Transcript Finance Pkg No Gra

12_13
£
Student
Finance
2012
Session Contents
• Student Finance 2012
• Research & Application
12_13
• Repayments
12_13
£
General
Eligibility
Personal Eligibility
• Settled status – can live in the UK without restriction
• Ordinarily Resident in England on the first day of the first
academic year of their course
• Been living in the UK for the three years immediately
prior to this date
12_13
• Tuition fee support only, without meeting residency
requirements, for European Union/European Economic
Area students
• Exceptions exist for certain groups of students
12_13
Personal Eligibility - Exceptions
•
If the student, their spouse, civil partner, parent/stepparent
are recognised by the Government as a refugee and lived
in this country since this status was awarded
•
If the student, their spouse, civil partner, parent/stepparent,
have been granted Humanitarian Protection to stay in the
UK by the Home Office, resulting from a failed asylum
application
•
If student is the child of a Swiss national or Turkish worker,
and been ordinarily resident in the EEA and
Switzerland/Turkey for the three year period immediately
before the first day of the first academic year of their course
Course/University/College Eligibility
•
12_13
•
•
•
•
•
•
Course Eligibility
Courses must be of a certain type and be leading to a
recognised higher education qualification. Including;
First degree (BSc, BA, Bed)
Foundation degree (FdA, FdSc, FdEng)
Higher National Diploma or Higher National Certificate (HND/C)
Diploma of Higher Education (DipHE)
Postgraduate Certificate of Education (PGCE)
University or College Eligibility
The HEI must be publicly funded (by UK Government)
or Privately funded but running individual courses
receiving public funding as designated by the Government
Previous Study Rules
• General rule – Tuition fee loan available for full length of
the student’s course, plus one additional year if needed
12_13
• If a student has previously studied in the UK, they may
still be eligible for maintenance loan support only if they
do not have an equivalent or higher level qualification or
studying an ‘exception course’ leading to a professional
qualification*
• Individual circumstances of the case (including any
extenuating circumstances) can affect eligibility
*Medical Doctor, Dentist, Veterinary Surgeon, Architect, Social Worker,
Course attracting an m/t Healthcare Bursary (NHS course)
12_13
£
Student
Finance
Package
Student Finance Package
Tuition Fee
Loan
12_13
Additional
Support
Student Finance
Package
Scholarships
& Bursaries
Maintenance
Support
12_13
£
Tuition Fee
Loan
Tuition Fees
• Universities/Colleges of HE to charge a fee level of
£6,000 to £9,000 per year but need to demonstrate
increased efforts in widening participation and justification
for the higher levels*
12_13
• The levels set will be decided by the university including
if it charges at different levels for different courses
• The average for 2012 is thought to be around £8,657 up
from the initial £7,500 expected government average level
(Independent & Times Higher Education)
*Presented in OFFA approved Access Agreement
Tuition Fee Liability
Tuition Fee
Loan
Tuition Fees will be paid to HEI at three times in the
academic year
Liability date
12_13
First day of Term 1
First day of Term 2
First day of Term 3
% of Tuition Fee loan
student will be liable for
25%
25%
50%
Interest on the loan will be charged from day payment is
made to the university/college not from the liability date
Paying the Tuition Fee
Tuition Fee
Loan
• Eligible students will not have to pay up front for their
tuition
• The non means tested tuition fee loan (not dependant on
household income) is available to cover the fee levels
set by the HEI (up to £9000 max)
12_13
• The Student Loans Company will lend the requested
amount and pay the university/college in instalments
across the academic year
• Not compulsory: students can also
—
—
Pay full fees themselves; or
Pay part of the fees and take tuition fee loan for the rest
Sandwich Years/Private Providers
Tuition Fee
Loan
• Students on Sandwich years/study years abroad will be
subject to lower fee limits
• 2012/13 levels, up to a basic amount of £3,000 or up to a
£4,500 higher amount for students at institutions with an
accepted access agreement
