Student Loan: Should I provide my financial info for my son's application?

Options
JamieBadman
JamieBadman Posts: 9 Forumite
First Anniversary First Post
in Student MoneySaving
Hi

My son has applied for a student loan and I've received an email asking for my financial information in order for them to determine what he should receive.

My yearly income is in excess of 90K.

If I fill in the financial information they require, is it possible that he will receive LESS than the amount he'd receive if I don't provide any information at all?

I'm concerned that providing my info may actually prove to be detrimental.

Anyone know the situation here?

I'd also love to understand why I, as a parent, am assessed for this at all - his course is 5 years - he'll be 23 when he finished - yet his eligibility for a loan is based on his parents income. Why is this?
«1

Comments

  • Ebe_Scrooge
    Ebe_Scrooge Posts: 7,320 Forumite
    Name Dropper First Anniversary Combo Breaker First Post
    Options
    It won't make a difference in your situation. If you don't supply details of your income, he'll be awarded the non-means-tested portion of the entitlements (which is what everyone is entitled to). If you supply your details, he'll be assessed to see what additional funding he's entitled to, based on household income - which will be nothing based on your income. So the net result will be the same.

    The reason you're being asked for your income is because part of the loan/grant entitlement is means-tested - parents on incomes above a certain level are expected (rightly or wrongly) to contribute to their children's university costs.
  • JamieBadman
    JamieBadman Posts: 9 Forumite
    First Anniversary First Post
    Options
    Thanks - so there's no possible way that by providing my info he'll receive less than if I don't provide it at all?

    Will it slow down his application if I don't provide? Just trying to figure out if there's any reason to complete the forms.
  • JGB1955
    JGB1955 Posts: 3,483 Forumite
    First Anniversary First Post Name Dropper
    Options
    Student Maintenance Loans are means tested. If you don't provide the information (which is cross-checked with HMRC records) how can a decision be made?
    #2 Saving for Christmas 2024 - £1 a day challenge. £131 of £366
  • JamieBadman
    JamieBadman Posts: 9 Forumite
    First Anniversary First Post
    Options
    So if I don't provide any info my son will receive nothing at all? Are you sure about this?

    Pretty sure this is wrong.

    My question though is whether I can actually do harm by providing info (seems I can't) and whether if I don't comply if this slows his application down (why should I share financial data if it makes no difference?).
  • Ebe_Scrooge
    Ebe_Scrooge Posts: 7,320 Forumite
    Name Dropper First Anniversary Combo Breaker First Post
    Options
    If you don't supply the information it will slow down his application. The process goes something like this :

    1. Application received
    2. Evidence of income is requested
    3. When evidence is received and reviewed, the application is assessed and the award is calculated.
    4. If no evidence is received, several more attempts are made to ask for evidence, before the application is reviewed by a supervisor - at which point the applicant is given the option of cancelling their application or receiving the non-means-tested portion only.

    That's a simplified version, but the bottom line is yes, you'll slow down his application by not providing the evidence requested. He could, of course, just apply for the non-means-tested portion in the first place, then there'd be no need for you to send in anything.
  • northwest1965
    northwest1965 Posts: 2,058 Forumite
    Name Dropper First Post First Anniversary
    Options
    JGB1955 wrote: »
    Student Maintenance Loans are means tested. If you don't provide the information (which is cross-checked with HMRC records) how can a decision be made?

    If you are earning over £62212.00 the amounts for Maintenance Loan are £3414 if at home, £4168 outside London and £7103 London..

    Have I got that correct??

    https://www.savethestudent.org/student-finance/the-big-fat-guide-to-student-finance-2012.html#maintenancefunds
    Loved our trip to the West Coast USA. Death Valley is the place to go!
  • silvercar
    silvercar Posts: 46,968 Ambassador
    Academoney Grad Name Dropper Photogenic First Anniversary
    edited 15 July 2019 at 9:26AM
    Options
    It was a few years ago (but only a few years), there was a box to tick somewhere to only apply for the non means tested element. That made the application much quicker.

    For a non- means tested (or high income home) the amount in England for a student studying away and outside London is £4168.


    https://www.gov.uk/student-finance-calculator/y/2019-2020/uk-full-time/9250.0/away-outside-london/65000.0/no/none-of-the-above
    I'm a Forum Ambassador on The Coronavirus Boards as well as the housing, mortgages and student money saving boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Forum Ambassadors are not moderators and don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com (it's not part of my role to deal with this). Any views are mine and not the official line of MoneySavingExpert.com.
  • w06
    w06 Posts: 917 Forumite
    Options
    If you decide not to provide the information, tell them and him that you're not providing it, rather than just ignore the request, because it will slow the approval down and at this time of year he only has a couple of months to get it sorted
  • Spendless
    Spendless Posts: 24,151 Forumite
    Name Dropper First Post First Anniversary
    Options
    silvercar wrote: »
    It was a few years ago (but only a few years), there was a box to tick somewhere to only apply for the non means tested element. That made the application much quicker.
    It was there last year, we ticked it. Son started Uni Sept 18. Don't know about this year, I lost my job and we were wondering (hoping!) that this made a difference to son's loan, - it didn't!

    OP- Does your son live with you? You haven't made that clear.
  • silvercar
    silvercar Posts: 46,968 Ambassador
    Academoney Grad Name Dropper Photogenic First Anniversary
    Options
    Spendless wrote: »
    It was there last year, we ticked it. Son started Uni Sept 18. Don't know about this year, I lost my job and we were wondering (hoping!) that this made a difference to son's loan, - it didn't!

    OP- Does your son live with you? You haven't made that clear.

    You can ask to be assessed on this year rather than last if your income has dropped significantly.
    I'm a Forum Ambassador on The Coronavirus Boards as well as the housing, mortgages and student money saving boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Forum Ambassadors are not moderators and don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com (it's not part of my role to deal with this). Any views are mine and not the official line of MoneySavingExpert.com.
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

Categories

  • All Categories
  • 343.3K Banking & Borrowing
  • 250.1K Reduce Debt & Boost Income
  • 449.7K Spending & Discounts
  • 235.3K Work, Benefits & Business
  • 608.1K Mortgages, Homes & Bills
  • 173.1K Life & Family
  • 248K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards