Money - UK Undergraduates
This information is currently being updated. Please contact the Student Advice & Representation Centre if you would like more advice and information about funding for UK Undergraduates.
Introduction
This information is intended to provide a summary of the main forms of financial support available to full-time UK Undergraduate degree students at the University of Nottingham. If you are a healthcare student please go to the web pages for healthcare students, or refer to the current edition of Healthcare Students Guide produced by the Intersite Support Worker, for accurate information on financial support.
When you are living on a low income, budgeting is a necessary tool to enable you to manage your money, and we have given you basic information to help your money last at the end of this section. The first thing to do if you are worried about money is to speak to someone about your concerns. Initially, this could be the Student Advice and Representation Centre or Student Services.
What financial support is available?
The financial support available to you is dependant upon whether you will be treated as an ‘old system’ or a ‘new system’ student. Most students starting their course from September 2006 will be treated as a ‘new system’ student, excluding those in the following situations:
- Gap year students, who had received confirmation of their deferred place for 2006/07 by the 1st August 2005.
- Students transferring from courses which started before September 2006.
- Students starting an ‘end on’ degree course after completing a Foundation Degree, HNC, HND, or Diploma in HE in 2005/06.
‘New system’ students
For National Union of Students information on financial support for full-time undergraduate students in England ( 2006/07 entrants) click here.
Tuition Fee Loan
‘New system’ students may be charged up to £3000 in tuition fees from September 2006. However, full-time UK or European Union undergraduate students can apply for a Tuition Fee Loan to cover the actual cost of the fees. This loan is non means tested and is repayable under the same terms and conditions as the student loan. It is paid directly to the University by the Students Loan Company.
Student Loan for Maintenance
You may be eligible for a Student Loan for Maintenance if you are a ‘home’ student on a full-time undergraduate course and you are aged under 60 at the start of your course. The maximum amount of Student Loan for Maintenance available is £4405 of 06/07. The amount you receive will depend upon your circumstances. 75% of the loan is non means tested whereas the remaining 25% is assessed according to your household income. For those students who receive a Maintenance Grant the loan will also be reduced £1 for £1, up to a maximum of £1200. The Student Loan for Maintenance is repayable once your course has finished.
Maintenance Grant
A non-repayable Maintenance Grant worth up to £2700 is also available to ‘new system’ full time undergraduate students. The amount you receive will depend upon your household/parental income.
Special Support Grant
Some students may be eligible to receive the Special Support Grant. The following students may be able to apply for this if they have an underlying eligibility for benefits; lone parents, students over the age of 60, students with a disability, student couples with children. Please note that you do not have to be in receipt of benefits, you just have to meet the eligibility requirements. The Special Support Grant will not reduce the amount of Student Loan for Maintenance you receive or be included as income when assessing mean tested benefits. If you require advice on whether you fit this category then please contact The Student Advice and Representation Centre.
University of Nottingham Core and Additional Bursaries
‘New system’ students may also be entitled to additional financial assistance from the University of Nottingham’s new Core and Additional Bursary Schemes. Student’s whose residual household/parental income is less than £32000 per year will be eligible for a £1000 Core Bursary for each year of their course. The minimum bursary is worth £250 per year, and eligible students whose residual household/parental income is less than £41500 per year will receive the minimum bursary. There will be sliding scale between these figures, with awards ranging between £250 and £1000. Additional Bursaries may also be available if you have dependents or have entered University by a non-traditional route (e.g. via an Access course). For more information, including how to ensure you receive any bursary entitlement you can visit www.nottingham.ac.uk/financialsupport
‘Old’ system students
For National Union of Students information on financial support for full-time undergraduate students in England ( pre- 2006/07 entrants) click here.
Tuition Fee Support and the new Student Loans for Tuition Fee Contributions
Financial support to cover all or part of the University’s Tuition Fees is available in certain circumstances. Tuition Fees for the academic year 2006/07 will be set at £1200 for continuing full-time UK and European Union undergraduate students, who may be eligible to apply for tuition fee support in the form of a means-tested grant. In addition, ‘old system’ students have the option to apply for the new Tuition Fee Loan to cover the actual cost of the Tuition Fees, or the difference between their tuition fees and any Tuition Fee Support they receive.
