Student Finance – when to apply? what about Clearing?

Hi, I’m Danny North and I work in the Student Recruitment team here at the University of Staffordshire.

So, you’re thinking about going to University? Or you may not have made your mind up yet about what your options are for later this year? I’m here to help give you a little more insight into Student Finance, the ins and outs, but also how you can apply for finance if you decide to apply to University via clearing.

What is Student Finance?

So, as you may already be aware going to University isn’t free. Most Universities will charge the maximum tuition fee which is currently £9,535 per year, and I appreciate most students won’t have that amount in their bank accounts!

This is where Student Finance comes into play. As long as you meet the eligibility criteria for Student Finance, you can apply for the tuition fee loan which is a fixed amount paid directly to your university.

There will also be money coming into your account which will come in the form of a maintenance loan – the amount you get will be “means tested”. Means tested is the amount you get based on household income, this will generally come from the main breadwinners in your household, such as parents or whoever you currently reside with.

Repayments

Argh, so this is where you have probably heard that dreaded word debt!

Try (if you can) to look at Student Finance more as an investment for your future rather than the word debt, as going to university is hopefully going to be your gateway to your future career.

Do Student Finance expect you to pay all the loan off straight after you graduate from University? The simple answer is no.

In order to enter into repayments, you have to be earning a certain salary. Currently this is £25,000. What that means is you have to be earning over that amount before you start paying back your loan.

How much do you pay back? You pay back 9% of whatever it is over £25,000 you are earning. So for example, you earn £27,000 that’s £2,000 over the £25,000 threshold, which means you will pay back 9% of the £2,000 per year. (Spoiler: this will only look like a small amount on your monthly payslips!)

Of course, if you earn more, your contributions will be higher, but still relative.

Not earning over £25,000? You pay back absolutely nothing as you’re not meeting the threshold.

And if you don’t pay off your loan after 40 years? It will be written off regardless of how much you have contributed towards repayments, and that’s 40 years from the day of you graduating from your course.

Remember, contributions do not get taken from your salary straight away. If you are earning over the £25,000 threshold you will start to contribute the following April after you graduate.

When to apply

The simple answer is as soon as possible. Applications for Student Finance are now open, and I encourage you to look at putting in an application, even if you’re not considering going to University right now.

But why would you put an application in if you aren’t at this stage going to University? Sometimes in life we may decide to change our pathways a few months down the line and by having an application in the Student Finance pipeline will make it easier to be processed if you decide that University is the right direction for you.

One of the misconceptions many students have is that you need to have a confirmed place at university to apply for Student Finance which isn’t the case. You can in theory put in an application even if you haven’t yet decided on your firm place. The beauty of this is that you can amend your application before you start your course.

Remember, don’t leave your application for finance until close to your start date of your degree. There is a possibility your Student Finance payment could be delayed if you leave it too long before you apply.

Student Finance and Clearing

So, Clearing could be an opportunity for you to get your place at university for September 2025 – whether you have to change your university or if you have decided to apply very late for your University adventure.

My advice: don’t see Clearing as a negative. Many students use Clearing as an opportunity to apply for a course to start in September.

If you decided to change course via Clearing and have already put in a Student Finance application, you will need to login to your Student Finance application and change your details of which University you will now be attending.

If you do apply through Clearing but haven’t yet put an application in to Student Finance, the best thing would be to complete an application as soon as possible so you are in the application pipeline ready to be processed.

I would try if you can to put in an application for Student Finance even if you’re still not 100 percent sure if university is for you. That way, once Clearing is available, you have one less thing to worry about and it shouldn’t take as long to process. Remember you don’t need a confirmed offer to apply for Student Finance.

I hope this has helped with any worries you might have with the Student Finance process! There’s loads of information on our website here or drop your questions below.

And if this all sounds a bit serious, here’s our Student Content Creator Jodie with a reminder on how NOT to spend your money when your student loan hits your bank account.

(edited 9 months ago)

Reply 1

04MR17

Volunteer Team, Clearing and Applications Advisor

Other thing to make sure of is that you are using your personal email address on both UCAS application and student finance application, not any school email address you might have. School emails can discontinue once you leave, it's quite important that you're able to access UCAS and student finance during August/September. Update your contact details now!

Reply 2

StaffsRep Tee

Official Rep

Hey! It's Tee :smile:

I'm an Illustration graduate and Student Content Creator from University of Staffordshire!
I came through Clearing back in 2022 and I just wanted to share what it's like to be a Clearing student, and some advice if you find yourself in this situation too.

I hope this post is helpful!

Best wishes✨️
-Tee