1. Understanding the Basics of Student Finance and Repayments
Gareth Pearse

2. Topics to be covered Eligibility – things to consider
An overview of statutory funding - what support is available?
Independent Students – when is a student independent?
Further Statutory Support – supplementary grants
Applying for Student Finance
Repayments
Other Support – bursary’s, scholarships and hardship funds
Introduce topics to be covered;

3. Eligibility Course Eligibility Personal Eligibility
Previous Study and ELQ’s

4. Course Eligibility
Support from the Student Loans Company is only available if the student plans to study a ‘designated course’ such as a;
First Degree – BSc, BA, BEd
Foundation Degree
Higher National Diploma (HND)
Higher National Certificate (HNC)
Diploma of Higher Education (DipHE)
Postgraduate Certificate in Education (PGCE) with QTS Recommendation
Integrated Masters
Initial Teacher Training
The course/institution must meet certain requirements to be eligible to receive funding “designated” such as:
- must be at a UK publicly funded institution or a publicly funded course at a private institution
It must lead to a higher education qualification such as (the above)
Taught courses (some distance courses do attract support)
The course/institution must meet certain requirements to be eligible to receive funding “designated”

5. Personal Eligibility UK National or have Settled Status
EU national or relevant family member
EEA/Swiss Migrant Worker (or relevant family member)
Child of a Swiss national or Turkish worker
Refugee / subject to Humanitarian Protection (in some cases)
Have a ‘Right to Reside’
Home:
Must have been ordinarily resident in the UK for 3 years prior to the first day of the first academic year of the course
No restrictions on how long they can be in the UK i.e. have citizenship, indefinite leave or right to reside
EU National must be ordinarily resident in the EU on the first day of the AY in which they’re applying for support – can potentially be eligible for a maintenance loan if obtained right to reside (5 years)
If family member is a MW their status extends to dependents if applying for support under the age of 21 (after this they must obtain this status in their own right) would be assessed as home student
Refugee’ if the person, spouse or dependent (under 18) has refugee status, it has not expired, and they are ordinarily resident in the UK on the first day of the AY

6. Previous Study and ELQ’s
Students who have studied a HE course previously will have years on course reduced from their entitlement for a new course: OD PrC
Students who are looking to study a qualification at the same or lower level as one they already hold could mean they are ineligible for support
These rules usually apply to Tuition Fee and Maintenance Loans/Grants
Students should still be able to access;
Disabled Students’ Allowances (DSA)
Parents Learning Allowance (PLA)
Childcare Grant (CCG)
Adult Dependants Grant (ADG)
Example:
Jane wishes to study a 3 year Photography course but completed 2 years of a Fine Art course ending in 1998, she did not achieve a qualification.
Entitlement to Funding
3 + 1 = 4 – 2 = 2
Jane has 2 years of support available to her, these are allocated to the years closest to graduation and therefore Jane would have to find alternative ways of funding the first year of her Photography degree.
Students can generally only receive funding for their first HE qualification, though there are exceptions
Students entitlement is calculated as the duration of the course they’re applying for support, gift year, minus years spent on a previous course
Student cannot receive funding for an equal or lower level qualification; generally applies to TFL/ML
Exception Part-time STEM courses may be eligible
Supplementary grants are not subject to these restrictions

7. What Support is Available?
Discuss the support available to Full-time undergraduate students from England (and on occasion Wales/NI/SAAS)
Tuition Fee Support
Cross-nation Fees table
Maintenance Loans/Grants
Maintenance Loan/Grant amounts

8. Tuition Fee Support
For all students eligible to support, including EU Nationals
Up to £9,250
Non means-tested
Paid directly to the institution in 3 instalments
No upper age limit
May vary across nations
Providing they meet the aforementioned eligibility criteria…
Varies across nations: Wales = £9,000 maximum if in Wales
SAAS students don’t pay TF if in Scotland

