A Guide to Financial Support for A Guide to Financial Support for New Full-time HE Students New Full-time HE Students

2010/2011 2010/2011

Why come to Northumbria?Why come to Northumbria?• £100 million invested in new campus and refurbishment of

existing buildings • State of the art support and facilities• Over 95% of graduates move into either employment or

postgraduate study• Graduates gain an average of £160,000 in additional earning

during their working life (UUK, Feb 2007)• Scholarships available to all ‘home’ students paying the

£3,290 fee• Newcastle-a fantastic city for entertainment, shopping culture

and sport with a beautiful coast and countryside

Who is this talk relevant for?Who is this talk relevant for?• Full time undergraduate students starting HE in 2010• Figures given apply to English students only. • Students who started pre 2009 returning to HE in 2010 -

different income thresholds applied in the income assessment

• Scottish students should visit www.student-support-saas.gov.uk

• Northern Irish Students should visit www.studentfinanceni.co.uk

• Welsh students should visit www.studentfinancewales.co.uk

OverviewOverview

Expenses whilst at university fall mainly into two categories:

• Tuition Fees – which help meet the cost of the course.

• Living Costs – help with your day to day living expenses such as rent, food, course costs, travel, leisure & entertainment.

Help with Tuition FeesHelp with Tuition Fees

• All eligible ‘home’ or EU students can take out a Tuition Fee Loan to cover the amount charged by the University

• No income assessment involved

• Tuition Fee Loan paid directly to University by Student Finance England (SFE)

• Students who don’t take out Tuition Fee Loan must make arrangements with the University to pay their fees

From September 2010 the tuition fee for all full-time ‘home’ (UK) undergraduate students is £3,290

Help with Living CostsHelp with Living CostsHelp from the Government• Maintenance Loan• Maintenance Grant / Special Support Grant• Other targeted help

Help from Northumbria University• University Bursary• University Scholarship• Access to Learning Fund

Other sources of support• Part-time work• State benefits• Bank overdraft

Student Loan for MaintenanceStudent Loan for MaintenanceMaintenance Loan (repayable) • Available to help with living and study costs such as rent, food, books• 72% of maximum loan is guaranteed to all eligible students (no income

assessment needed)• Entitlement to remaining 28% is dependent on assessment of household

income.

• Only 72% of maximum loan will be awarded where household income exceeds income threshold

• Students from lower income households have part of needs met by non-repayable Maintenance Grant. Amount of loan entitlement is reduced to reflect this

• Loan paid directly to student’s bank account by the SLC in three instalments:

September, January and April.

Maintenance Grant Maintenance Grant & University Bursary& University Bursary

Special Support Grant Special Support Grant & University Bursary& University Bursary

Maintenance Grant & Loan entitlement - Maintenance Grant & Loan entitlement - ‘living at home’ rate‘living at home’ rate

HouseholdIncome

Maintenance Grant

Maintenance Loan

(Max £3,838)

Total Grant & Loan

< £25,000 £2,906 £2,385 £5,291

£30,000 £1,906 £2,885 £4,791

£34,000 £1,106 £3,285 £4,391

£40,000 £711 £3,483 £4,194

£45,000 £381 £3,648 £4,029

£50,020 £50 £3,813 £3,863

£50,778 £0 £3,838 £3,838

£55,000 £0 £2,994 £2,994

£56,153 £0 £2,763 (72%) £2,763

£60,000 £0 £2,763 £2,763

Maintenance Grant & Loan entitlement - Maintenance Grant & Loan entitlement - ‘elsewhere’ rate‘elsewhere’ rate

HouseholdIncome

Maintenance Grant

Maintenance Loan

(Max £4,950)

Total Grant & Loan

< £25,000 £2,906 £3,497 £6,403

£30,000 £1,906 £3,997 £5,903

£34,000 £1,106 £4,397 £5,503

£40,000 £711 £4,595 £5,306

£45,000 £381 £4,760 £5,141

£50,020 £50 £4,925 £4,975

£50,778 £0 £4,950 £4,950

£55,000 £0 £4,106 £4,106

£57,708 £0 £3,564 (72%) £3,564

£60,000 £0 £3,564 £3,564

Repaying Student LoansRepaying Student Loans

• Student loans are only repayable once student has finished/left their course and is earning over £15,000

– Repayments are calculated on 9% of earnings over £15,000

Example – Graduate earning £16,000 would repay £7.00 per month.– Graduate earning £20,000 would repay £37.00 per month.

• Repayment ‘holiday’ available

– Students starting in 2008 or later, who complete at least 3 year course (due to start repaying loan in or after April 2012)

– Repayment break of up to 5 years

Student LoansStudent Loans

• The interest rate for student loans applies from 1 September to 31 August each year.

• Current rate of interest is 0% (Sept 09) though this is subject to change

• Interest is charged on your loan from the moment it is paid to you.

• Interest accrues on your loan until it has been repaid in full.

Targeted HelpTargeted HelpDepending on circumstances some students may be able to claim additional non-repayable allowances:

• The Childcare Grant up to £148.75 pw for one child and £255 pw for two or more children

• The Parents’ Learning Allowance – up to £1,508 payable to students with dependent children

• Adult Dependants’ Grantup to £2,642 where student has an adult who is financially dependant on them

• Disabled Students’ Allowance helps with extra costs student has resulting from disability or specific learning difficulty.

