Student Work Book2014/15

Part 1: Student Finance 2014/15What is Student Finance Wales?What finance is available?

Part 2: Applications and BeyondHow and when to applyManaging your moneyHow do you repay a student loan?

Contents/How much do you know?

You can use the information and activities in this guide to find out moreabout student finance.

But before you start, complete the questions below to see what you already know about student finance then come back and review your answers to see how well you did.

i

Q 1 Which of these are available from Student Finance Wales?a) Sponsorship and scholarshipsb) Loans and grants to help with tuition fees and living costsc) Bus tickets and a box of chocolates

Q 2 When should you apply for your student finance?a) After you have started your courseb) When you have a confirmed offer from a university or collegec) As soon as possible

Q 3 What will your student loan repayments be based on?a) Your future incomeb) How much you have borrowedc) Neither, you just pay a fixed amount regardless

Q 4 How much do you need to earn before you start to repay?a) £16,000 a yearb) £21,000 a yearc) Doesn’t matter, repayments will be taken whatever you earn

Student Finance Wales is a service provided by the Student Loans Company.

We provide financial support on behalf of the Welsh Government to students from Wales entering higher education in the UK.

We’re here to help and can offer you financial support when you need it most — during your studies.

Depending on your circumstances, your course and where you study, you may be able to get a range of financial help and support.

You could get grants and bursaries (which you don’t have to pay back) and loans (which you do). This includes a Fee Grant. Most students won’t have to pay any tuition fees up front.

The two main costs full-time students will have while studying are tuition fees and living costs. There’s student finance available to help you with both.

Tuition Fee Loan and Fee Grant

No eligible, new student will have to pay for tuition fees up front. You can get a Tuition Fee Loan of up to £3,685 to cover your fees, which won’t have to be paid back until your income isover £21,000 a year. You could also get a Fee Grant to of up to £5,315 to cover the difference between the maximum Tuition Fee Loan available and the tuition fee charged by your university or college.

The Tuition Fee Loan is not linked to household income levels and SLC pay this loan directly to your university or college, so no need to worry about making the payments yourself!!

NHS SupportIf you’re planning on studying for a degree on a pre-registration health professional training course such as a degree in nursing, midwifery, physiotherapy, speech and language therapy, dentistry* or medicine* then you may be entitled to funding through an NHS Student Bursary**.

An NHS Bursary can help with your tuition fee and living costs and additional support is also available from Student Finance Wales if required. For more information on NHS Bursaries, eligibility and how/when to apply, go to www.nhsbsa.nhs.uk/Students

*From 2nd year of study for graduate entry programmes or 5th year of study for undergraduate programmes. **Additional support may also be available to students studying a degree in Social Work.

What finance is available?

What is Student Finance Wales?

Further information on eligibility for student finance can be found online at www.studentfinancewales.co.uki

Private universities and collegesSome private universities and colleges also run courses which have been approved for student finance by the government. These providers do not have an upper limit placed on the level of tuition they can charge.

If you’re thinking of studying an approved course (specifically designated by WelshGovernment) at a private university or college you can still apply for a tuition fee loan of up to£6,000 a year but if the tuition charge is above this you’ll need to fund the extra costs unless

anysupport is available.

Living Costs

You’ll have a wide range of living costs while at university or college. This will include things you have thought of, such as books, food and accommodation through to things you may not have considered yet such as a TV licence or insurance.

The main types of support available from Student Finance Wales to help with these costs arethe Maintenance Loan and Welsh Government Learning Grant.

Maintenance Loan

How much you can get depends on your household income and where you’re studying.The Maintenance Loan has to be paid back but not until your income is over £21,000. You

couldget a Welsh Government Learning Grant, and if so, we’ll reduce the amount of Maintenance Loan you can get.

We pay your Maintenance Loan straight into your bank account, usually in three instalments,one at the start of each term. You must be aged under 60 at the start of your course to get aMaintenance Loan.

Live with parents Up to £4,027

Study in London and not living with parents

Up to £7,288

Study outside of London and not living with parents Up to £5,202

Live and study abroad for at leastone academic term(Part of UK course)

Up to £6,202

What finance is available?

You’ll be able to find information on courses and tuition fees at open days,on university or college websites or on other useful websites like unistatsi

Welsh Government Learning GrantYou could get up to £5,161 to help with living costs. This doesn’t have to be repaid. How much you can get depends on your household income.

We usually pay your Welsh Government Learning Grant in three instalments; one at the startof each term, along with any Maintenance Loan. Special Support Grant The Special Support Grant replaces the Welsh Government Learning Grant for some studentsin certain circumstances. You could get up £5,161 depending on your household income. The Special Support Grant won’t affect the amount of Maintenance Loan you can get. We work outyour entitlement to the Special Support Grant the same way as the Welsh Government LearningGrant.

 

Household income How much?