12_13
• Students at Institutions not receiving funding from HEFCE
but offering courses designated by BIS will be entitled to
borrow up to £6,000 to cover their tuition costs*
*If the institution is charging more, the student will have to self-fund the
remainder
Part Time Students
Tuition Fee
Loan
• From September 2012 new part-time students can apply
for a non means tested tuition fee loan which replaces
the existing means tested fee and study grant
• The maximum universities or colleges can charge for
part-time courses is £6,750 a year*
12_13
• The amount charged will depend on the intensity of their
course (Minimum 25%; Maximum 75%)
• Part-time students will not be entitled to a loan or grant
towards living costs but can access Disabled Students
Allowance (DSA)
*Students starting designated P/T courses provided wholly by a private institution
can apply for up to £4500 in tuition fee loan
12_13
£
Maintenance
Support
Maintenance Loan
Maintenance
Support
12_13
• The majority of the repayable maintenance loan will be
available to all eligible students (if required), with 65%
of the total loan amount being Non Means Tested
(Not based on household income)
• The amount of maintenance loan available will be
linked to where a student lives and studies
Maintenance Loan Specific Amounts
12_13
Full-Year
Student
Maintenance
Support
65% Non
Means Tested
35% Means
Tested
Maximum
Loan
Parental
Home
£2,843
£1,532
£4,375
Elsewhere
£3,575
£1,925
£5,500
London
£4,988
£2,685
£7,675
Overseas
£4,247
£2,288
£6,535
Students attending their course beyond 30 weeks, additional means
tested loan is available for each additional week of study
Maintenance
Support
Maintenance Loan
Changes in maintenance loan levels
12_13
Household
Income £
2011/12
Rate
2012/13
Rate
Difference
£25,000 &
under
£3,497
£3,875
£378
£32,500
£4,247
£4,557
£310
£37,500
£4,512
£5,011
£499
£42,500
£4,677
£5,466
£789
£47,500
£4,824
£5,038
£196
£52,500
£4,606
£4,538
£-68
£57,500
£3,606
£4038
£432
£62,500 & over
£3,564
£3,575
£11
For income exceeding £42,600 and up to £42,875 the maximum loan will
be awarded (If applied for)
Maintenance Grant
Maintenance
Support
• The maximum non repayable maintenance grant level in
2012 is £3250
• Unlike 100% of the tuition fee loan and up to 65% of the
maintenance loan, the grant a student receives is solely
dependant on household income levels (100% Means Tested)
12_13
• Students from households with income of up to
£25,000 will be entitled to the maximum £3,250
• Students from households with incomes of up to
£42,600 will be entitled to a partial grant
If awarded the grant, the amount of maintenance loan entitlement is reduced by
50p for every £1 of grant the student is entitled to (up to £1,625)
Maintenance
Support
Combined Support
Student living away from home outside London 2012/13
12_13
Household
Income £
Maintenance
Grant
Maintenance
Loan
Total
£25,000 &
under
£3,250
£3,875
£7,125
£30,000
£2,341
£4,330
£6,671
£35,000
£1,432
£4,784
£6,216
£40,000
£523
£5,239
£5,762
£45,000
£0
£5,288
£5,288
£50,000
£0
£4,788
£4,788
£55,000
£0
£4,288
£4,288
£60,000
£0
£3,788
£3,788
£62,500 & over
£0
£3,575
£3,575
Special Support Grant
Tuition
Fee
Maintenance
Support
Loan
• Replaces the Maintenance Grant for students who can
claim income-related benefits. Some examples: • Lone (single) parent
• Student with a partner who is also a student and one or both
are responsible for a child under 20 who is in full-time education
below higher education level
12_13
• Student with a disability who qualifies for the Disability
Premium, Severe Disability Premium or income-related
Employment and Support Allowance
• If awarded the Special Support Grant, the student’s
maintenance loan entitlement will not be reduced
12_13
£
Scholarships
& Bursaries
Scholarships & Bursaries
12_13
Bursaries:
• May link to National Scholarship Programme
• Depend on circumstances
• Vary by institution
Scholarships:
• Academic, sport or music
• Subject specific or generic
• Vary by institution
Scholarships
& Bursaries
National Scholarships (NSP)
Scholarships
& Bursaries
Real help for students with the costs of study.
Options could include:
12_13
•
•
•
•
Fee waiver or discount
Free foundation year
Discounted accommodation or other service
Scholarship/bursary – capped as a cash award at
£1,000.
