1. STUDENT FINANCE MATTERS Wyggeston and Queen Elizabeth I College Progression Evening 24th June 2014 Kevin McMullan Student Finance Adviser

2. 1 THE STUDENT FINANCE PACKAGE SUPPORT AVAILABLE TO STUDENTS INCLUDES: TUITION FEE LOAN MAINTENANCE SUPPORT BURSARIES & SCHOLARSHIPS ADDITIONAL SUPPORT All figures used in this section are subject to final parliamentary approval of 2015/16 student finance policy

3. 1 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 won’t have to pay any tuition fees up front • A Tuition Fee Loan is available to cover the fee charged by a university • or college** • A Tuition Fee Loan doesn’t depend on household income • SFE pay any Tuition Fee Loan directly to your university or college • The loan is repayable, but only when your income is over £21,000 *Publicly funded institutions **Up to £6,000 available for approved courses at private providers

4. 1 MAINTENANCE SUPPORT • Maintenance support is available to help with your living costs 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 receive some funding • The amount of loan available will depend on where you live and study • Maintenance support is paid directly into your bank account each term

5. Up to £4,565 1 MAINTENANCE LOAN EXAMPLE 2015/16 MAXIMUM RATES Up to £8,009 Parental Home - Live at home Elsewhere - Live away from home and study outside of London Up to £6,820 London - Live away from home and study in London Up to £5,740 Overseas - Study overseas as part of a UK course

6. 1 MAINTENANCE SUPPORT MAINTENANCE GRANT • The Maintenance Grant doesn’t have to be repaid • How much grant you can get depends on your household income (100% means tested) • Household income thresholds 2015/16: Household Income: Up to £25,000 Full Grant of £3,387 Household Income: Up to £42,620 Partial Grant You can get a quick estimate of your student finance entitlement using the calculator on gov.uk/studentfinance

7. 1 ADDITIONAL SUPPORT ADDITIONAL SUPPORT EXTRA SUPPORT MAY BE AVAILABLE IF YOU: • Have children or adults dependent on you • Have a disability, long-term health condition, mental-health condition • or specific learning difficulty • Care Leavers may attract additional funding from the local authority • 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

8. SECTION 2 STUDENT LOAN REPAYMENTS

9. 2 STUDENT LOAN REPAYMENT STUDENT LOAN REPAYMENTS AN OVERVIEW • You won’t make repayments until your income is over £21,000 a year gross (before tax) • Full-time studentswill be due to start repaying in the April after graduating from/leaving their higher-education course • You’ll repay 9% of your income over £21,000 and if you’re employed deductions will be made from your pay through the HMRC tax system • If your income falls to £21,000 or below your repayments will stop • Any outstanding loan balance will be written off 30 years after entering repayment

10. 2 STUDENT LOAN REPAYMENTS THE FIGURES £ £ Monthly Repayment? £4,000 9% Deducted from? Income £25,000 £30 Interest will be applied to your loan at a maximum rate of RPI +3% More info can be found on: www.studentloanrepayment.co.uk

11. ! COMMON CONCERNS

12. ! COMMON CONCERNS TUITION FEES My child can’t afford to go to university, it’s far too expensive! i i ! No eligible students will have to pay their tuition fees up-front to go to university or college Regardless of household income, eligible students can apply for a Tuition Fee Loan to help with the cost of fees, and a Maintenance Loan to help with their living costs

13. ! COMMON CONCERNS COMMON CONCERNS REPAYMENTS i i ! Debt from a student loan will be unmanageable! Repayments don’t start until your child’s income is over £21,000 a year. They’ll then repay only 9% of their income over this threshold The amount they repay will only increase with their earnings as repayments are based on their income, not how much they’ve borrowed

14. ! COMMON CONCERNS COMMON CONCERNS GENERAL What effect will student loans have on applications for mortgages or other loans/credit in the future? If my child can’t afford to repay their loan then I’ll have to foot the bill!?! i i ! ! Student loans are the sole responsibility of the student who takes them out Student loans are unsecured government lending and are very different to commercial loans. They don’t go on credit files or show up on credit checks

15. i 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 your income, not what you owe • Research all finance available – especially bursaries & scholarships • Apply on-line & on time – no need to wait for a confirmed place • Check all details are correct before submitting your application • If in doubt, ask

16. i i NEED MORE INFORMATION? For further Information on student finance and applications go to: www.gov.uk/studentfinance For a range of helpful tools and guidance, visit: www.thestudentroom.co.uk/studentfinance 2015/16