Career Development Loans - Approval Criteria

deejaysleepy

Hi,

I have a place on a Masters in Music at Newcastle Uni to start this September. I've been turned down for funding by the AHRC (no big surprise there) and it would seem that the only option for me to fund it would be a CDL.

I'm qualified as a Music Tech lecturer but have found it difficult to find work in my field as it's highly competitive and I genuinely believe that having a Masters would give me an edge when applying for work. I've also had a long term ambition to study for a PhD and that obviously would need a Masters to do that too.

My problem is that I'm not sure whether I'll be approved for a loan because my credit history is poor. Not terrible mind, but still poor. I currently have £3000 overdraft debt with Barclays and £600 on a credit card. My debt hasn't risen for a long time but it hasn't fallen for some time either. I've also been charged for some returned payments a couple of times over the past year. I'm also currently unemployed, claiming JSA and Housing Benefit although I've been teaching privately a few hours a week (I've declared that income to the jobcentre).

Can anyone please enlighten me as to the criteria that the banks look at when deciding whether or not to approve CDLs? How will my credit history and current debt effect this?

Thanks in advance...

Stuart_W

The government information site:
http://www.direct.gov.uk/en/EducationAndLearning/AdultLearning/FinancialHelpForAdultLearners/CareerDevelopmentLoans/index.htm

Details from one provider:
http://www.co-operativebank.co.uk/servlet/Satellite/1193206376155,CFSweb/Page/Bank-Loans?WT.svl=nav3

They can take a long time to process. They are essentially bank loans with interest paid for the first 13 months. AFAIK credit history and current debt will be taken into account, they are not obliged to approve anyone. I know many degree students that have used a CDL to go straight on to funding a masters year with no problem, but it is still down to a commercial decision by the bank. You will qualify to be eligible, whether a bank will offer you one is a different matter (I think). Worth trying, or chatting to one of the providers (Co-op and Barclays I think are the two biggest CDL providers).