Student loan parental contribution 27 June 2018 at 4:17PM in Student MoneySaving 10 replies 2.7K views

SHEILA54

Hi
My grandson is hoping to go to University in September 2019. He will not be living at home. My daughter and grandchildren live with me so will my income be taken into account for loan purposes as it says household income?


She is on an income of £14400 pa but, if you add in my income and pension it will, of course, be much higher.


To be truthful I also don't really want them to know about my finances.


She pays me a nominal amount of rent each month so I am not sure if this makes any difference?


I have agreed to help out with living expenses. My income is from a work + retirement pension.


We would be grateful to know where we stand on this?


Thanks

Starrystarrynight1

No, your income will not be taken into account. Assuming your grandson is under 25, only his mother's income (plus any unearned income, if he has any) will be taken into account. I've also assumed that his mother doesn't have a partner who also lives with her. Hope that reassures you.

Paul_DNAP

Unless you have some sort of official guardianship status with regards to the boy, you are not considered as a parent.

SHEILA54

My concern is that it states household income and they live with me so I am a part of the household? There is no partner as his dad left 3 years go

Thanks

Paul_DNAP

No, it is only parents. See this page
https://www.gov.uk/apply-for-student-finance/household-income


Clearly says household is the child and the parent/s who they live with and depend upon financially. You are his landlord, not his keeper, and so you should be kept out of his student finances.

Starrystarrynight1

You have nothing to worry about. A household doesn't necessarily mean everyone in one house. Your house holds two households, as you have described it.

If your daughter is divorced or separated, she will likely be asked to provide some documentary proof of this, eg a decree nisi or absolute. The income she declares on her part of the application is checked electronically with HMRC.

SHEILA54

I have just phoned the UK GOV website and been told that, as I am part of the household that my grandson lives at as his permanent address, my income will be taken into account.
This hardly seems fair as I have already paid out for my own children and it will make a significant difference.


I am not sure about the living expenses, bursaries, grants etc


My daughter isn't divorced but they have been separated for 3 years and my grandson has not seen his father in that period.

[Deleted User]

SHEILA54 wrote: »

I have just phoned the UK GOV website and been told that, as I am part of the household that my grandson lives at as his permanent address, my income will be taken into account.
This hardly seems fair as I have already paid out for my own children and it will make a significant difference.


I am not sure about the living expenses, bursaries, grants etc


My daughter isn't divorced but they have been separated for 3 years and my grandson has not seen his father in that period.

They are wrong. They probably haven't understood the situation.

Spendless

SHEILA54 wrote: »

I have just phoned the UK GOV website and been told that, as I am part of the household that my grandson lives at as his permanent address, my income will be taken into account.
This hardly seems fair as I have already paid out for my own children and it will make a significant difference.


I am not sure about the living expenses, bursaries, grants etc


My daughter isn't divorced but they have been separated for 3 years and my grandson has not seen his father in that period.

They've got it wrong. Your income won't be taken into account. Just his Mums, unless she lives with a boyfriend at your house too, then it would be his Mums plus her partner's income.

SHEILA54

I explained the situation fully but that is what they said. Please can you show me any information that I can read through that says differently?


I own the house and she , plus my 2 grandchildren, live with me as well. They have always lived here but their Dad left 3 years ago. He pays maintenance, though he would prefer not to, and that will finish next year for my grandson. She pays a nominal amount for rent and I also help out financially , as necessary.


Thanks

[Deleted User]

https://www.gov.uk/apply-for-student-finance/household-income

What counts as household income
Your household income is your taxable income plus the income of:

your parents - if you’re under 25 and live with them or depend on them financially
one of your parents and their partner - if you’re under 25 and live with them or depend on them financially
your partner - if you’re over 25 and live with them (even if they spend most of their time abroad)