How much student loan will I get?
The amount you receive for your student loan will vary depending on your household income.
Your loan is split into two parts: a tuition fees loan and a maintenance loan.
Tuition fees loans
This part of the loan covers the cost of your university course for the year. You should check with your university how much your course fees are, and then you can apply for the right amount of loan.
This part of the loan will be paid directly to your university from Student Finance England.
Maintenance loans
This section of your student loan is paid to you and helps you cover your living costs, such as rent, bills and food.
The amount you receive is based on where you live and your household income. If you’re eligible for state benefits and the means-tested element of funding, you may also be eligible for an increased maintenance loan, which will consist of the maintenance loan and Special Support.
Your loan will be paid into your bank account in instalments throughout the year, and you can see a full breakdown of payment dates in your online Student Finance account.
Repaying student loan
Student loans are different to ordinary loans as you will only be required to make repayments once you’ve finished university and you’re earning over a certain amount.
Once you are in a position to start repaying your loan, your repayments will be automatically deducted from your wages, meaning you don’t need to do anything. If your salary goes below your threshold once you’ve started repaying, your repayments will be paused until you’re above the threshold again.
When do I start repaying my student loan?
The threshold to start repaying depends on when you attended university; you should fit into one of the below repayment plans.
Plan one
If you started your university course before 1st September 2012, you’ll be on plan one.
If you’re on this plan, you’ll repay your loan if your income is above £423 a week, £1,834 a month or £22,015 a year.
Plan two
You’ll be on repayment plan two if you started your course between 1st September 2012 and 31st July 2023 and you studied an undergraduate or PGCE course.
On this plan, you’ll begin making repayments when your income is over £524 a week, £2,274 a month or £27,295 a year.
Plan four
You’ll be on plan four if you studied an undergraduate or postgraduate course and applied for student finance through Student Awards Agency Scotland.
On plan four, You’ll only repay when your income is over £532 a week, £2,305 a month or £27,660 a year.
Plan five
If you began your undergraduate or PGCE course on or after 1st August 2023, you’ll be on plan five for your student loan repayments.
If you’re on pan five, you’ll make repayments when your income is over £480 a week, £2,083 a month or £25,000 a year.
What happens if I don’t earn enough to repay my student loan?
Whatever is left of your student loan debt will be written off at a certain point, depending on what plan you’re on. Therefore, if you don’t repay the full amount, once you reach this stage, your remaining balance will be wiped out.
If you’re on plan one and you were paid your first loan payment before 1st September 2006, your student loan debt will be written off when you turn 65. If you’re on plan one and received your first loan payment after 1st September 2006, it will be written off 25 years from the April you were first due to repay.
Plan two and plan four loans will be written off 30 years after the first April you were due to repay.
Plan five loans are written off 40 years after the first April you were due to repay.
Student loans are also cancelled if someone with a loan dies.
Should I repay my loan early?
You can choose to make extra repayments in order to pay off your loan early, but it’s worth noting that this is only worthwhile if you earn enough to be able to pay off your loan in full before it is written off; otherwise, you’re just paying off more than you need to.
Postgraduate student loans
If you’re studying or have studied a master’s degree, you can get a student loan to cover your tuition fee and living costs. This works slightly differently as it is just one loan which is paid directly to you.
You will receive a set amount regardless of your household income. If you’re starting a course after 1st August 2023, your loan will be £12,167, paid in three instalments throughout the academic year.
you’ll only repay your postgraduate student loan when your income is over £403 a week, £1,750 a month or £21,000 a year. Your loan will be written off 30 years after the first April you were due to repay.
Grants and other funding
If you think your student loan won’t be enough to cover your living costs at university, you can apply for a scholarship, bursary or grant.
These are usually available through your university or a charity if you have a disability.
Will my student loan affect my credit score?
Your student loan won’t appear on your credit file or affect your credit score.
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