STUDENTS will be heading off to university for the first time or will be returning in September. This means they’ll be wondering when their first loan payment will hit their bank account.
University students, and some people taking higher education courses, receive loan payments throughout the academic year.
We have put together a list of dates you should be written in your diary, and explain whether you can still apply for student finance.
What is a maintenance loan?
A maintenance loan is paid directly into your bank account at the beginning of each term, meaning you could receive three payments a year.
The loan is meant to cover your living costs during your studies.
You shouldn’t need to use this money on your tuition because this comes as a separate loan.
How much you’re entitled to could be affected by your household income during your application.
What are the maintenance loan payment dates for 2022-23?
Student loans are paid in three instalments, but the exact day you’ll receive yours depends on your term start date.
If your course starts in September, you should receive your payments in September, January and April.
The payments are sent by Student Finance Wales, Northern Ireland and England or, if you’re in Scotland, the Student Awards Agency Scotland.
Student Finance England (SFE) says it can take up to three days for payments to reach a student’s account, so it’s best to make sure you have some money to cover immediate costs like transport and your first rent payment.
How to view your payment dates and status
Once your loan application has been approved, you’ll be able to view your student loans payment schedule in your online account.
How much funding you get depends on your individual circumstances – including your parents’ income.
Once you’ve logged into your student finance account, you’ll see your “my account” page.
Then you can select “your finance”, where you’ll find the option to see your payments.
You should click on “academic year 2022/2023” under “view your payments”.
You’ll be able to view your scheduled payment dates, the status of your tuition fee loan and your maintenance loan as well as any grants you’ll receive.
You might see your payment status as “awaiting confirmation” or “blocked”.
“Awaiting confirmation” means you’ll get paid once your uni or college has confirmed you’ve registered for your course.
“Blocked” means Student Finance is checking your national insurance number (which can take up to 10 days), your bank details are missing or it needs more evidence from you.
To find out what else you need to do, select “your profile” then scroll down to “your to-do list”.
How do you apply for a student loan?
Students can apply online for a loan through the government website.
You can apply up to nine months after the start of the academic year.
Students can set up a student finance account online – and will need their household income, proof of identity and a loan declaration as part of the application.
You can apply for tuition fee loans and maintenance loans.
Do you need to apply for student finance every year?
Changes in the Student Finance process means that continuing students must apply for funding every year.
Paper applications have been scrapped, meaning you must apply online through the government website.
Can I still apply for funding?
Just because your term has started doesn’t mean that you can’t still apply for student finance.
You can apply up to nine months after the first day of the academic year for your course.
That means if you start your course in September, you can still apply for funding any time before June next year.
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When does repayment start?
When you start repaying your loan, and how much you have to pay, will depend on which repayment plan you’re on.
Plan One (Loans taken out before September 1, 2012 in England or Wales)
- If a student’s income is more than £1,682 a month (before tax and deductions) or £20,195 a year, they will start repaying their loan the April after leaving their course.
- The amount you need to pay back will change on April 6 each year.
- Students will stop paying if their income drops below this amount.
Plan Two (Loans taken out on or after September 1, 2012)
- If a student’s income is more than £2,274 a month (before tax and other deductions) or £27,295 a year, they will start repaying their loan the April after finishing their course, or, if they are studying part-time, the April four years after the course started.
If you took out a Postgraduate Loan, you’ll repay when you income is above £1,750 a month or £21,000 a year (before tax and other deductions).
Repayments are taken out from a person’s salary at the same time as tax.
Students can also make voluntary repayments through Student Finance.
However, they should be careful as more than half a million graduates were owed a whopping £28million due to overpayments, research found last year.
The Student Loans Company then began trialling automatically refunding people who had overpaid back in March.
How much are university tuition fees?
The amount that a student will pay for their university tuition depends on the institution they study at, and what they study.
Tuition fees are capped at £9,250 for home and EU students.
Interest starts being added to your loan from when you get your first payment.
If you think university isn’t for you, here’s how you can earn £60,000 without a degree.
And make sure you don’t waste your student loan – unlike this student, who blew it on a nose job in Turkey.
And as student loan overpayments hit £18.4million, here’s how to check if you’re owed a refund.
Disclaimer: Loan information provided is for educational purposes only, not financial advice. Seek professional guidance before making any financial decisions.
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