Student Loans
You will be eligible for a Student Loan if you are a ‘home’ student on a full-time undergraduate course and you are aged under 60 at the start of your course. The amount of Student Loan for Maintenance you receive will depend upon your household/parental income.
Higher Education Grant
Full time ‘old system’ students who started their course of higher education in 2004 or later, may be eligible for a means tested Higher Education Grant worth up to £1000, depending upon the household/parental income.
Other financial support available to both ‘new system’ and ‘old system’ students
Students with Children
Students with children may be able to get help with 85% of the cost of registered and accredited childcare through the Childcare Grant. You may also get help with course-related costs through the Parents’ Learning Allowance.
See our web pages for students with children for more information.
Adult Dependant’s Grant
If you have a partner (including partner of the same sex, if you began your course after 2005) or another adult member of your family who depends on you financially, you may be eligible for the Adult Dependants’ grant. How much you get will depend on your income and that of your adult dependants. This grant is paid in three instalments from the Student Loans Company.
Other Funding via the Local Authority
Other grants and loans are available if you are disabled; having to pay extra costs as a result of your course (medical/dental students); and/or maintaining two homes.
Disabled Students Allowance (DSA)
Disabled students are eligible for the DSA to meet the cost of any support necessary to help them attend their course of study. You should seek advice from Academic Support which is part of Student Services if you have such support needs (Tel: 0115 951 3710).
Applying for funding
If you are a UK student you should normally apply to your Local Authority, but in some areas you will need to apply to the Student Loans Company, before your course starts. Alternatively, you can apply online at www.studentfinancedirect.co.uk. If you are an EU national, and you apply through UCAS, you will be sent an application form for help with tuition fees when you are offered a place on the course. If you do not apply through UCAS, you can get a form from the EU Team at the Department for Education and Skills (Tel: 0141 2433570 & Email: EUTeam@dfes.gsi.gov.uk).
Other sources of funding
Employment
The University’s Employer Service Team may be able to assist you in finding part-time and temporary work. The Student Employment Service is located in the Centre for Career Development, Portland Building Extension, University Park, Nottingham (Tel: 951 4744)
Access to Learning Fund
The Access to Learning Fund is money given to the University by central government in order that help can be given to students in financial difficulty. Full-time ‘home’ students are eligible to apply. Application forms and more information are available from the Student Advice and Representation Centre or Student Services.
Child Care Support Scheme
The University Child Care Support offers eligible students some financial support towards meeting the costs of childcare. All students at the University who incur childcare costs e.g. at day nurseries or through using childminders, etc, can apply. As funds are limited, however, the University adopts a selective approach to the allocation of payments, so that those students who are most in need will benefit from the scheme. Further details and application forms are available from the Student Advice and Representation Centre and Student Services. If you are eligible for the Access to Learning Fund, you should apply for this before applying to the Child Care Support Scheme.
Student Crisis Fund
The University Student Crisis Fund is able to give discretionary help to students in financial difficulty. To be eligible for assistance your difficulties must have resulted from an unforeseen change of circumstances after commencing your course. Help is given by way of small interest-free loans. For more information contact Student Services.
Emergency Loans Scheme (Students’ Union)
If you need a short-term loan, and have a cheque book (and cheque guarantee card if you have one) and a smart card, you may be able to have a loan (maximum £50) from the Students’ Union Emergency Loan Scheme. Contact the Student Advice and Representation Centre.
Educational Trusts and Charities
Education trusts and charities are a possible source of help for students in financial difficulty. The trusts are perhaps most likely to offer assistance if you are near to the end of your course or if you have met unforeseen difficulties at an earlier stage. In most cases, only small amounts of money can be obtained. Although there are thousands of trusts that award funding to students, most have very specific criteria of eligibility. The Student Advice and Representation Centre subscribe to the ‘Funderfinder’ database. We can do a search of such possible sources of income. You could also try going through the Educational Grants Advisory Service at www.egas-online.org.uk
University Awards and Scholarships
The University administers a number of scholarships and bursaries open to undergraduate students, and awards involving travel. Details can be obtained www.nottingham.ac.uk/~brzaward/
Tax Credits
If you have responsibility for a child/children, you may be entitled to Child Tax Credit. Students may also be entitled to Working Tax Credit (which may include an amount to help with childcare costs, if relevant). You do not need to be responsible for children to claim Working Tax Credit, but there are minimum hours you must be working.
