All you need to know about university funding
Your child should apply for student funding as soon as the finance application process opens. This is usually in the March before their course starts.
It is important to apply early to ensure that the application can be processed and the money made available in time for the start of the term.
Frequently Asked Questions
The Student Loan
How much student loan could my child receive?
A student loan is made up of two parts.
Part 1: The tuition fee loan
Most universities, like Herts, are partially publicly funded and therefore the tuition fee loan will cover 100% of the tuition fee. The maximum fee for a standard undergraduate degree is £9,250. The tuition fee loan is paid directly from the Government to your child's University.
Part 2: Maintenance Support
The maintenance loan is based on your household income, where you child chooses to study (living costs will be higher in London) and where they live (at home or away). Everyone is eligible for some level of maintenance loan, it's just a question of how much. Please see the table below:
For Academic Year 21/22
Household Income Home Elsewhere London £25,000 & under £7,987 £9,488 £12,382 £30,000 £7,315 £8,809 £11,692 £35,000 £6,642 £8,130 £11,001 £40,000 £5,969 £7,450 £10,311 £45,000 £5,296 £6,771 £9,620 £50,000 £4,623 £6,092 £8,929 £55,000 £3,950 £5,412 £8,239 £65,000 £3,516 £4,422 £6,858 £75,000 £3,516 £4,422 £6,166
When will my child have to start repaying their loan?
Your child will enter repayment the April after they graduate or the April after they withdraw from their course (whichever comes soonest.)
They will only start repaying once their earnings exceed £27,295 a year and if their earnings drop below this at any time, repayments will automatically stop.
If they have taken out both a tuition fee loan and maintenance loan, the two loans will be combined and repaid as one.
Watch a short film by Student Finance England about repaying a student loan.
How much are the monthly repayments?
Student Finance England state:
The amount they repay depends on their income, not what they borrowed. They’ll repay 9% of any income over the current threshold. If their income falls below this, their repayments will automatically stop.
Income each year before tax Amount repaid per month £27,295 £0 £30,000 £20 £35,000 £57 £40,000 £95 £45,000 £132
Any loan remaining 30 years after they are due to start repaying will be cancelled.
Should I help my child repay their loan earlier?
Loans accrue interest from the day they are issued until the day they are paid off in full or written off (currently after 30 years). Once your child has left university, the loan will gather interest depending on how much they earn.
If you have the funds available and wish to cut down the interest the loans are accruing, then you may wish to make a contribution. However, it's worth considering that your child will most likely not pay off the full amount before the write-off period. Therefore if you pay off more of their debt sooner, you may end up paying more back than you actually need to
What extra course costs could there be?
Students on some courses will incur additional course costs on top of their tuition fee. For example, there may be costs for art materials, lab equipment, field trips and books.
Your child should ask their chosen university about whether there are any additional costs associated with the course they would like to study.
If your child chooses to study at Herts, any additional costs will be outlined in the Course Factsheet on the Course pages on our website.
Will a student loan affect my child's credit rating?
Your child's student loan will not affect their credit rating. It won't show up on a credit report either.
When your child applies for a mortgage, their loan repayments may be taken into consideration in terms of calculating their net income.
What happens if my child changes their mind?
Any changes to their university, course, mode of study (i.e. full-time or part-time) or how long it will take them to complete their course (i.e. repeating years) will affect your child's funding allowance. It's vital they seek proper advice before making any major decisions or changes, and to get this advice in writing.
If your child changes university or course, the amount of funding they receive could change depending on whether or not they study in London, and the number of weeks the course runs for.
If they leave one university and start at another, they could also be put onto a new support package if the package has changed.
It's a complicated issue, and we recommend they seek proper advice before making any academic decisions.
We encourage students to email firstname.lastname@example.org for any queries relating to SLC funding. They can also email email@example.com for any queries about the University Financial Support Fund or to enquire about financial support.
Extra Funding Options
Am I expected to contribute towards my child's university costs?
The amount of maintenance loan your child receives will depend on your household income.
The more you earn, the less your son or daughter will receive and the expectation is that you will contribute towards any shortfall.
Is there any support available for students with disabilities?
If your child has a physical disability, a long term medical condition or illness, a serious sensory impairment, a mental health condition or a learning difficulty which affects their ability to study, they may be entitled to a Disabled Students' Allowance (DSA).
You can find out more about the Disabled Students' Allowance on the Government website.
Are any bursaries available?
We offer a £1,000 bursary for students from low income families. This is means tested and students do not need to apply. Find out more about the UH Undergraduate Bursary.
In addition we can offer budgeting advice from Blackbullion to enhance financial training for all University of Hertfordshire students.
The University of Hertfordshire also has a Financial Assistance Fund, which is intended for students who have received their full statutory funding and are still struggling financially. We offer Emergency Loans and Delayed Funding Loans, for when the unexpected happens. Find out more information about our Financial Assistance Fund.
Could my child get a scholarship?
There are lots of scholarships available. At Herts we have scholarships for new and existing students which range from awarding £500 to £9,000. These are awarded for:
- voluntary and community work
- academic achievement
- subject excellence.
What information will I need to provide?
This depends on your circumstances, your income and the number of child dependants you have.
If you need to provide proof of earnings, this could take the form of your P60 or Self-Assessment tax return, and your National Insurance number.
You will also have to give evidence of any taxable state benefits, pensions or any income from UK and foreign investments.
I'm a divorced parent. How does this affect my child's finance application?
If your child applies for income-assessed support, they will be asked to give the financial details of the parent that they 'normally live with'.
If that parent is married, in a civil partnership, or living with a partner, that partner will also need to provide their details.
What happens if financial circumstance change once my child's started uni?
Your child's entitlement is based on household income for the previous tax year. So, an application for finance for September 2021 will look at your income for the tax year 2019/20.
However, if your household income is at least 15% less than it was in the previous tax year, you can apply for a Current Year Income Assessment. This will review your expected income for the present tax year.
What happens if I have more than one child at uni?
For each additional dependant child in higher education, Student Finance England will deduct £1,130 from the total household income that they base their assessment on.
For example, a family with a household income of £58,000 and two dependant children at university, will be considered to have a household income of £56,870. This reduction could push you into a lower household income bracket, meaning your children could receive a bigger maintenance loan.
Will disability benefits affect my child's finance application?
No. Any tax-free state benefits such as Disability Living Allowance are not counted as household income, so this shouldn't affect what your child receives.
Need more advice?
Contact us at firstname.lastname@example.org if you have queries about student funding. We're here to help.