University ... and debt

username

Hi all,

I'm going to be going to university next year (hopefully) and I am wondering what sort of debt I will be getting into. I have all of the information for last year's 2005 entry, but that is all irrelevant as the Labour government (who like all their jiggery pokery with the education system) have decided to introduce top-up fees, so that's around £9k for the fees alone (assuming I do a bog standard 3 year course, but there are some of my choices that are 4 years long and include a year out in the industry). Will I be able to get any sort of reduction from this?

I was wondering if anyone on here who has children at university or are at university themselves would be willing to share how much debt they are in, and the typical costs at the end of it, and how one should budget for a typical week/month, as I sincerely doubt that cash isn't going to be flowing out of my ears whilst I am there. I don't have much cash in the bank at the moment ~£300 and I am looking for a part time job to supplement my income whilst I am college. A friend of mine worked out her costs of going to uni for 3 years (and this is under the current system; she is currently in her 1st year) and has totalled up that it'll be around £30k for the 3 years. That to me seems like an awful amount of money. :eek:

Whilst I realise it's inevitable that I will have to take out loans etc, I don't wish to fall into the trap of taking out loans and cards during and after to repay other debts and to cover living expenses, as that simply just makes the problem worse.

Thank you for any advice that you may give me, and stories that you may share. I'm aware maybe a bit personal, but I'd like a bit of perspective on it from the horses mouth as it were, so I know what to do and what to avoid.

Savvy_Sue

have just asked DS and he says he's not spending huge amounts (in first term). He's paid for his accommodation. Got nearly the full amount of loan, but had saved enough to pay the tuition fees (good job because I don't know where we would have found the money!)

How much debt you get into partly depends how much money you spend - which I know is blindingly obvious but worth thinking about. If you HAVE to have the latest CD, the trendiest gear, and drink yourself to oblivion every night, if you DON'T know how to cook for yourself or how to shop economically, then obviously you'll need more money than my son ... who says "Well, I can live off £10 for a week, but I'm not getting drunk, or going to nightclubs."

Millionaire_Wannabe

well, i'm currently in my final year at uni, and will be about £15k in debt when i finish.
with the change to top up fee's, your student loan will be larger.... it should be the cost of tuition fee's + average cost of accomadation (c£2500). so £4k max loan this year, £1200 tuition = not a lot to live off! (unless parents pay for one or both of these)
a job would be a good help, although get one that doesn't ask many hours but get good money.... Student union bar jobs are usually quite good.
you don't need to worry about taking out loans afterwards, the SLC only start collecting there money back when you earln over £15k a year... and then its not much comapred to what your monthly wage packet will be.

hope thats a help to you

Millionaire_Wannabe

username wrote:

A friend of mine worked out her costs of going to uni for 3 years (and this is under the current system; she is currently in her 1st year) and has totalled up that it'll be around £30k for the 3 years. That to me seems like an awful amount of money. :eek:

I think she got the maths wrong.... debt from student loan will be £4k * 3 years = £12k, £7.5k accomodation + £4k tuition = £23.5k.
that is an over estimate, most people use there loan to pay for accom/tuition.

Addicted2Chocolate

try buying text books on ebay or from 2nd hand shops...text books are really expensive...i have just paid off my student loans and graduated 10 years ago...i only had abotu £6K on stuident laons and a £2K overdraft but my parents helped me out a lot and i think when i was at uni there was more financial support.... sorry cant think of many more tips..maybe buy a slow cooker easy to use and can make casseroles etc really cheap and no cooking skilsl required....

123morgan

hello i am a mature student going uni next year. i know that there are burseries and grants that you can get but what i did is went to the student finance made an appointment and she told me exactly within £10 either way what i'd be getting weekly and what loans i would be intitled too as i have children and on my own i needed to know. so it's worth going an making an appoinment with your personal circumstances and exactly what your intitled too.

also same as previously said only pay loans back when earning 15k a year and at very litte but the way i see it i would have been scripping and scrapping for a total of 4-5 years 30-40 pounds out of my wages is not alot when you got a proper wage at the end of the month

also tho if you are going into teaching, nursing and some goverment employment after finished degree and worked for a min of 2 years with them the goverment actually pay for the student loans try there web sites or give them a call but student fiance might be able to help but worth looking into!

good luck and keep at it!!!!!