Welfare Benefits
If you are in full-time education you will generally be ineligible to receive low income benefits such as Income Support, Job Seekers’ Allowance and Housing Benefit. You may, however, be eligible if you are:
- a single parent (depending on the age of your child/children)
- a student with a qualifying disability
- a student with a partner over pensionable age absent from your course due to illness or have caring responsibilities which have since ended.
Advice on eligibility for all means-tested benefits and non-means tested is available from the Student Advice and Representation Centre.
Help with NHS Costs
You may be able to claim means-tested help with NHS costs (e.g. dental treatment and health prescriptions). HC1 forms are available from the Student Advice & Representation Centre and local medical centres.
Income Tax Refunds and Allowances
Everyone who earns or receives income over a certain amount (called a ‘personal allowance’) in the tax year is liable to pay income tax, although most student income is not taxable. If your taxable income is below your personal allowance you will not be liable to pay any income tax. If you have paid tax on earnings, but your total taxable income was not, or is not likely to be, as much as your allowance, you can claim a tax refund by completing form P50, available from your employer or the Inland Revenue. If you think your total taxable income in the whole of the tax year is likely to be less than your allowance, your employer may agree not to deduct tax on any vacation earnings you receive. You should complete a P38 form and hand it to your employer to process. Your employer should then pay to you your vacation earnings without deducting tax.
Managing your money
As a student, you probably know how much money you get and how quickly it all gets spent. Hopefully, this guide will help you organize your finances better, and give you a few useful tips to make your money last a bit longer.
Maximising your Income
The first step you need to take is making a list of your income. Then identify how much money you are getting from different sources. Then look into whether there are other sources of income you could apply (look in the front section of this leaflet). The Student Advice and Representation Centre can advise you further on possible sources of income.
Prioritise your expenses
Once you have looked at what money you have coming in and investigated further sources of income, you should then make a list of your expenses to identify how much you spend on priorities and non-priorities.
As well as food, you may have other outgoings, which you must treat as a priority:
- Rent/Mortgage. It is important that you know how much you are paying and when it is payable.
- Fuel (Gas & Electricity). You will usually have to pay these bills in addition to your rent. It is important to take meter readings when you move into a property. There are a number of gas and electricity suppliers, and most offer payment plans to spread the cost of bills.
- Water Rates. Your contract will say if you are liable for water rates. You can pay these in a number of ways to spread the cost.
- Television License. You will need a TV license if you have your own TV in a house or flat. You may need more than one if you do not live as one household (for example if you have an individual tenancy). If you do not buy one, you could be fined or even imprisoned. You can spread the cost of paying for your license over the year.
- Council Tax. Most full time students are exempt from the council tax, but not always. If you are a part time student or if you live with other non-students you may be liable to pay council tax. If you receive a council tax bill, you should seek advice immediately from the Student Advice and Representation Centre.
- Insurance. You should always take out personal possession insurance. There are a number of insurance companies who have student policies, so it is worth shopping around to get a policy which suits you.
- Books and other course-related costs/equipment. It is vital that students have these to study successfully.
- Other regular costs may include toiletries, travel and clothes.
Draw up a budget
The next thing to do is to draw up a budget planner using the information you have already listed about your income and expenditure. Hopefully by having everything on paper, this should help you manage your money.
You can use a ’Personal Budget Sheet’ to help you do this. The Student Advice and Representation Centre can help you fill it in if you need assistance.
- Working out your budget is best done on a monthly or weekly basis, so you know how much you have to spend each month/week. If you pay money out over a different time period, it is best to add these up to get an annual figure and convert that to a monthly amount. For example, if your share of the gas bill is £50 per quarter: £50 x 4 = £200 (annual figure) ¸ 12 months = £16.67 per month
- Do not overestimate your income - for example, be realistic with estimates of wages from paid work.
