If your child decides to go to university or college, they will pay tuition fees and living costs.
Tuition Fees and Maintenance Loans
Tuition fees are normally paid straight to the university or college and can be up to £9,250. Tuition fees at a higher education college are generally lower than those at university. Your child can apply for a Tuition Fee Loan from the Student Loans Company.
Your child will also be able to apply for a Maintenance Loan, which helps cover living costs. This includes rent, if living away from home, food, books and studying materials, travel and social expenses. Your child may also wish to take on a part time job to help support themselves throughout their studies.
If your child goes to university, they will repay any loan they borrow, plus interest, when they finish their course and start to earn over £26,575 (from April 2020).
The table below gives an example of what your child would be paying back to the Student Loan Company:
|Income each year before tax||Monthly repayment (approximate)|
Any loan that has not been paid off in thirty years is cancelled.
Help with affording University
Bursaries, grants and scholarships are available to support some students while they are at university or college. Usually these types of financial support don’t have to be repaid.
These are dependent on personal or family circumstances, talent, or academic achievement and vary across institutions.
Don’t forget to look at what financial support may be available to your child. Ask the university or college what is available, if your child can apply and how they would apply.
Did you know?
The student finance loan arrangement is a loan for your child and does not link to any credit ratings or financial commitments you may have.
You are not able to apply for a student loan on your child’s behalf.