you think you wontneed them.

20. If you dont ask If youre buying a shiny new

laptop, ask if you can havesome free software oraccessories to clinch your sale;or ask for a discount for payingcash. And even if youre not.Theres no shame in asking,even if the answers no. Your

university or union may havesecured discounts for students,too, so ask them first.

21. Dont pay finesSet up calendar alerts on your

phone or computer so youreturn any rentals or librarybooks on time.

22. Move itThe university gym will alwaysbe cheaper than the localoption but if youve accessto parks and open space, run orwork out in the open air for freeand gratis.

23. SoftwareYou dont have to rely on priceybranded software to make yourputer purr. There are reliableand virus-free versions online,including word processing andspreadsheet tools via GoogleDrive.

24. By the book Got your reading list? Get to the

library asap if you want to be onthe right side of thestudent:book ratio. Dont ruleout local libraries, either somehave pretty poor book stock;

some dont, plus free internetaccess to boot. If youve alreadygot a Kindle, check out its built-

in library facility (free for Primecustomers).

25. Make the most of your uniYour university or college will

usually be cheaper on mostthings, from stationery togym access. Many evenoffer free services from careerdevelopment workshops tocounselling.

can easily eat into eBayprofits. Sites like

www.mazumamobile.comandmusicmagpie.co.uk offerconvenience over trampingout to car boot sales, but theydont always offer the bestpric es.

Save it7. Council taxAny household which consistsof only full-time students isexempt from council tax dontpay if you dont have to.

8. Phone for freeIf youve got a smartphone, you

can usually make app-to-appcalls and texts for free throughyour data plan with apps likeWhatsApp or Viber. Download

Skype and you can make freevideo calls, too.

9. Saynoto0870.comIf you need to call an 0870

number (utilities, some shops),you may be able to call withinyour phones plan/deal bygetting the geographicalternative at this website.

10. Box cleverStudents are easy targets for

the licensing van. If you watchTV programmes as theyre

being broadcast (whether onTVor a computer ), youll needa licence. If you only ever watchcatch-up telly, you may not check it out.

11. Card it The NUS Extra card offers

discounts on high street andonline stores if theyre storesyou shop at anyway, it canbe worth getting one. If yourea train traveller, get a YoungPersons Railcard; and keep aneye out for any local loyaltycards (supermarket pointscards). Can I have a studentdiscount should become your

catchphrase and you dontalways need an NUS card toblag one.

12. Bash billsCrunch your bills with aspend calculator like

billmonitor.com (for mobiles)anduswitch.com for utilitiesand make sure youre getting agood dealbefore you sign upfor long-term contracts.


16/17

Trouble-


O nce youve made thedecision that highereducation is for you, dontlet lack of funds stymie yourstudies theres support out

there to keep you going.If youve planned for costs, know

where the moneys going to comefrom, have made a budget andstill find yourself up a creek withouta propeller, there are emergencyfunds out there that could help.

Most universities and collegeskeep funds for students who arestruggling to make ends meet they may be called hardship,support or Access to Learningfunds depending on where yourestudying.

You apply directly to youruniversity for these funds: they

decide ultimately which studentscan apply and for how much theyre usually earmarked forstudents with children, withdisabilities, or from low-incomebackgrounds. There may also be

money in the pot to help otherstudents out with unexpecteddifficulties like emergency travelcosts due to bereavement or losinga part-time job you were relying on.Before you apply for hardship fundsyoull need to have enrolled on yourcourse and already applied for thefull student loan youre entitled to.You may also need to attend aninterview, and they may ask to seeyour budget.

As the name suggests, hardshipfunds arent intended to coverforeseeable costs as youre expectedto budget for those so you cantbank on getting them, and youcant use them to pay fees. If you doget any cash, though, its often non-repayable, meaning one less debt toworry about.

Talk to your university or unionsstudent welfare adviser to find

out whats on offer, or searchwww.turn2us.org.uk for benefits

and charity funds that you maybe entitled tobefore you startborrowing cash from elsewhere.

>> p16 The f-word: Borrowingfrom your folks

>> p17 Other sources of funding

what happenswhen the shillinghits the an? So , yo u like th e lo o k o a

d e g re e o r h ig h e r q u a lif c a tio n ? Nic e .

He re s a f n a l c h e c klis t o th ing s to g e t in h a n d b e ore yo u go .s h o o ting

I you do get cash rom the hardshipund, its ofen non-repayable, meaning

one less debt to worry about

We hope youve ound the Student Moneymanual essential in getting you gearedup or uni. Either way, wed love to hear rom you what you think we need tocover in the next edition o the guide, why wed be oolish not to include you oryour tips, or just sheer, unadulterated praise. Heres how to get hold o us:

+44 (0)207 380 3390

creditaction

creditaction

[email protected]

s om e t hi ng b e a u ti f u lThe start o


Money skills

How much does a degree cost?>> Tuition feesp4>> Living costsp8

How will you pay or it?>> Loans p10>> Grants p15>> Parents p16>> Other sources of fundingp17>> Emergency cash p28

Have you done a bene itsand charity unding check?www.turn2us.org.uk

Have you openedyour bank account?>> How to make a budgetp20>> The fine art of borrowingp22>> Student banking p23>> Penny-pinching p25

Got all that sorted? Brilliant. Yousound like you've got a good idea of how much higher education is goingto cost and where the money's goingto come from.Send us a postcard!

Student Moneymanual, Credit Action, Lynton House, 7-12 Tavistock Square, London WC1H 9LT

G e t f r e e c o p ie s o f t h is g u id e f o r y o u r sc ho o l - se e w w w .c r e d it a c t io n .o r g .uk / st ud e nt s


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the student money manual 2013

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