9. Cross-nation Fees table
Resident
Studying
England
Northern Ireland
Scotland
Wales
Tuition Fee Loan Max £9,250
Tuition Fee Loan Max £9,000
Tuition Fee Loan Max £4,030
Tuition Fee paid by SAAS £1820
Tuition Fee Loan Max
£9,250

10. Maintenance Loans/Grants
Available to all eligible students – can calculate potential loan here
Composed of a non means-tested and means-tested element
Different rates paid dependent on:
Where the student lives
Where the student will be studying
Whether they’re in their final year
Whether they’re in receipt of Welfare Benefits
Whether they’re on a long course or placement/study abroad
Paid for living costs; accommodation, books, travel, food etc.
Household income is based on prior tax year. So for 2018/19 entry will be all taxable income in the 2016/17 tax year.
If income has reduced – CYIA.
Household includes partner, parents or a parent and anyone living with them as if they were their spouse or civil partner. i.e. mum and boyfriend live together, both incomes would be included in assessment.
All students will receive a NMT loan, with a higher amount dependent on HHI.
HH will be parents if under 25 (even if they have a partner and live away from the parental home) unless the meet exemptions as an ‘Independent Student’
Usually paid slightly less in final year
Entitled to a higher amount if in receipt of Welfare Benefits; usually mature, independent students or those with a disability

11. Maintenance Loans/Grants continued…
Not available to EU students unless:
They’ve been ordinarily resident in the UK for 5 years
They meet the requirements for ‘Migrant Worker Status’
Is paid termly in three instalments directly to student
Higher rate of maintenance loan – Special Support Element – payable in certain circumstances (is not included for benefits purposes):
Lone parent with child <20
Deaf and qualifies for DSA
In receipt of disability benefits - PIP / DLA / AFIP
In receipt of Housing Element of Universal Credit
EU students aren’t eligible unless they’ve been ordinarily resident in the UK for 5 years prior to first day of first AY of course
Meet MW status requirements, employment not ‘marginal’ or ‘ancillary’ hours to be worked varies depending on effectiveness of employment OR are dependent of a MW under the age of 21
Paid directly to students bank account in-line with start of terms; September/October, January, April/May
SSE not included for DWP purposes

12. Maintenance Loan/Grant Amounts 2018/19
Where are they studying?
SFE
SFW (incl. £1,000 WGLG)
Elsewhere (London)
£11,354
£11,250 (£10,250 loan)
Elsewhere (outside London)
£8,700
£9,000 (£8,000 loan)
Home
£7,324
£7,650 (£6,650 loan)
SFE does not have maintenance grant for 2016 cohort students onward
Minimum in England:
London = £5,654
Outside London = £4,054
Home = £3,224
SFW changed system following the Diamond Review;
No tuition fee grants
All students can access the same amount of funding, including a £1,000 non means-tested WGL grant. The amount of loan vs grant is then determined based on HHI.
e.g. a family with a HHI of £65,000 could be eligible to £9,000; £1,000 grant and £8,000 loan
Family with a HHI of £6,000 could be eligible to £9,000; £8,100 grant and £900 loan
There are no grants for living costs for SFE-funded students starting their courses in 2018/19
Students funded through SFW receive a non means-tested Welsh Government Learning Grant of £1,000, with their loan/grant entitlement being means-tested thereafter

13. Independent Students
When is a student independent?

14. When is a student independent?
When they are 25 or over on the first day of the academic year or;
Have no living parents
Parents cannot be found/unreasonable to contact them
Estranged from their parents
Care of a child
Married/Civil Partner
Care Leaver
Self-support for 1095 days prior to first day of the academic year
Unreasonable would usually be determined by the HO at risk or ‘no fly’ zones etc.
Estranged: had no physical, verbal or written contact with parents for a minimum of 12 months (unless otherwise considered by the SoS)
Must have care of a child on the first day of the AY (01 Sept) in order to be independent (can claim GfD’s, though based on partners income)
Dependent from parents but dependent on husband/wife
Care Leaver, usually as defined under the ‘Children (Leaving Care) Act 2000; as someone who has been in the care of or given accommodation by their Local Authority (LA) for at least 13 weeks before the age of 16. Must not have reconciled with their parents.

