Introduction to Student Finance 2020 - Mascalls Academy

Introduction to Student Finance 2020

 This session is designed to draw your attention to key information
  that is freely and widely available for you to discover yourself

 I am no expert but have worked with students applying to university
  for the last 6 years and so know much about the worries that have
  been voiced in the past

 There is much to be read up on and paperwork to locate for the
  process to be as smooth as possible

 Martin Lewis – Money Saving Expert offers some great insights into
  myth busting the fears around student debt/loans – some of which I
  will try to incorporate into my talk

Miss C Shaw-Kew
Assistant Principal & Head of 6th Form

Student Finance England

Student Finance England (SFE) provides financial support on behalf of
the UK Government to students from England entering higher education
in the UK.

•   The two main costs you’ll have while studying are tuition fees and
    living costs.

•   There’s student finance available to help you with both.

•   Depending on your circumstances, you could also get extra financial
    help while you study.

2020

Section 1 - What student finance you can get

                     All 2019/20 policy is subject to Parliamentary approval.

Tuition fees

•   You won’t have to pay any tuition fees up front.

•   You can get a Tuition Fee Loan to cover the fee charged by your
    university or college.

•   The amount you get doesn’t depend on your household income.

•   SFE will pay the Tuition Fee Loan directly to your university or college.

•   Tuition Fee Loans have to be repaid but only when you’ve finished or left
    your course and your income is over the repayment threshold.

Maintenance Loan
You can get a Maintenance Loan to help with your living costs, such as rent.

•   All eligible students can get some maintenance support.

•   The amount you can get depends on where you live and study.

•   You can also apply for more based on your household income.

•   The Maintenance Loan is paid directly into your bank account at the start
    of each term.

•   Maintenance Loans have to be repaid but not until you’ve finished or left
    your course and your income is over the repayment threshold.

Maintenance Loan
Maximum levels for 2020/21

Total Support Per Year

Household Income

Disabled Students’ Allowance

 • Disabled Students’ Allowance is non income-
  assessed and is based on your specific needs
 • Up to £23,258 per year for non-medical
  personal help
 • Up to £1,954 per year for general costs
 • Up to £5,849 for equipment (you will be
  expected to meet the first £200 of any claim for
  computer equipment)

Extra help

Other financial help and support may also be available if you:

•   have children or an adult who depends on you financially

•   have a disability, including a long-term health condition, mental-health
    condition or specific learning difficulty

Bursaries & Grants

 Each institution will have its own bursary and/or
  scholarship scheme
 Check university websites for what’s on offer,
  eligibility criteria and application processes

Weekly Living Costs

Contact Hours

                 One study has suggested
                  that many students in college
                  study an average of 10-
                  13 hours per week.

                 This is the equivalent of less than
                  2 hours per day.

                 Only approximately 11%
                  of students spent more than
                  25 hours per week studying.

Is it Worth it?

Other Points

 Your existing credit history does not affect your ability to take out student loans

 Student loans do not appear on your credit file

 The Council of Mortgage Lenders has advised that a student loan is very unlikely
  to impact on an individual’s ability to get a mortgage. However, your monthly
  repayments may be considered for affordability purposes

2020

Section 2 - How to apply for student finance

                      All 2019/20 policy is subject to Parliamentary approval.

How much do you know?
Student finance applications

 Q      What is the easiest way to apply for your student finance?

 A       Online at www.gov.uk/studentfinance

 Q       When should you apply for your student finance?

  A      As soon as possible once the application service opens

Student finance applications

•   Apply online at gov.uk/studentfinance

•   Apply early to make sure your money is ready for the start of your course.

•   You don’t need a confirmed place at university or college to apply.

•   Apply with your preferred choice, you can change the details later if you
    need to.

GOV.UK
To apply

           www.gov.uk/studentfinance

More information online
www.thestudentroom.co.uk

More information online
www.ucas.com/sfe

How to support an application

• Your child applies for student finance

• You give us your income details

• Your child gets paid

2020

Section 3 – Repaying your student loan

How much do you know?