£18,370 or less Maximum £5,161 grant

Between £18,371 and £50,020 Partial grant, depending on household income

More than £50,020 No grant

What is household income?Generally your parents’ income* is assessed if you’re under 25 and depend on them financially. Your partner’s income* is assessed if you’re over 25 and living with them.

*Earned and unearned income (e.g. wages, benefits, pension or investments)

For more information on income assessments go to;www.studentfinancewales.co.uk

Estimate 1 Estimate 2

University/College

Tuition Fee

Maintenance Loan

Maintenance Grant

What finance is available?

Using the calculator on www.studentfinancewales.co.uk you can get an estimate of the student finance which may be available to you and make a note of the results:

University/College

Bursary/Scholarship name

Amount available

How do you qualify?

When/how do you apply?

Disabled Students’ Allowances (DSAs)DSAs are available to students who have extra costs because of a disability, long-term health condition, mental-health condition or specific learning difficulty.

DSAs don’t depend on household income and don’t have to be paid back. How much you can get depends entirely on your circumstances and support through DSAs can go towards costs of non-medical helpers, equipment or travel.

Childcare Grant The Childcare Grant helps with childcare costs if you have dependent children under 15 (under 17 if the child has special educational needs) in registered or approved childcare.

Parents’ Learning Allowance Parents’ Learning Allowance is to help with course-related costs if you have dependent children.

Adult Dependants’ Grant Adult Dependants’ Grant helps students who have an adult who depends on them financially.

For more information on DSAs and dependents’ grants go towww.gov.uk/student-finance/extra-help

Bursaries and scholarshipsMany universities and colleges offer additional financial support through bursaries andscholarships. These can be linked to things like household income, academic achievement, your course or if you play a musical instrument or a sport to a high standard.

It’s important to look into what may be on offer from the universities or colleges you are applying to. The information can be found on their own websites or on sites such as scholarship search.

Additional Support

Find details of bursaries or scholarships offered by two of your university or college choices and record the information below

How and when to applyYou only need to make one application for us to be able to assess the Tuition Fee Loan, WelshGovernment Learning Grant, Special Support Grant, Maintenance Loan and, if applicable, any Parents’ Learning Allowance or Adult Dependants’ Grant you can get.

If you need to apply for other support, like the Disabled Students’ Allowances, or help with Childcare costs, tell us on your main application and we’ll send you a separate application form for these.

Also make sure you and any parent(s) or partner supporting your application have ticked the consent to share information boxes on the application form. By doing this we can share relevant details with your university or college which can help in applying for many bursaries/scholarships.

Application hints & tips• Apply as soon as possible so we have time to assess your application and make sure

your student finance is ready for you at the start of your course.

• Applying online at www.studentfinancewales.co.uk is the quickest and easiest way for moststudents to apply and for your parents or partner to support your application.

• You don’t need a confirmed offer from a university or college. Apply for your finance using your first choice so we can start the assessment.

• If your course, university/college or personal information does change before you start you can log into your account and update your application.

• As part of your application, you’ll need to supply your National Insurance number and details of your bank account, so have these ready.

Identity evidenceWe’ll need to see evidence to confirm your identity. If you hold a valid UK passport all you haveto do is provide the details on your application form with no need to send us anything else unless we ask for it.

Income evidenceIf you’re applying for student finance that depends on household income, your parents or partner will need to provide information on their income. In most cases they can do this by completing their section of the online application, providing details of their household income and National Insurance number. We can then automatically check this with HM Revenue & Customs (HMRC).

If necessary, we may then contact your parents or partner asking them to provide additional evidence of their household income; this could include photocopies of P60s or payslips.

It’s important we get this information promptly!

Part 2 – Applications and Beyond

i If you don’t hold a valid UK passport then original documentation such as a birth certificate or non-UK passport will need to be provided

Studying in higher education (particularly if you live away from home) can mean a lot of extraexpenses. Some will be one-off costs like a laptop or printer, some will be termly (rent and

books), monthly (mobile phone bill) or more frequent such as food, travel, nights out and other leisure activities.

When the cash lands in your account, the temptation to spend it all on things like a whole newwardrobe, technology, gig tickets, or whatever else floats your boat will be right therein front of you, but do remember to be sensible with your money so you are not flat broke amonth into term and struggling to pay the bills and buy your books or food!

To avoid getting into a mess, it’s definitely worth planning some kind of budget based on whatyou expect to receive from Student Finance Wales, any bursaries/scholarships and any othersource of regular income (job, family etc) and putting these up against the costs you will befacing.

We’re not all finance or accountancy students so it doesn’t have to be an in depth balance sheet

but getting an idea of the basics will help and a lot of the information can be found online or byasking staff at your university or college.

