student bank accounts

pc10

My daughter hopes to go to uni in England in Sept 05. We attended a school meeting about student loans etc and received the application form and information.

It was explained that the student needed to enter their bank account details and that if in the future that account changed, it would be a lot of hassle informing the student loans company and may result in loan payments not being made to the student on time. Students were advised to stick with the account they have now.

Surely however this then rules out the chance to take up some of the student offers that banks have nearer new term time.

Is it really a great deal to change accounts?

She currently banks with HSBC and they have told her that she will change to a student account once she firmly accepts a place at uni - they do offer a free overdraft but not much more from the little I have read!

Your thoughts please

stuwilky

Its not a big deal at all.

Give the SLC the account she has now, get the first loan payment in September into that one, in the meanntime open the best student account for her. (not necessarily the one with the nicest gimmick!) Then its one form to the SLC to change the bank account number, and hey presto!

EDIT - HSBC have offered either £50 or a 4 year railcard (which is well worth having if she can use the train home!)

chugalug

If you take into account the fact that the majority of initial payments are late anyway and there is space on a form sent by SLC confirming payments to advise of a change of account I wouldnt worry about it. I had my first payment into my initial account and the second into a new account no problem. The majority of student bank accounts will let you apply when you have your ART no or your UCAS no (I have 2) so not that complicated either.

pc10

Thanks for the replies.

I was just a bit worried just because the lady giving the talk seemed to make SUCH a big deal of the trouble it would cause to have to change banks!

student100

I think I put down the number for an existing account I had, I didn't (couldn't) open a student account till mid-August after exam results. After I got the number for my student account just called up the SLC (even a freephone number I think) and gave them the new number. They sent out written confirmation and that was that.

Don't know what the hassle is supposed to be?

I did keep the other account open until after the loan payment arrived just in case it ended up in the wrong account.


...also, I think HSBC student account has one of the best incentives, a free 5 year railcard, although they only offer this for accounts opened august-september time. If they won't give one to existing HSBC customers just threaten to move to Natwest who have the same incentive.

juno

I did the same as Student100. I found that I received loads of letters (well, at least 3!) asking if my bank details were correct. They had a form on the bottom to change them too.

I think it will only be a problem if you (or your daughter) try to change the bank account too close to the date of the first payment.

crana999

Yes, same again here, I changed my bank details no probs. They send you loads of forms in case you want to change them.

halcyon_drift

i might be wrong (or this could just be the scottish system - SAAS), but i think i get a form sent through with every SLC statement which allows me to change my bank details if i haev changed account. either way, as it happens i did have to change my details after 3 months, and i dont remember having any problems with it, so it couldnt have been that hard. (i also have a large collection of "change of account" forms aswell....somewhere)

Halc