| For most UK students in order to make it through | | | | you should be in a job and earning the big time |
| university they’ll need to apply for student loans, | | | | salaries your qualification dictates. You should check |
| the loans provided by the Student Loans Company | | | | that paying off the loan early is OK because |
| are served after determining course fees, the level | | | | sometimes you will incur an extra charge for paying |
| of support you’ll receive from your parents and | | | | off too much too soon. It sounds silly but as with all |
| take in to consideration that you’ll need to pay | | | | loans banks count on you being in debt to them for a |
| for accommodation and books. | | | | long time so they earn money through interest. |
| Normally the amount given will not cover every | | | | It’s not a bad thing to pay off loans early; after |
| expense that higher education incurs but will help | | | | all it should help keep any possible negative marks on |
| cover most administrative costs, leaving you to get a | | | | your credit report. Speaking of which, you should |
| small part time job possibly working at a bar (a | | | | keep an eye on your credit status after university, |
| popular student workplace/recreational location) and | | | | debts can often have a nasty effect on getting |
| that money can be used to fuel the endless nights | | | | credit or other big purchases such as houses and |
| out but also for those all-important books! | | | | mortgages. You can apply to see the information |
| With average university loans per year being around | | | | the three credit companies (Experian, Equifax and |
| £3,000-4,000 and a course normally lasting three to | | | | TransUnion) and is worthwhile keeping an eye on in |
| four years by the end of your four years you could | | | | your years after university. |
| have a student debt of £16,000 to repay. As | | | | Keeping an eye on your repayments with regards to |
| daunting as this seems student loans are fortunately | | | | other debts is important too, in the grand scheme of |
| different from conventional loans and have a lower | | | | things if you have large credit card debts as well as |
| interest rate and more flexible repayment | | | | student loans you are better off prioritising your |
| strategies. | | | | repayments and dealing with the credit card debts |
| One of these strategies means you will not have to | | | | first, again the student loan will have a lower interest |
| repay your loan until you are in full time employment | | | | rate and will not result in you losing more money |
| earning above £15,000 per year. It isn’t | | | | which would happen if you left credit card debts |
| uncommon for former students to still have student | | | | unchecked. |
| loans going well into their thirties but that doesn’t | | | | In general, student loans are not to be taken lightly, |
| mean you can’t get rid of them quicker, if you | | | | but they understand students who have recently left |
| want to be debt-free as soon as possible then there | | | | higher education and entered the working world. |
| are a few tips that some insurance companies have | | | | The six month grace period is long enough for |
| offered to students who want to get out of the red | | | | graduates to find some form of income and start |
| and start putting that university degree to good use! | | | | repaying their loans. When repaying loans take care |
| The first thing to check is if you can repay the loan | | | | to make sure the ones with the most interest are |
| earlier than the set out dates that they give you | | | | dealt with first and don’t be afraid to seek out |
| upon completing your course, this normally comes | | | | advice and help from financial advisors and other |
| into effect six months after graduating by which time | | | | sources. |