Available Loans

Loans are amounts of money you can apply for, to cover both your course fees (Tuition Fee Loan) and help towards living costs. (Maintenance Loan). The amount of  tuition fees will vary from uni to uni, they all set their own. (To a maximum of £3,225 per year for 2009  entry) . These loans must be repaid (in very small instalments!) once you are earning over £15,000 per year, and the amount you pay back depends on how much over £15,000 per year you earn. (see above example)

The Tuition Fee loan will cover the whole of your Tuition Fees. You do not see this money in your bank account, it goes straight to the university. (worth noting – if you are unsuccessful in obtaining a place at your first choice university – it is essential you let the Student Loan Company know, and tell them where you are going, so they pay your Tuition Fees loan to the correct uni)

You may apply for a Tuition Fee loan, (to cover your course fees) and a Maintenance Loan (to go towards your living costs).

The Maintenance Loan is means tested – if you are living at home, the combined wage of each of your parents, (if you are considered to be dependant on your parents) is considered when the amount of the loan is calculated. Currently, (2009 entry) everyone should qualify for a loan of at least £2,320.

No one is exempted from repaying these loans. However, no payments are made until you are earning at least £15,000 per year, and then you only pay (currently) 9% of the money you earn over £15,00. (see chart for examples.)

The Tuition Fees loan is NOT means tested – everyone can apply.

Students, once successful in their application, do not see the Tuition Fees loan – it is paid directly to the uni. So it is really important that you let the Student Loan Company know if you end up going to a different uni to the one you put down on your PN1 form. (PN1 forms explained later!) The Maintenance loan is often paid in three instalments throughout the year.

See following inserts – ‘Higher Education Student Finance Package – Tuition Fees & Tuition Loans & Maintenance Loans’ and chart showing current figures.

Higher Education Student Finance Package

1.  Tuition Fees & Tuition Fee Loan

•  Tuition fees are set by individual Institutions.
• For 2009 entry – fees are £3,225 maximum.
• Everyone pays these – regardless of income.
•  Not ‘means tested’.
• Don’t need to pay upfront – Tuition Fee Loan available for     

  all eligible students.

• Fees are paid directly to the Institution if student paying by

  tuition fee loan.

• Student must apply.

• The Tuition Fee Loan is repayable.

2. Maintenance Loan

•  ‘Means tested’ but everyone gets at least 75% - £2,755.
• Intended for living costs.
• Paid to the student in 3 equal instalments.
• Student must apply.
• The Maintenance Loan is repayable.        

All eligible students who are on a full time course are eligible for the appropriate maintenance loan rate, 25% of which is income assessed.

Where students are eligible for more than £1,292 of the maintenance grant, the amount of loan for which they are eligible will be reduced by £1,292 as stated.