Or just transfer ownership of everything before you die...
I just looked at the DfES website, and worked out (because my parents are low income) that I won't have to pay fees and I should also be able to get the maximum loan which is £4930 (IF I go to either of my 2 first choice unis, in london)
I was wondering. Firstly, does Royal Holloway count as being in London for loans purposes or will I be on £4000? If I was to live inside Central London and commute to Royal Holloway (say I was to move in with my bf and his flat mates) ? (Say RH wasn't inside the loan area, and Central London is.. I presume I'd still only get the £4000??)
Secondly (or thirdly or fourthly, depending on how many points I've already raised) : what is a loan ideally supposed to cover? Because I will be lucky if my accomodation is covered by my loan!
Finally, when do I pay the loan back & at what rate? Also, if the option was there to use inheritance money instead of taking out a loan, would that be more viable? Or not? Would you consider borrowing the money from your parents instead (where possible)?
I thought ucas was the tough bit, now I find out all of these He1 and he2 forms need doing as well..
1) RH is part of the uni of london and so attracts the london level of loans...even though it is outside of the M25. The london weighting is tied to the uni not your location so even if you lived in manchester and commuted down to RH daily you would get the higher rate loan.
2) Student loan is payable back at a rate of 9% of everything you earn over £15,000 (if you earn below £15k you can defer it on sending the SLC your paychecks every yr). This works out at just under £40 a month if you are earning £20,000pa. The new loans are paid back through your pay check (my loan gets paid back by direct debit because I went through on the old system) so you don't see the money at all.
3) The interest charged on student loans is linked to inflation...so in real terms the amount you owe stays the same (even though it will increase in actual terms the price of everything and average earnings will go up at the same rate)...this means that even if you don't need them it's worthwhile taking out a student loan...*don't* use your inheritance or savings first, invest your own money and live off the loan as much as possible.
4) if you are starting in 2004 and your parents earn under £10,000pa you will be entitled to a £1000pa *grant* (*if* the government can get the white paper which includes top up fees through parliament in time).
5) If you've taken out a full student loan and are still having trouble with money your university can offer you a hardship loan of up to £1000pa and a hardship *grant* of up to £500pa...priority is given to mature students/students with kids/disabilities etc etc but at a rich(er) uni like RH it's likely there will be much less competition for the pot of hardship funding.
Hope that all makes sense