15. Further Statutory Support
Usually referred to as supplementary grants
Parents Learning Allowance (PLA)
Childcare Grant (CCG)
Adult Dependants Grant (ADG)
Disabled Students’ Allowance (DSA)
Part-time Student Support

16. Parents Learning Allowance (PLA)
Paid directly to the student at the same time as maintenance loan/grant
Amounts vary dependent on nation
Is means-tested based on partners income (sometimes parent)
A child must be financially dependent on the student
Not included in benefits calculations
Paid in acknowledgement that parent student costs may be higher due to dependents
May be based on parents income if the individual is under 25 and gives birth within an academic year
SFE must determine who the child is financially dependent upon
England = £1,669
Wales = £1,557
Northern Ireland = £1,538
Scotland = £1,305

17. Childcare Grant (CCG) Available in England, Wales and Northern Ireland
Can contribute towards up to 85% of childcare costs (OFSTED registered)
Paid directly to the student at the same time as maintenance loan/grant
Amounts vary dependent on nation
Is means-tested based on partners income (sometimes parent)
A child must be financially dependent on the student
Paid in 3 instalments.
Students are asked to estimate CC costs (CCG1) and then CC provider must complete another form (CCG2) to confirm the costs are correct.
Any adjustments will then be made
Is paid for number of weeks in attendance, however in exceptional circumstances may be payable for 52 weeks
Awarding Body
Amount for 1 child (p/w)
Amount for >2 children (p/w)
SFE
£164.70
£282.36
SFW
£161.50
£274.55
SFNI
£148.75
£255

18. Adult Dependant Grant (ADG)
Paid directly to the student at the same time as maintenance loan/grant
Amounts vary dependent on nation
Is means-tested
An adult must be financially dependent on the student
Is not applicable for adult children
The adult dependent is usually a husband, wife, or civil partner…. Or a relative such as parent or grandparent
If under 25 the dependent cannot be a partner unless married or civil partnership.
Not eligible if the adult dependent is their child; receiving student support; has earnings of more than £3,796 p/a (England)
England = £2,925
Wales = £2,732
Northern Ireland = £2,695
Scotland = £2,640

19. Disabled Students’ Allowances (DSA)
DSA can help cover extra costs incurred because of a long term illness, mental health problem or other disability
DSA is funded through Student Finance and is non-repayable
Can help with the cost of:
Specialist equipment
Non-medical helper support
Extra travel costs because of a disability
Other disability-related study costs
Students will need to pay a £200 excess to access their equipment

20. Part-time Student Support
From 01 August 2018 part-time students can apply for a tuition fee and maintenance loan
Must be a level 6 (or above course)
They must be studying a minimum of 25% intensity of the full-time equivalent course
The maintenance loan is proratad based on the number of credits being undertaken in comparison with the full-time course
Applications due to open in May 2018
Example: standard AY is 120 credits and maintenance loan is £8,700: if studying 60 credits = £4,350
Not a great deal of info released: regulations and guidance due end of April: issues with DWP (and how maintenance loan to be treated as income)
Not eligible for dependents grants

21. Applying for Student Finance
Where to Apply
Applying Online
Applying by Paper

22. Where to Apply Student Finance England (SFE)
Student Finance Wales (SFW)
Student Finance Northern Ireland (SFNI)
Student Awards Agency Scotland (SAAS)
Student Finance Services EU Team (SFEU)
Deadlines
SFE recommend applications are submitted by 25 May 2018 in order to ensure support is agreed for the start of the course
09 Months after the first day of the academic year (01 June for most courses)
- Students must apply 09 months after the first day of the academic year, which if starting in September counts as 01 September and therefore deadline is 01 June
- SAAS students must have applied by 31st March

