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Something the coalition hasn't told uni student... Watch

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    Whilst they strive to defend their intention to raise uni fees to £9,000 as a starting point for further hugh increases by repeating that the fees aren't payable upfront, nor until the student is working and in receipt of £21,000 pa, what they haven't said is how this debt is going to impact on the future of the student.

    As you know, to be able to obtain loans to buy homes, furniture, cars etc. one has to be able to demonstrate that one has sufficient means to cover the loan plus interest payments from one's salary.

    If one is encumbered by tens of thousands of pounds worth of debt already (uni fees) which will take decades to repay (for all those except for those from wealthy families who can pay off the debt for them) how will banks and credit agencies view the existing debt when considering whether to load the former student with additional, crippling debts?

    I think we're going to see this generation being denied the wherewithal to buy their own homes, new furniture, cars and related costs...in fact, many commodities that our parents take for granted.

    We should be challenging the coalition on whether they are going to change credit and bank loan laws to accommodate a debt-burdened generation.
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    Interesting point I hadn't considered - nice work yawn
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    (Original post by dannymccs)
    Interesting point I hadn't considered - nice work yawn
    Why, thank you kind sir. Someone obviously doesn't like the point because they've neg repped it without contributing to the debate.

    Do you think it could be David Willetts? :eek:
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    Firstly, students today still graduate with £25k+ of debt so surely it wont be a huge difference for future students. And has noone realised that american students are left with over 150k of debt once they graduate and how do they survive?
    Suck it up and stop whining
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    (Original post by stefk93)
    Firstly, students today still graduate with £25k+ of debt so surely it wont be a huge difference for future students. And has noone realised that american students are left with over 150k of debt once they graduate and how do they survive?
    Suck it up and stop whining
    actually in us,
    they don't survive.
    it's either you're rich enough to go to college or you're smart enough to get a scholarship.
    Otherwise, they will just live with the debts.
    Even Barack Obama - as cited in the Audacity to Hope - lived with his college debts and having to work for years just to pay off college education.

    Is this what UK wants to bring over to UK students ?
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    Thats rubbish...nick clegg said on jeremy vine that people are allowed to pay upfront and theirs no way you can stop them from doing that!
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    The American system is good in theory, but it creates too much of a segregation in their universities/colleges. Well, in the decent ones anyway which are privately funded. You have the rich boys and girls who drive around in Daddy's 4x4, and you have the intelligent boys and girls who may (not generalising) come from a less well off background.
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    (Original post by stefk93)
    Firstly, students today still graduate with £25k+ of debt so surely it wont be a huge difference for future students.
    That debt includes housing and food too though.
    Todays students will be paying that for tuition fees alone, as well as having to pay for housing and food.

    (Original post by stefk93)
    And has noone realised that american students are left with over 150k of debt once they graduate and how do they survive?
    Suck it up and stop whining
    Wages in America are higher and their houses are a lot cheaper....
    Also, where is your evidence for for this 150k figure?
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    This is a very good point especially when you consider those wishing to become doctors will graudate with over £70k worth of debt.
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    I heard (on here) that banks don't look at student debt in the same way they do other debts and so it has no bearing on your credit rating or whether they give you a loan or not. I have no source for that though. :sigh:
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    I highly doubt a bank is going to deny someone a loan because they have a student loan. It's rises with inflation has easily manageable payments, and shows a sense of financial management. A bank is going to clear a loan or mortgage based on your credit rating, having a massive loan which you have shown you are capable of paying back on time is only going improve your credit rating, if it even has any effect seeing as you can't default on it.
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      (Original post by stefk93)
      And has noone realised that american students are left with over 150k of debt once they graduate and how do they survive?
      Only for private universities, and even then, those who are financially disadvantaged usually recieve lots of money through scholarships.

      Thanks to the coalition government, UK public universities will become more expensive than those in the US. In fact, they're going to become the most expensive in the most.
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      (Original post by stefk93)
      Firstly, students today still graduate with £25k+ of debt so surely it wont be a huge difference for future students. And has noone realised that american students are left with over 150k of debt once they graduate and how do they survive?
      Suck it up and stop whining
      One of things most pundits over here are most afraid of is our system becoming more 'American' so I'm not sure I understand your point?
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      (Original post by yawn)
      Why, thank you kind sir. Someone obviously doesn't like the point because they've neg repped it without contributing to the debate.

      Do you think it could be David Willetts? :eek:
      Probably Michael Gove - as he said the other day his mind was open to persuasion on any issue...but not tuition fees. :rolleyes:
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      (Original post by diamonddust)
      I heard (on here) that banks don't look at student debt in the same way they do other debts and so it has no bearing on your credit rating or whether they give you a loan or not. I have no source for that though. :sigh:
      At the moment, the student debt for someone doing a three year course is £10,000+. Banks and credit agencies will take a very dim view of an applicaiton for credit from someone who is nearly £30,000 in debt - unless the coalition enforce the creditors to give graduates credit...by way of rigorous regulation.
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      'Student debt' isn't considered when it comes to your credit rating, stop scaremongering.
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      OP, you're an idiot.

      PoliceStory (post above) has the right idea.

      thread closed.
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      (Original post by The_Great_One)
      Thats rubbish...nick clegg said on jeremy vine that people are allowed to pay upfront and theirs no way you can stop them from doing that!
      this has nothing to do with the point, the OP was talking about people who can't pay upfront, and would have to take out student loans
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      At present its 9% you pay back for anything you earn over £15k so if you earn £25k you'll pay £900 per year, which is not a lot considering £25k gets you £1522 a month after tax and student loan deduction. So when it goes up and you don't have to pay back until your on £21k you will have an extra £6000 per year in your back pocket.
      If you earn £21000 you will get £1322 per month after tax and student loan deduction. This combined with a partners amount is enough to get a mortgage. But any graduate should be aiming to earn more than £21k once they have a bit of experience.
      But its irrelevant anyway because student debt doesn't affect your credit score.


      Source: http://listentotaxman.com/index.php
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      Student debt doesnt count in reality its a graduate tax just with a set limit ie the amount your borrowed. I have no intention of ever paying mine off if I can avoid it ie leave it at the minimum repayment level.

      If you are that worried about debt then go to your local university and commute saving on the rent
     
     
     
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