Join TSR now for chat about life, relationships, fashion and more…Sign up now
    • Thread Starter
    Offline

    0
    ReputationRep:
    Hey,

    I plan on paying for the university fees upfront since i know someone who is willing to let me borrow some money which i will return once i finish uni and get a job. So i will not be taking the student loan.

    Will this decision affect my bursary and grants? As in will i still be entitled to them or will i not?

    Thankssss
    Offline

    1
    ReputationRep:
    (Original post by LilBoPeep)
    Hey,

    I plan on paying for the university fees upfront since i know someone who is willing to let me borrow some money which i will return once i finish uni and get a job. So i will not be taking the student loan.

    Will this decision affect my bursary and grants? As in will i still be entitled to them or will i not?

    Thankssss
    "borrow some money" what like 30k with no interest.
    Offline

    2
    ReputationRep:
    who is this person, seems risky
    • Study Helper
    Offline

    17
    ReputationRep:
    (Original post by LilBoPeep)
    Hey,

    I plan on paying for the university fees upfront since i know someone who is willing to let me borrow some money which i will return once i finish uni and get a job. So i will not be taking the student loan.

    Will this decision affect my bursary and grants? As in will i still be entitled to them or will i not?

    Thankssss
    I don't see the sense in that. Why borrow off someone else rather than off the Student Loan Company?

    At the minimum, you would just say it's the same thing.
    But it's not even that. Bringing money into friendship/relations can ruin them. Why add a factor that you could fall out over.
    Secondly, you know that you are not going to fall out with the SLC. Whereas, you could fall out with your friend for a totally different issue and it could create friction in that your friend doesn't want to lend you that money anymore.
    Are you sure that person is even capable of lending you that money?(It's a lot of money for someone to be giving you.) If you care for that person, why not let him/her spend it like they want to and just take the money from the SLC? Their situation might change in making them require that money in the future, then they will be in trouble, as they won't be able to get a loan. (If they do, it certainly won't be as good as the one you have the option of getting with the SLC)
    Lastly, not everyone is as they seem. You might be falling into a 'Shark Loan'.

    Oh and I totally forgot that if you get it from the SLC, there is a good chance that you might not need to pay all of it back as it gets wiped out after 30 years and as you are guaranteed to only make affordable payments. (9% of any yearly income above £21,000 or something).
    The only benefit of not taking the official student loan is that you might not have to pay the corresponding interest (3% + RPI -- during course, 0-3% + RPI -- income depending). You will only find a better value loan from a friend like you are doing, but the odds of that going wrong are quite high.) I'd rather play it safe. The max I would go in borrowing money is directly from a family member who has looked after me for years - if they were rich enough.
    Offline

    3
    ReputationRep:
    I agree, it doesn't make any sense to pay upfront at all.
    If you get a job paying 21,000 you don't pay anything. If you are earning 31000 you would only pay 900. And it gets wiped out after 30 years.

    AND-this one's crucial-in the event of death (as unfortunate as it is) the loan would be wiped out. Meaning it won't be passed on to a loved one and this generous/crafty person (delete as appropriate) person wouldn't lose out in this unlikely event.

    Posted from TSR Mobile
    Offline

    9
    ReputationRep:
    (Original post by LilBoPeep)
    Hey,

    I plan on paying for the university fees upfront since i know someone who is willing to let me borrow some money which i will return once i finish uni and get a job. So i will not be taking the student loan.

    Will this decision affect my bursary and grants? As in will i still be entitled to them or will i not?

    Thankssss
    To answer your question you will not be entitled to any means tested bursaries or grants if you do not apply for income assessed finance.
    You can enter £0 as the amount you want to borrow though and if you qualify still get the grants and bursaries.
    Offline

    3
    ReputationRep:
    why it may not be a great idea http://www.moneysavingexpert.com/stu...t-student-loan

    however your debt will increase by RPI+3% if you use the student loan company while if you have a rich reltive they will be getting maybe 2% on their savings
    Offline

    12
    ReputationRep:
    I bet the OP is a Muslim concerned about interest.
    Offline

    0
    ReputationRep:
    (Original post by Old_Simon)
    I bet the OP is a Muslim concerned about interest.
    I bet you support UKIP.
    Offline

    12
    ReputationRep:
    (Original post by STARFLEET)
    I bet you support UKIP.
    I do
    Offline

    2
    ReputationRep:
    Why does this come to mind?

    • Thread Starter
    Offline

    0
    ReputationRep:
    Its only 9,000 total, 3k per year

    And i didn't really ask for your view on what I should or shouldn't do but it was fun to read nonetheless, and all the assumptions you make. I feel I will be able to return 9k, it is equivalent to a price of a car, I just have to make do with a bicycle for most of my years. I am sure all the environmentalists will be happy.

    Guys chill seriously, it is like your life depends on the decision i am making. I never knew how just saying the word "pay upfront" can cause such dispute,

    I never really got a straight answer. I might just phone them up.

    But thanks anyways.
    Offline

    3
    ReputationRep:
    (Original post by balotelli12)
    To answer your question you will not be entitled to any means tested bursaries or grants if you do not apply for income assessed finance.
    You can enter £0 as the amount you want to borrow though and if you qualify still get the grants and bursaries.
    (Original post by LilBoPeep)

    I never really got a straight answer. I might just phone them up.

    But thanks anyways.
    See above. You did get an answer and it was correct.
 
 
 
Poll
Should MenACWY vaccination be compulsory at uni?
Useful resources
How much money do you spend a week?The ultimate guide to tax!Guide to student bank accounts

Sponsored features:

Web Legend

Win a Macbook Air!

Blog about setting up a website for a chance to win in our Web Legend competition.

Quick link:

Unanswered money and finance threads

Groups associated with this forum:

View associated groups

The Student Room, Get Revising and Marked by Teachers are trading names of The Student Room Group Ltd.

Register Number: 04666380 (England and Wales), VAT No. 806 8067 22 Registered Office: International House, Queens Road, Brighton, BN1 3XE

Quick reply
Reputation gems: You get these gems as you gain rep from other members for making good contributions and giving helpful advice.