NUS extraExtra is a scheme offered through the National Union of Students and offers students discountsacross a wide range of shops, restaurants, websites and on leisure activities, and from £12, it is worth checking out. www.nus.org.uk/en/nus-extra/

Student bank accounts Many high street banks have accounts designed for students and they are keen to get yourbusiness. Some will try and tempt you in with various freebies, but what you want to be lookingout for first is the best interest free overdraft on offer, because if you do run low on funds andneed a little extra to see you through, you don’t want to be running up any interest charges.

Be sure not to go over your agreed limits though or the charges will start and think very carefullybefore even considering credit or store cards. Once you’ve decided on a bank and signed up, do remember to update your student finance account online so we know where to pay yoursupport!

Part-time or holiday jobsObviously getting the best degree possible will be the main use of your time in higher education,but if you do have a couple of afternoons, evenings or weekends free then you may be able tobalance a part-time job with your studies to earn a bit of extra cash. Of course, working duringthe holidays is also an option if term time is just too busy.

Managing your money

i Any maintenance support you receive from SFW will usually be paid to you in three instalments across an academic year (one each term) so you need to make it last.

iMost universities will have a ‘job-shop’ where vacancies will be advertised both onand off campus, but if you already have a job with a large company see if they have a branch local to where you will be studying you can transfer to

IN coming

OUTgoing

Income Source How Much How Often

Maintenance Loan

Maintenance Grant

Bursary or Scholarship

Job & Family

Savings

Other

Total

Expense How Much How Often

Rent

Utility Bills

Phone Bills & Internet

TV Licence

Travel (16-25 Railcard?)

Books & Materials

Insurance

Total

Expense How Much How Often Expense How Much How Often

Clothes & Shoes Haircut

Music & Films

Gym & Sports

Nights out & Social

Food & Toiletries Total

What you spend on other expenses will depend on your personal tastes, some are listed below with extra spaces for your own suggestions too.

Accommodation costs can usually be found on university websites.

Sites like unistats and push.co.uk are also useful for finding out what costs might be in the town or city you’re going to be studying in.

Use this page to make a note of the finance you expect to get, check out some of theexpenses you will face and get an idea of how your budget will look

Remember that not all of your income will necessarily come in at the same time. Some will be termly, some monthly or maybe even weekly.

Managing your money – Budget sheet

!

i

If you’ve been studying full-time while in higher education, you’ll usually ‘enter repayment’ the April after leaving or graduating from your course. Once you enter repayment, the amount you repay will depend on your income and not how much you borrowed. If your income is £21,000 a year or less, you won’t have to make any repayments. When your income is over £21,000 gross (before tax) you’ll repay 9% of income earned over this amount. The table below shows some example repayments.

Repayment amounts will be rounded down to the nearest pound so £142.50 becomes £142 etc.

Repayment facts• If you’re employed, your employer will take your repayments directly from your salary along

with tax and National Insurance contributions.

• If you stop working, your repayments will stop, only starting again when your income is back over your threshold.

• Any loan remaining 30 years after you’re due to start making repayments will be written off, but you can make penalty free repayments at any time if you want to clear your loan earlier.

• If you’re planning to travel or work abroad for more than three months after you finish or leave your course, you’ll need to fill in an Overseas Income Assessment form so you can

make repayments.

Interest on your loan Interest is charged from the day we make your first payment until your loan is paid off in full or written off. The interest charged is linked to Retail Price Index (RPI) and will vary.

While you’re studying until entering repayment, interest will be added at RPI +3%, then on entering repayment will be linked to your income. For more information on repayments and interest go to www.studentloanrepayment.co.uk

Income each year before tax

Income from which 9% is deducted

Monthly Repayment (Approx)

£21,000 £0 £0

£25,000 £4,000 £30

£30,000 £9,000 £67

£35,000 £14,000 £105

£40,000 £19,000 £142

If your income is £30,000 a year, the amount used to work out your student loan repayment would be £9,000 giving a monthly payment of £67

How do you repay a student loan?

• I’ve read this guide and checked out the extra information online at www.studentfinancewales.co.uk

• I’ve used the Student Finance Calculator and have an idea of what student finance I could get.

• I know how to apply for student finance and when the deadline is.

• I’ve registered online at www.studentfinancewales.co.uk and now have a CRN (Customer Reference Number).

• I’ve made a note of my CRN and the security details for my account (password and secret answer) and will keep these safe.

• I’ve found out whether I need financial details from my parents or partner to support my application.

• I’ve logged in to my student finance account and applied online before the deadline.

• My parents or partner have registered online and filled in their part ofmy application before the deadline.

• I’ve sent any necessary evidence or further information to SFW, remembering to only send photocopies of financial evidence.

• I’ve logged in to my online account to check the progress of my application.

• SFW have sent me a Student Finance Entitlement letter telling me how much I’ll get.

• I’ve signed and returned the declaration form.

• I’ve taken my Student Finance Entitlement letter to my university or college and registered with them.

Finish

Your Checklist

Start