12_13
£
Additional
Support
Disabled Students Allowance
Additional
Support
• Help towards the additional costs that a student may
face as a result of their impairment, health condition or
specific learning difficulty
• In addition to the standard student finance package
• Does not have to be repaid
12_13
• Is not affected by the household income
• Looks at the specific needs of the individual in relation to
their studies
Additional
Support
Disabled Students Allowance
12_13
DSA Allowance rates 2012/13
Allowance
Part-time
maximum
support
Full-time
maximum
Support
Frequency of
Payment
Non-medical personal helper
£15,390
£20,520
Annual
Specialist equipment
£5,161
£5,161
Duration of
course
Other disability-related
expenditure
£1,293
£1,724
Annual
Disability-related travel
No Limit – reasonable spending can be claimed
Full and part-time disabled postgraduate students can receive up to
£10,260 a year
Additional Finance
Additional
Support
Childcare Grant
• Non repayable grant to assist with registered/approved
childcare costs for students with dependent children aged
under 15 at the start of an academic year
(Under 17 if they have special educational needs)
12_13
• The amount the student receives will be dependent on
household income and based on up to 85% of actual
childcare costs during term times and holidays
The maximums available are:
• £148.75 per week for one child
• £255 per week for two or more children
Additional Finance
Additional
Support
Adult Dependants’ Grant
• For students with a partner or another adult who is
financially dependent on them (cannot be an adult child).
• The amount students receive is dependent on their
household income
12_13
• Where applicable, the maximum grant in respect of a
spouse or civil partner will be £2,642
• Where there is no spouse or civil partner, a student may
be eligible for this grant in respect of one adult dependant
whose net income does not exceed £3,796
Additional Finance
Additional
Support
Parents’ Learning Allowance
• For help with course-related costs for students with
dependent children
12_13
• The amount received will be between £50 and £1,508
dependent upon household income
Access to Learning Fund
• Additional source of funding available to students through
their HEI if facing financial hardship, need extra support
with course/living costs or considering leaving higher
education due to financial problems
12_13
£
Student
Research
12_13
www.yourfuture.direct.gov.uk
12_13
www.direct.gov.uk/studentfinance
Scholarship/Bursary Information
12_13
www.direct.gov.uk
A-Z Search of National
Scholarships offered by
individual HEI’s
www.ucas.com
Course Search includes:
Information on fee levels and
links to HEI bursary &
scholarships
Social Media
Given the increasing value of social media in communicating
key information SFE has a presence on Facebook and
Twitter, providing students various ways to interact with us
12_13
http://www.facebook.com/SFEngland
http://twitter.com/sf_england
SFE on Facebook
Fun Applications
Information & Support
Link to Help Videos
12_13
Ask Questions/
Live Q&A Forums
Customer Helpline (for students & sponsors)
Help with applications
Info on student finance
But check website first!
12_13
8am to 8pm Monday to Friday
9:30am to 5pm Saturday & Sunday
0845 300 5090
12_13
£
Online
Application
Process
Applications
• Applications should be made to SFE as soon as possible
to ensure payments can be made at start of the academic
year
• Applying online through www.direct.gov.uk/studentfinance
is the quickest and easiest method
12_13
• No need to wait for confirmed offer from a university
/college
• Students can indicate if they qualify for/wish to apply for
DSA, CCG/PLA or ADG in which case we will provide the
necessary details/forms
Applications
• UCAS & Student Finance Data Share; Share key
information between both forms to save time and effort
• Consent to share; Applicants and their parents/sponsor
share financial details provided with HEI’s helping identify
student bursary/NSP entitlement
12_13
• Ensure any required evidence is supplied to support
applications as soon as possible In most cases this will be;
• The students UK passport number
• Their own and parent’s/partner’s* National Insurance
Number
*If applying for means tested support
Application Dates
Jan
2012
12_13
May
31
New students will be able to apply for student
finance from…….TBC
Returning students can re-apply from…….TBC
The application deadline for new students is
31st May 2012
Returning students should re-apply by
29th June 2012
12_13
www.direct.gov.uk/studentfinance
12_13
£
Getting
Paid!
Payment Process
• Core Student Finance is paid in 3 instalments
• Maintenance loan and any Maintenance Grant
entitlements are paid together
12_13
• The 1st instalment triggered by enrolment.