(All are means tested except Disabled Students’ Allowance)

Additional Financial HelpAdditional Financial Helpfrom the Universityfrom the University

University Bursary – £329 • For students awarded maximum Maintenance Grant/Special Support Grant of

£2,906• Paid directly to the Student’s bank account in October, via the SLC

University Scholarship• £250 - £1000 depending on programme studied• Paid to ‘home’ students who pay £3,290 fee and meet the entry requirements for

their course• Paid in subsequent years depending on satisfactory progression to next level • Paid directly to student’s bank account in February, via the SLC

You do not have to apply for the Scholarship or Bursary if you have already applied for financial support

Additional Financial HelpAdditional Financial Helpfrom Northumbriafrom Northumbria

Access to Learning Fund

• Government fund distributed by University to eligible students in financial hardship.• Application forms available at the start of academic year

Help for Care Leavers (must be under 21)

• Maximum Scholarship available (£1000)• Help applying for financial support• ‘Fast tracked’ Access to Learning Fund Support• Reduced rates for accommodation• Reduced price tickets for ‘Welcome Week’

Contact: Barbara Wooden (0191) 227 4197

Other Sources of SupportOther Sources of Support

Part-time work

• Provides a different kind of experience • A welcome source of additional funding. • Careers & Employment Service can help students search for part-time jobs

Average student wage of £5.70 per hour

10 hours x £5.70 = £57 per week extra income

Other Sources of SupportOther Sources of Support

State Benefits

• Certain categories of students retain eligibility to welfare benefits • Including lone parents, disabled people, pensioners and students with

dependant children• Tax Credits, Income Support and Housing Benefit

Bank Overdraft

• All students need a bank account to have their support paid into. • Most banks offer student accounts with free overdrafts. • Valuable source of financial help in emergencies • However, should not be seen as additional income

How much money could I haveHow much money could I haveper week?per week?

Student from family with an income of £45,000 per year on aFrench & German programme, living away from home would receive:

• Maintenance Grant £381• Maintenance Loan of £4,760• Northumbria Scholarship of £500

Total: £5,641 - £3,640 (£70 per week rent x 52) = £2,001Divide by ‘period of study’ 38 weeks £2,001 38 = £53 per week to live on

Plus any money from part-time work

*Nothing for summer vacation (14 weeks) , assumed students will work in the vacation

Student from family with an income of £34,000 per year on aFood Science & Nutrition programme, living away from home would

receive:

• Maintenance Grant £1,106• Maintenance Loan of £4,397• Northumbria Scholarship of £1000

Total: £6,503 - £3,640 (£70 per week rent x 52) = £2,863Divide by ‘period of study’ 38 weeks,£2,863 38 = £75 per week to live on

Plus any money from part-time work

*Nothing for summer vacation (14 weeks) , assumed students will work in the vacation

How much money could I haveHow much money could I haveper week?per week?

How much money could I haveHow much money could I haveper week?per week?

Student from family with an income of £25,000 or less per year on anAccounting programme, living away from home would receive:

• Maintenance Grant £2,906• Northumbria Bursary of £329• Maintenance Loan of £3,497• Northumbria Scholarship of £500

Total: £7,232 - £3,640 (£70 per week rent x 52) = £3,592Divide by ‘period of study’ 38 weeks £3,592 38 = £95 per week to live on

Plus any money made from part-time work

*Nothing for summer vacation (14 weeks) , assumed students will work in the vacation

Student from family with an income of £40,000 per year on anApplied Biology programme, living at home would receive:

• Maintenance Grant £711• Maintenance Loan of £3,483• Northumbria Scholarship of £1000

Total: £5,194Divide by ‘period of study’ 38 weeks,£5,194 38 = £137 per week to live on

Less any rent contribution to parentsPlus any money from part-time work

*Nothing for summer vacation (14 weeks) , assumed students will work in the vacation

How much money could I haveHow much money could I haveper week?per week?

How much money could I haveHow much money could I haveper week?per week?

Student from family with an income of £25,000 or less per year on aPyschology programme, living at home would receive:

• Maintenance Grant £2,906• Northumbria Bursary of £329• Maintenance Loan of £2,385• Northumbria Scholarship of £250

Total: £5,870 Divide by ‘period of study’ 38 weeks £5,870 38 = £154 per week to live on

Less any rent contribution to parentsPlus any money from part-time work

*Nothing for summer vacation (14 weeks) , assumed students will work in the vacation

Students from England • New students no longer apply to Local Authorities• All new students apply to Student Finance England

– Partnership between Government and Student Loans Company– Student Finance England replaces previous Student Finance Direct

Student Finance England launched February 2009

• Apply online from January 2010 for 2010 entry

Applying for Financial SupportApplying for Financial Support

Completing your Application Completing your Application

• Once the application is submitted, you and your parents/ sponsors will receive unique reference numbers, known as a Customer Reference Number (CRN)

• You will also receive a Password & Secret Answer which you must keep safe. You will need these for all correspondence with Student Finance England (and The Student Loans Company)

• An Internet Password is also issued for you to track your application online.

Budgeting for UniversityBudgeting for University

Find out what you might be entitled to by visiting our web pages

&

Work out a budget before you come!

Useful ContactsUseful Contacts

All Student Finance Information & to apply online:www.direct.gov.uk/studentfinance

Student Finance England Customer Service Office:0845 300 5090

Northumbria Welfare & International Servicewww.northumbria.ac.uk/welfareandinternationalsv.welfareandinternational@northumbria.ac.uk(0191) 227 4127