Applying for a student loan in the UK is a critical step for many students aiming to pursue higher education. As tuition fees are very expensive, it’s important to understand the process of taking out a student loan and the impact it will have on your financial situation both in the short and long term. As with all loans and credit agreements, there are several conditions and some eligibility criteria to consider before applying. Student loans can help you with both living costs and tuition fees, but it doesn’t cover everything you’ll need to study successfully.

Here, we delve into three key things that will be considered when assessing your student loan application.

Eligibility
To qualify for a student loan in the UK, you’ll have to meet specific residency requirements. This usually means you need to be a UK national or have no restrictions on how long you can stay in the country, but with a ‘settled’ or ‘pre-settled’ status you can pass in some instances. A tuition fee loan will be paid directly to your university, and you won’t start repaying it until you earn over a certain amount. How much you repay and when depends on when you start your course and which type of course it is.

The course you want to study also has to be a recognised qualification of higher education, such as a full-time or part-time undergraduate degree or foundation degree. In some circumstances, student loans or ‘master’s loans’ can also help toward a postgraduate degree.

Financial Situation
One of the main factors that influence your application for a student maintenance loan is your household income. This includes the income of your parents or guardians if you’re under 25, and may include the income of your spouse or partner if you are over 25. There are different thresholds for how much money you can borrow depending on your income level – you can use an online calculator to estimate how much you could apply for.

You will need to supply your National Insurance Number so that UCAS can gather your correct income and tax details from HMRC. You may also be asked to supply evidence in certain circumstances, for example, if your parents are divorced or separated.

Personal Circumstances
There are a few reasons why you may be offered an amount for a tuition fee loan that’s different to the standard amount. If you have previously studied at a higher education level, or are over the age of 60 at the start of your course, you may receive a lower amount. On the other hand, if you have dependents you may be eligible for a slightly higher amount than usual.

Students with disabilities or those facing financial hardship may be eligible for additional, non-repayable grants and bursaries, such as the Disabled Students’ Allowance, Childcare Grant or Parent’s Learning Allowance. These can help cover essential living costs such as accommodation, food, travel and study materials while you complete your course. The amount varies depending on whether or not you live at home, and if you’re studying in London or elsewhere in the UK.