University Maintenance Loan

HelloYouOverThere

Hi all,

I am in my final year of uni and to date I have not taken out the maintenance loan as it was something I didn't really need (the grant covered my expenses). I will be graduating soon on a salary between £21-£26k and therefore will start to repay back my £27k tuition fee loan (3 years at £9k). I read Martin's guide to over-paying the loan and it seems like with this starting salary it will not be a good idea to, as the debt will be wiped after 30 years anyway.

My question is, should I take out the maintenance loan I am entitled to (just over £2.5k) while I have the chance? If the debt is going to be cleared anyway, I will be missing out if I don't?

Bogalot

Are you planning on being on £27K forever? How much would be written off if you were earning £50K+?

Keep in mind that the government can vary the repayment terms, so I wouldn't rely on never paying it off.

Having said that, if the money would be useful to you now, for instance if you're looking to buy property in the near future, it is one of the cheapest ways of borrowing.

armchaireconomist

And this is why students have no sympathy regarding increasing fees.

tidds

This is not the best advice but in your position i'd take the loan. Especially as it's the cheapest borrowing and if you're controlled and save it you can use it towards a house deposit....