Dora_the_Explorer_5

Hope this helps. Have you thought about going to a local uni so you can still live at home, I'm sure your parents will give you late night passes and allow you to have sleepovers! Always buy second hand books and you'll also find most of the material useful to your course can be googled using uni library resources. Beg, borrow, make, go without clothes - dressing unusually is part of the student experience. If you decide to live in a hall of residence you'll probably live on chips and in jammies, very cheap and not too harmful if your mum stocks you up with vitamin pills. Try and do a bit of volunatry work relevant to your course, you won't get paid but lots of exployers like to see it on a CV.
Don't worry about the debt. Any amount looks horrendous to someone who may never have had a debt before, but it's about the equivalent of a good new car and your degree will last you a lot longer. Teach yourself budgetting, budget forecasting, action planning, risk assessments and using spreadsheets - skills prospective employers will like.
Most important tip of all - enjoy yourself, that's what uni is for, and good luck.

holstar

Addicted2Chocolate wrote:

try buying text books on ebay or from 2nd hand shops...text books are really expensive...

yeh, and only buy the ones you need...you will get given a reading list at the beginning of the term, but you wont need to buy all of them. Use library copies and maybe buy between groups? so, between a group of 5 of you, there is a copy of all books needed? Although that could get awkward if you all need one of the books, eg for essay.

Addicted2Chocolate wrote:

maybe buy a slow cooker easy to use and can make casseroles etc really cheap and no cooking skilsl required....

hmm, check where you are living: the halls i live in won't allow anything like that, not in your room or in the communal kitchens. If you are in private rent then its different.


and...you are going to uni for the experiences and the increased job opportunities etc, so its better to make the most of your studies, and of any relevant voluntary work etc, than working all the hours spare in a shop so that your debt isnt so big at the end. I work over the holidays, but not termtime, as I just dont have enough time left over, or the same times spare every week.

Savvy_Sue

It certainly is worth learning to cook and shop sensibly before you go to Uni - if you're still living at home I'm sure your parents would love you to help out! I know my son found it very boring when I dragged him round the supermarket (not too often I hasten to add!) saying "which is the cheapest?" and "How much per Kg is that? Aren't those better VFM?" but he is reaping the benefits now, he doesn't just grab the first ready meal which comes to hand but looks out for the special offers, hence being able to live on £10 per week. (That's AFTER his accommodation is paid for, btw, so for him really just food. I don't think he's bought many books, and he still doesn't drink, AFAIK!)

Yorkielass

I've recently spent 4 years at uni - three years doing a BSc, 1 year doing a PGCE and now work at a university in their admissions/schools department and the best advice I can give is to contact a university admissions department - preferably at a university you are interested in studying at and ask them to send their information about new finances.

It all depends on the parents/step parents/parents partner etc that you live with and their combined income as to how much, if any bursary/grant (money you don't have to pay back) how much loan etc.

In addition lots of universities are offering their own bursaries/grants for specific subjects, especially those where it's harder to recruit students for e.g. Physics, people who live in a specific area e.g. in the same area as the university, or certain companies might give out bursaries too.

As I said without knowing your personal circumstances and subject/university choices etc it's hard to comment precisely.

I've got 9K worth of student loan debt and was lucky enough to have my accomodation and tution fees paid by my parents, but that was another about 10k

It's hard to give a figure of what you'll spend, from what I've seen at university alcohol seems to be people's biggest money downfall, going out etc etc. Also buying lots of clothes, lots of takeaways rather than cooking for yourself etc.

So in summary contact your chosen universities for accurate information on fees, bursaries, loans etc. Work out your parents/whoever you live with joint income/total income and then you will hopefully see where you stand more acurately,

Hope that helps

superscotsman

I have a son at university. He has learned the following the hard way.
Cook your own food - avoid takeaways. Home cooking tastes better and is more nutritious anyway.
Avoid alcohol. You are only paying tax. Water slakes the thirst like nothing else, carries no tax and is often free.
Borrow from the public library a copy of "Superscrooge" by Malcolm Stacey. (If the library don't have it, fill out one of those cards and they'll get it for you). This will teach you the gentle art of dressing like a millionaire from charity shops, how to avoid buying a round of drinks, how to head for the toilet when the waiter brings the bill etc.
Do not use your student loan to buy that playstation you always dreamed about: you will finish up having to sell it at a price much lower than you paid for it.
Apply for every bursary and handout that is going - even ones you think you are not going to get. Don't neglect your student travel card.
Go for the cheapest accommodation going.
Try to get a boyfriend/girlfriend the same size as you, and you will be able to share each others' clothes.
Cultivate an interest in antiques, collectables that you can pick up at charity shops, jumble sales, car boot sales etc.
You can get rid of your student loan when you graduate by leaving the UK - better still, leave the European Union. Apart from anything else, in the next few years the UK ain't gonna be no place to be!