• The 2nd & 3rd instalments are automatically paid at
the start of each subsequent term
• Maintenance Loan & Grant are paid directly into the
students bank account
• Tuition Fee Loans are paid directly to the HEI in separate
instalments
12_13
£
Loan
Repayments
Repayments
• Graduates will not make repayment contributions until
they are earning at least £21,000 (£1,750 pm) gross
This threshold will rise annually in line with inflation
• Full time students will begin to repay in the April after
Graduating from/leaving their HE course
12_13
12_13
• Part time students will begin to repay in the April
4 years after they have started their course
• Repayments will be a basic 9% of income £21,000 and
will be deducted automatically from pay through the
HMRC tax system for most students
Repayments
• If income falls to £21,000 or below repayments will be
suspended
• Outstanding loan debt will be written off after 30 years
• Interest will be added at RPI plus 3% while studying up
to entering repayment
12_13
• Early repayment system sill in consultation
Repayments – Interest Rates
Under the 2012 system there will be a variation in the
interest rate attached to the students loan;
Earnings below £21,000pa
• No real rate of interest applied to loan
Earnings between £21,000 – approx £41,000
12_13
• Real rate of interest will start to be charged, reaching
a maximum of RPI plus 3%
Earnings over £41,000
• Interest charged at maximum RPI plus 3% rate
Loan Repayments – 2012 Entrants
12_13
Amount of income
Income each year before
Approximate Monthly
from which 9% will be
tax
Repayment
deducted
£21,000
£0
£0
£25,000
£4,000
£30
£30,000
£9,000
£68
£35,000
£14,000
£105
£40,000
£19,000
£143
£45,000
£24,000
£180
£50,000
£29,000
£218
£55,000
£34,000
£255
£60,000
£39,000
£293
Loan Repayments – Comparison
12_13
Income each year
before tax
Approximate monthly repayment
2011 Entrants
2012 Entrants
£15,000
£0
£0
£16,000
£8
£0
£18,000
£23
£0
£21,000
£45
£0
£24,000
£68
£23
£27,000
£90
£45
£30,000
£113
£68
£33,000
£135
£90
£36,000
£158
£113
£40,000
£188
£143
Loan Repayments – Today’s Money
12_13
Borrowing £9,000 for fees & £5,500 living costs per year, £43,500 total
With 3% inflation & graduate earnings growing at inflation + 2% per year
Starting Salary
(Sep 2015)
Salary in 30 years
at today's prices
Total repaid at
today's prices
Will I fully repay
it?
£15,000
£26,000
Nothing
No
£20,000
£35,000
£7,000
No
£21,000
£37,000
£11,000
No
£25,000
£44,000
£25,000
No
£30,000
£52,000
£43,000
No
£35,000
£61,000
£61,000
No
£45,000
£79,000
£73,000
Yes - 24 years
£50,000
£87,000
£68,000
Yes - 21 years
www.moneysavingexpert.com/students/student-loans-tuition-fees-changes
12_13
£
Practitioner
Resources
Resources Overview
• Practitioners’ Pack
• Downloadable Fact sheets
• Practitioners’ Website
• Practitioner Helpline Team
• Application Literature & Guidance
12_13
12_13
• Information (DSA/CCG)
12_13
Practitioner Website
www.practitioners.studentfinanceengland.co.uk
12_13
Practitioner Website
Finance
Packages
Regional
Support
Application
Process
Downloadable
Resources
SFE Resources to Date
12_13
AY 2010/11
AY 2011/12
Out with the Old……..
12_13
……..In with the New!!
Practitioner Resource Bank
• Modular/Sectional format
• Download and build your own
student finance file
12_13
• Updated content added when
available/necessary
• Register for updates on new
content
12_13
Practitioner Resource Bank
12_13
Student Information
Parent/Sponsor Information
• Content Includes;
12_13
•
•
•
•
Myths and facts
FAQ
How/when to apply
Repayment Information
Developed following partner
survey & consultation
Parent/Sponsor Information
12_13
Student Finance myth & reality
video. Available in long & short
versions
Also available in Powerpoint
format
New Practitioner Website (Due late 2011)
Home page
Full & Part Time Finance
Additional Support
Resources
Designated Courses
Guidance Chapters
Latest News & Events
Regional Support
12_13
•
•
•
•
•
•
•
•
www.practitioners.slc.co.uk
SLC Corporate Site
Stakeholder and DSA
Bulletins
12_13
Fortnightly updates on
national processing
figures
www.slc.co.uk
12_13
SFE Support Channels
Students &
Parents/Sponsors
Customer Helpline
0845 300 5090
Expert Advice
for Practitioners
Practitioner
Helpline
0845 602 0583
Practitioner Team Email
[email protected]
Local Support
for Practitioners
Ben Rutter
075544 58871
Local SFC
[email protected]
Customer Website
www.direct.gov.uk/studentfinance
www.practitioners.studentfinanceengland.co.uk
12_13
£
Questions
Or
Comments?