Accommodation and university fees

My parent’s come from a low income background and cannot afford the accommodation in London or pay for the uni fees. How does it work? Will loans cover all the costs, is there a deposit we need to pay?

Reply 1

normaw

Clearing and Applications Advisor, Universities Forum Helper

Original post by Skittles_beans

You apply for student finance. You would apply for a tuition fee loan to pay for course fees and a maintenance loan to cover your accommodation and living costs. The amount of maintenance loan you will receive varies by location and where you will be living while you studying. So you get less if you live at home, but more if you study at a uni in London:

Maximum maintenance loan amounts for the 2023/24 academic year

•

Living with your parents Up to £8,400

•

Living away from your parents, outside London Up to £9,978

•

Living away from your parents, in London Up to £13,022

The above figures are 'Up to' amounts as what you'll get depends on household income. If your household income is less than £25,000 per year, then you would receive the maximum maintenance loan. The loan reduces incrementally as household income increases. If household income is above around £63-65,000 per year (I can't remember exact figure), then students receive a minimum maintenance loan (currently £4,651 for living away from your parents, outside London). Parents are then expected to top up the difference between the amount awarded to students and the maximum loan (but this often doesn't happen).

You start to pay back the loan in the form of a 'graduate tax' from the April following your graduation if you are employed and earning above £25,000. You will pay 9% of the amount you earn above £25K. So if you earn £28k a year, you would pay 9% of £3k = £270 per year. This will continue for 40 years or until the loan is paid off if that is sooner (or if you die).

In terms of accommodation, you would pay for that from your maintenance loan which is usually divided into three and paid at the start of each term. Most student accommodation providers expect a small-ish deposit to secure your place.

More info here:

https://www.gov.uk/student-finance/new-fulltime-students

A calculator so that you can get an idea of what you might get:

https://www.gov.uk/student-finance-calculator

Well worth a read:

https://www.moneysavingexpert.com/students/student-loans-england-plan-5/

(edited 7 months ago)

Reply 2

Nickitams

I get full maintenance loan based on my parents income and it doesn’t even cover the cost of my halls accommodation. What am I supposed to live on