- Student’s income and expenditure is sometimes difficult to work out, as it may differ, e.g. between term-time and vacation time. Take account of this when drawing up your budget. Remember costs that you may only pay once a year. For example, if you are moving into private-rented accommodation you will probably have to pay a deposit and possibly a retainer.
Tips for Saving Money
A lot of these tips are common sense, but could save you money in the long run!
Food
If you can, try and eat and shop with your friends. Buying food in bulk is often cheaper. Find out where your local supermarket puts its reduced foods. You might find shopping towards the end of the day means more reduced stuff. Try and buy ‘own brands’ and economy products, especially on the basics like tinned tomatoes! And BOGOF (Buy One Get One Free) when you can. Make your own sandwiches for lunch. You’ll be surprised how much bought lunches can add up.
Bills
You may be able to switch to a cheaper gas or electricity supplier. However, check your contract first, as some landlords prohibit it. Even if your contract doesn’t mention it, you should let your landlord know. If you are thinking of changing, you should shop around. Look at the supplier information at www.energywatch.org.uk to compare suppliers. You may want to pay bills on a monthly basis, so that you won’t have a large quarterly payment to make. You should ensure that bills are based on actual readings, rather than estimated ones, so you are being charged accurately. If you do pay quarterly, put money aside for bills. Make sure lights and electrical equipment are turned off (not just left on standby) when not in use.
Books
Try Blackwells or www.amazon.co.uk for second hand books, before spending money on brand new ones. Students in higher years on your course often advertise books for sale on notice boards.
Phones
Would it be cheaper to have a pay as you go mobile phone, so you don’t run up big bills? Make sure you put money aside for mobile phone bills and keep spending to a minimum like everything else. Also, try and get the best deal for your needs. If you have a land-line phone in the house, you could consider an incoming-calls only phone. Alternatively, you should get itemized bills to make sure you and your housemates know who have made all the calls.
Student Discounts
Invest in an NUS Extra card, which offers even more discount opportunities! For more information about how to get an NUS Extra card and the benefits available to cardholders visit www.nusextra.co.uk
Travel
Get a young person’s railcard or coachcard if you are 16-25 years old. Mature students (26 and over) can get a discount rail or coach card but will be required to get their application stamped by their School. You can often cover the cost of these in one or two journeys. If you have to use the bus every day, you may be able to get a bus pass. Is it practical for you to walk or cycle instead of getting the bus?
Banks
You will probably already have opened a bank account, but you may wish to look at what other banks and building societies offer if you are not happy with the service you get. Most banks offer home students special student accounts with an interest free overdraft facility, but are reluctant to give international students overdrafts or other credit facilities. Don’t go overdrawn without first arranging an overdraft limit. Likewise, don’t go over your overdraft limit without speaking to the bank.
Keep in contact with the bank. Don’t ignore or throw out letter from them, act on them. If you are worried about your account, it helps to talk to them. Prepare a budget this can often help in your negotiations with them. Remember that banks on campus are used to dealing with students….most of who are on tight budgets. If you don’t communicate with the bank, you will probably find you get charged high bank charges or interest or even have your bank account closed.
If you have a bank or building society account that pays interest and you earn less than your annual personal tax allowance, make sure that you fill in Inland Revenue form R85, so you are paid interest without tax being taken off.
Credit and Debt
It is not advisable to commit yourself to credit without checking whether you can meet the repayments. Likewise, you should not take on more debt to try and repay other debts. Credit cards should not be seen as another source of funding, but as debt. Try and limit your credit, and try and stick to one credit card if you feel you need one (say for emergencies).
If you are being pursued for any type of debt, which you either cannot pay or do not believe you owe, you should contact the Student Advice and Representation Centre. Debts from credit cards, store cards, catalogues etc. are treated as lower priority than things like rent/mortgage, utility bills etc. The Student Advice and Representation Centre can help you renegotiate payments if you can’t afford to pay creditors, so please contact us if you are having difficulty meeting your financial commitments.
Last Updated: 11 December 2006
University of Nottingham Students' Union
Portland Building, University Park , Nottingham NG7 2RD
Tel: + 44 (0)115 846 8800 Fax: + 44 (0)115 846 8801
© 2005 University of Nottingham Students' Union