23. Applying Online Set up an online account using an email address
To apply applicants will need their:
Passport number
NI Number
Residence history
Previous study details
Course details (does not have to have a confirmed place)
Bank details
Applicants must sign and return their declaration forms to Student Finance, agreeing to the loan T&C’s, in order for their funding to be released (e-signature from 25 March 2018)

24. Applying by Paper
Students can also apply via paper forms, they will need to complete the form relevant to their circumstances
New students in England – PN1 form
Household income information – PFF2 form (to be completed by parent/partner)
Childcare Grant estimations – CCG1 form
Current (Tax) Year Income Assessment – CYIA form
Disabled Students’ Allowance’s – DSA1 or DSA slim (if has CRN)

25. Repayments
SFE/SFW (Plan 2)
Repayment tables
SFNI/SAAS (Plan 1)

26. SFE/SFW (Plan 2) Interest charged at a maximum of inflation + 3%
Repayments are automatically deducted from gross pay
Repayments begin once earning above £21,000* at a rate of 9%
Outstanding loan balance is cancelled after 30 years or if permanently disabled and unfit for work
* Expected to change from 06 April 2018 as per Parliamentary statement HCWS145 – subject to approval
Whilst studying inflation plus 3%
Charged at RPI if earning under £21,000
RPI+ a percentage of 3% until £41,000
>£41,000 = RPI+3%
Will change to £25,000 - £45,000 when confirmed.

27. Repayments based on £21,000 threshold (9%)
Earnings
Annual Repayment
Monthly Repayment
£21,000 £0
£25,000
£360
£30
£30,000
£810
£67.50
£40,000
£1,710
£142.50
Repayments based on £25,000 threshold (9%)
Earnings
Annual Repayment
Monthly Repayment
£21,000 £0
£25,000
£30,000
£450
£37.50
£40,000
£1,350
£112.50

28. SFNI/SAAS (Plan 1)
Repayments are automatically deducted from gross pay
Repayments begin once earning above £17,775* at a rate of 9%
Interest is based on RPI
Outstanding loan balance is cancelled after 35 years or if permanently disabled and unfit for work (25 years for SFNI)
* Due to rise to £18,330 from 06 April 2018
Currently interest of 1.5%

29. Other Support
Bursary’s
Scholarships
Hardship Funds
Benefits

30. Bursary’s
Many universities offer bursaries to students from low income / participation backgrounds
These vary between institutions:
Bath Spa University = £3,500
UWE, Bristol = £2,000 (enhanced)
Oxford = £3,700 p/a (maximum)
Bursary’s are non-repayable grants and are sometimes paid ‘in kind’
There is often extra support available for independent students such as Care Leavers or those estranged from their parents

31. Scholarships
Scholarships are usually based on academic or extra-curricular performance
They vary in the number available and the size of the award
They may be awarded by the institution or partners/alumni
Some Universities may partake in the ‘Unite Foundation Scholarship’ scheme for care experienced or estranged students

32. Hardship Funds
Most Universities will operate some form of hardship funding
The criteria varies between institution to best fit their student demographic
Students can apply to these funds when statutory support and other funding such as part-time work is not sufficient to support themselves
These funds are finite so students should apply as soon as they find themselves in difficulty
Most will consider exceptional essential expenditure

33. Benefits
Full-time students on a course of advanced education (usually above L3) are ineligible to claim most benefits
There are exceptions which allow students to claim such as those that are:
Single parents
In receipt of PIP/DLA and satisfied the Work Capability Assessment
Are deaf and qualify for Disabled Students’ Allowances
Students can claim Working Tax Credits and Child Tax Credits whilst they are students
There are different rules and regulations that govern Universal Credit which is being rolled out nationally

34. Useful Links www.practitioners.slc.co.uk

35. Any Questions