There can be a lot to think about when it comes to preparing yourself for university and one particular headache inducing thing for students is student finance. Below, we dive into everything you need to know about student loans to help you get to grips with the financial side of university and point you in the right direction for further help on the topic should you need it.
Written by Grant Longstaff. Published 19 August 2025.
What is a student loan?
Let’s start right at the beginning. A student loan can help pay for university and is provided by the government. There are two parts to a student loan, the tuition fee loan and maintenance loan.
- Tuition fee loan: This loan covers your course fees and is paid directly to the university.
- Maintenance loan: This loan is designed to help with the living costs associated with university and can help towards rent, food, bills, travel, textbooks, stationary supplies etc. It’s available to financially support your studies and make university a little bit easier. This is paid directly into your bank account.
Can I apply for a student loan?
There are certain criteria you’ll need to meet in order to be eligible for a student loan. Your eligibility will depend on:
- Your chosen university or college.
- Your chosen course.
- If you’ve previously studied a higher education course.
- Your age.
- Your nationality.
- Your residency status.
Your chosen university can tell you if your course is eligible for funding. If you choose to study part time rather than full time you could still be eligible for funding too.
Where you live will depend on where you apply for your loan. If you’re based in England you’ll apply to Student Finance England. In Scotland you apply to Student Awards Agency Scotland (SAAS), in Wales it’s Student Finance Wales and if you’re based in Northern Ireland then it’s Student Finance NI.
The student finance hub on Gov.uk has more detail on the eligibility criteria and links to all the necessary awarding bodies.
How much can I borrow with a student loan?
The all important question. Let’s look at the tuition fee loan first. Universities have a maximum amount they can charge students per year, and the tuition fee loan is designed to reflect this figure, meaning you shouldn’t need to worry about finding additional funds to cover your course fees.
The maintenance loan amount you can borrow will vary depending on where you’ll be living during your course and your household income. Students from lower income families are usually able to borrow more.
When should I apply for a student loan?
It’s tempting to put off applying for a student loan, however it’s best to apply as soon as possible to avoid any delays in receiving the funds. The various student finance portals typically open in February and if you’re able to apply by May then everything should be in place for the start of the academic year.
However, we know life sometimes gets in the way and situations beyond your control can mean you apply later than you expected. It’s important not to panic if this is the case. You can still apply for funding up to nine months after the first day of the academic year of your course. The payments might be delayed, but if you’re eligible they will come.
It's also worth noting you’ll have to reapply for student finance for each year of your studies. Your first application will only cover the first year of your course – so don’t forget to factor this into your schedule as the academic year progresses.
When do I have to repay my student loan?
Student loans differ from the typical loan you would take out with a bank. Ultimately, student loans are designed to help you fund university and you’ll only start repaying it once you hit the repayment threshold. We break it down below.
If you applied to Student Finance England and your course started on or after 1 August 2023 you’ll only start repaying your loan once you’re earning over £25,000. For anything you earn over the threshold 9% is deducted as your student loan repayment. For example, if you earned £30,000 a year you’ll only repay around £37.50 a month, and if your salary dropped below the threshold the repayments would stop.
If you’re not based in England it’s important to check with your student loan provider for more detailed information on their repayment requirements.
Student loans are an investment in your future and are a much more manageable form of debt and don’t affect your credit rating, so won’t impact your future financial decisions like a mortgage application.
What other financial help is available for students?
We understand the costs associated with university can quickly mount up. However, there could be additional financial assistance available beyond a student loan. Every university will have a range of bursaries, grants and scholarships you can apply for. Often they’ll have a range of criteria applicants must meet, however it’s always worth looking at the university website to see exactly what they offer.
For example, if you’re looking to study with us we have over £3 million available in our scholarship fund. Explore our range of grants and bursaries to see exactly what’s on offer.
Financial support for students
We also have a dedicated Cost of Living hub filled with advice and support for students who are struggling financially. You’ll find information on housing, travel, budgeting, employment, student discounts and more, which can all make a difference when it comes to surviving university.
We know student finance can sometimes be a lot to take in, but once you get your head around the basics it becomes a whole lot easier to manage. If you need more support don’t be afraid to reach out to friends and family or contact the finance teams at your chosen university for support with your application. Best of luck.
Financing options are now available for our eligible postgraduate students through the third party provider StepEx. To find out more about their financing options and to check if this is suitable for you, visit their website.