 Q   What will your student loan repayments be based on?

 A   a) Your future income

 Q   How much do you need to earn before you start to repay?

 A   b) £26,575*

Student loan repayments
•   You won’t make repayments until your income is over the repayment
    threshold.

•   If you study a full-time course, you will be due to start repaying in the
    April after graduating or leaving your course.

•   You’ll repay 9% of your income over the threshold.

•   If your income falls below the threshold, your repayments will stop.

•   Any outstanding loan balance will be cancelled 30 years after entering
    repayment.

Student loan repayments

Income each year     9% will be                               Monthly repayment
                                          Year Total
    before tax     deducted from                                     (Approx)

    £26,000             £0                    £0                         £0
    £27,000            £425                 £38.25                     £3.19
    £30,000           £3,425               £308.25                    £25.69
    £40,000           £13,425             £1208.25                    £100.68
    £50,000           £23,425             £2108.25                    £175.68

                                   Interest is applied to your loan. More info can be
                                   found on www.slc.co.uk/repayment

2020

Questions?

Need more information?
For information on student finance and to apply go to
www.gov.uk/studentfinance

Our experts are online Monday to Friday 9am-5pm and
Saturday 9am-4pm to answer your questions:

• tweet us @SF_England
• post your question on Facebook/SF_England

Applying through UCAS

Decision-making
After receiving your application a university or college will
make one of three decisions:
  • unconditional offer
  • conditional offer
  • unsuccessful

Or they can offer a place on an alternative course.

Universities and colleges can also:
• request an interview
• ask to see your portfolio
• ask you to take an admissions test

Track your application
Track is our online system that allows you to follow the
progress of your application once it has been submitted.

• It shows your choices, offers, and personal details (you
  can update these details).
• Gives you 24/7 access via a password.
• Enables you to reply to offers online.
• You also use this system for Extra, Clearing, and
  Adjustment.

Replying to offers
Once you have decisions on all your choices, you can hold a maximum of two
offers:
      • one as a ‘firm’ acceptance – your first choice
      • the other as an ‘insurance’ acceptance; this acts as a back-up if you do not
        get into your ‘firm’ choice

You must then decline any remaining offers.

If, once all your decisions and replies have been made, you are not holding an
offer, you may be able to use Extra or Clearing to find available places.

Other options
Extra (25 Feb – 4 July)
If you have used all five choices and have no offers or have declined all offers.
You could add Extra choices for consideration one at a time.

Clearing (early July to October)
If you have no offers, have not met the conditions of an offer, or have applied after 30
June deadline.

Adjustment (up to five days mid – end August)
If you have gained better results than the conditional offer you hold, you could    apply
for a different course or university.

Clearing process                                               Eligible applicant
                                                             researches vacancies

• Places secured via Track.
• A verbal agreement following
                                      If unsuccessful,
                                    Applicant    placed                                   Contact
  initial direct contact must be     applicant can start
                                        onagain
                                            course                                  providers to discuss
  made.                                                                                 application
• Eligible applicants will have a
  ten-digit Personal ID number
  (PID) and a six-digit Clearing
  number.
• Should be able to quote both            Universities and                      Applicant enters
  to the universities they               colleges consider                      choice details in
                                            application                              Track
  contact.

Deferring

Key Dates
 If you receive all of your decisions by the 31st of March, you
  must reply by the 5th of May

 6th May – the deadline by which all universities must have
  made their decisions on existing applications

 If you receive all of your decisions by the 6th of May, you must
  reply by the 4th of June

 6th July – Clearing opens

 13th August – A-Level Results Day (results embargoed until
  8am)

Additional help
UCAS Customer Experience Centre
0371 468 0 468

From outside the UK:
+44 330 3330 230

Monday to Friday, 08:30 – 18:00 (UK time)

Find us online at:
www.facebook.com/ucasonline
www.twitter.com/UCAS_advisers