Getting prepared

By now, you and your student should have a good idea of their budget per term. If this is the first time your student has had control of their finances, it’s worth taking time to talk through with them the basics of budgeting.

UCAS will send your student a status code in their newsletters which can be used as proof of status as a future student. This makes opening a student account quick and easy.

All the major high street banks offer student accounts and some provide better benefits than others. Helping compare the various options and working out which is best for them is a good exercise. Banks are keen to entice students with freebies, but do look beyond these. It’s often features such as the level of interest-free overdraft that may prove more essential.

When you’re comparing 0% overdraft facilities on over, check whether the headline amount is guaranteed, or just ‘up to’, and if there are any other restrictions.

• Council tax – if everyone living in a household is a full-time student, they won’t have to pay council tax. If someone in the household isn’t a student they’ll get a council tax bill, but will qualify for a discount.
• Utility bills – if your student is moving into private accommodation, utility bills may not be included, so make sure they’re aware of what’s expected for them to pay.
• Internet – probably a priority for your student! Many universities offer a free wireless connection in halls.
• TV licence – students need a TV licence if they watch or record television programmes as they’re being shown on TV, on any device. They don’t need one to use a streaming service, such as Amazon Prime or Netflix, but a subscription may be required.
• Insurance – check the small print of your home contents insurance, which may already cover your student's belongings when away from home, or see if this could be added on to your existing policy. If not, it may be worth getting them a separate policy.

Paying fees and living costs

Your student doesn't have to pay up front for tuition fees. The cost can be covered by a loan supplied by regional student finance provider (e.g. Student Finance England). As well as the fee loan, your child can take out a maintenance loan to contribute to their living costs – rent, food, bills, transport and course materials.

Repaying loans

How much your student repays will be based on how much they earn, not how much they borrowed. They won’t start repaying their loan until they’ve finished university and are earning over £26,575.

Example: Their annual income is £28,800 and they are paid a regular monthly wage. This means that each month their income is £2,400 (£28,800 divided by 12). This is over the monthly threshold of £2,214. Their income is £186 over the threshold (£2,400 minus £2,214). meaning that they will pay back £16 (9% of £186) each month.

For a full explanation, please visit the official Student Finance website.

Bursaries

Many universities offer non-repayable bursaries to eligible students.

Bath Spa University offers bursaries to students from lower income households to help with their living costs.

Part-time jobs

Many students choose to work part-time alongside their studies to help with their living costs.

At Bath Spa University, students are allowed to work up to 15 hours per week. The University’s JobShop supports students by advertising approximately 2000 jobs a year.

When to apply for student finance

Your student can apply for student finance as soon as they have submitted their UCAS application form. They should start their application as soon as possible.

Apply early for student finance – money matters, and sorting it out early can avoid major headaches down the line.