Money

Students & Money

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Everyone knows that it’s tough going to survive on student money. You need to make sure that you get all the financial help you're entitled to. If you are unsure what you can claim or are having financial problems, speak to the Connexions Personal Adviser or Student Welfare Services in school or college.

Staying on at school or college at 16 is free unless you go to a fee-paying school. But there are still a number of ways you may be able to get extra money.

You can apply for an Education Maintenance Allowance (EMA) of up to £30 a week depending on how much your parents earn. To find out how to apply, visit their website above or call the EMA helpline on 0808 1016219.

Watch the Education Maintenance Allowance (EMA) Movie

If your family doesn’t have much money coming in, you may also be able to get money through your Local Education Authority (LEA) from the Learner Support Fund (sometimes called the Access Fund). This can help with the cost of books, equipment, transport, fees & childcare. The Support 4 Learning website explains what funding you may be entitled to, or you can speak to the Student Finance department for your LEA (telephone numbers in our A-Z Directory).

If you are not eligible for EMA the Educational Grants Advisory Service may be able to give support. They have an Online Funding Search for students to check whether you are eligible to apply for other funding.

For student finance advice from a money expert visit Money Saving Matters for student finance advice. There is also advice available for parents of students produced in collaboration with the Department for Education and Skills.

The students’ charity, UNIAID, has developed an online student finance learning tool, called ‘All About U’, to help 16-19 year olds prepare for the challenges of university life. ‘All About U’ gives users a virtual experience of one year at university. It provides a series of scenarios which mirror the challenges and decisions they will have to make at university, to balance their time, money, academic goals and social lives. The programme can be played individually online or be incorporated into workshops for students, parents, carers and advisers. Visit All About You for more information.

Higher Education

September 2006 saw the introduction of top-up fees, and these fees mean you won't have to pay fees up front at the start of each university year. Instead, fees of up to £3070 a year are paid back after you graduate through loan repayments when you earn more than £15,000 a year. Students pay different costs depending on: where they live; if they live at home or at university accommodation; what university students choose to go to; household income; and personal circumstances.

Don't panic though - there is plenty of help available. Financial support will apply if you have special needs or a disability, you have children, you have been in care, and if you are from a low income family. A Student Loan for Maintenance means you can get help if you live at university or if you live at home. If you are eligible for the student loan you will get £3495 if you live at home, £4510 if you live away from home (outside London) and £6315 if you live away from home and in London. It's normally paid into your bank account by Student Finance Direct. Repayments are due from the April after you leave your course and you have to repay 9% of your earnings over £15000.

You can read Student Loans - A Guide to Terms & Conditions 2008/09 here, and also A Guide to Financial Support for Higher Education Students 2008/09 here.

Students coming from a family with an income of under £16,340 are entitled to apply for a grant of up to £1000. This does not need to be paid back. Smaller grants are also available if your family income is uner £22,326.

Extra Funding Options

You may also want to consider alternative sources of funding, such as a hardship loan which you can apply to the Student Loans Company for. This could amount to anything up to £500. Many students also turn to part-time to work to fund their studies.

Student Bank Accounts

It's important to choose the right bank for you when going to university. If you know where you are going to study then look at which banks have branches there and see what services they offer. Find out the important bits such as how big the overdraft facility is likely to be and does it increase each year? Make sure that the bank has Internet Banking - it will make managing your money so much easier.

Student Costs Breakdown

The cost of basic student life varies from town to town and from college to college. There are always certain expenses for which you have to plan ahead for, such as rent, bill, food and other groceries, tuition fees, books and equipment, stationery and photocopying, going out, travel costs, clothes, phone and internet bills, insurance and interest & fines on bank accounts and in the library. It's just a question of finding that healthy balance for student spending. The priorities are paying bills and rent but that doesn't mean you can't splurge once in a while on a new top or a couple of CD's.

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Page updated: Tuesday, May 13, 2008 5:13 PM