Student funding in further education

Research into the financial behaviour of further education students in Scotland, exploring demand for and potential impact of student loans amongst this group.

Annex H: Key principles of student loans

H.1 Key principles of student loans:

  • A government-supported loan to help you with your studies
  • Total amount available to you would be based on your household income, taking account of any other grants / bursaries that you are entitled to
  • Repayments don't start until you are earning over a certain amount
  • For comparison, if you were on the national minimum wage you would be earning £11k per year and so would not be eligible to pay it back
  • Repayments are automatically deducted from your pay – you don't need to do anything or worry about missing payments
  • If you have not paid off your loan after 35 years, it will be cancelled
  • It does not affect your credit rating
  • The interest rate is lower than for commercial debt



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