Student Finance & Funding

Students in full time higher education can usually apply for a student bank account. It’s important to shop around and compare the accounts on offer.

You will probably need a bank letter confirming your student status in order to open a student bank account. Pop into the Student Centre with your City, St George’s ID and a bank letter can be printed while you wait.

Lots of banks will offer freebies to entice you to open an account with them, but it’s important to see past these. The interest-free overdraft is by far the best long-term perk of student accounts, so it’s important to compare these when choosing which bank to go with. The amount of overdraft on offer will probably be the most important factor, but don’t forget to also check how long the overdraft will remain interest free after you finish the course. Remember – you will need to pay the overdraft off once you are working! You can compare student bank accounts on websites such as:

• MoneySavingExpert
• Money Advice Service
• CompareTheMarket.

Wherever possible, sign up to internet and mobile banking so that you can view your balance and transactions at your convenience.

If you cannot use internet banking, arrange for your paper statements to be sent as often as possible (usually this is monthly). Check your statements regularly to keep track of your spending and to identify any errors.

Make sure you never exceed your agreed overdraft limit, as this will result in high charges for unauthorised borrowing. If you are concerned that you are nearing your limit, contact the bank to ask if you can extend the agreed overdraft amount (remember to also ask what implications this will have for the overdraft available to you in subsequent years).

If you do receive any charges for unauthorised borrowing, call the bank to see whether they will remove these (if it’s just a one-off, they often will).

Try to avoid credit cards as much as possible. Ensure that you have explored every other avenue before applying for any sort of credit card (even if it is initially interest-free). Have a think about:

• completing a budget plan at Student Calculator to identify where you can make savings
• working part time to supplement your student finance/NHS bursary
• sourcing additional support from parents/partner/spouse/other family member
• enquiring about your eligibility for hardship funds from the university
• searching for extra funding from charities using sites such as The Scholarship Hub and Grant Search at Turn2Us.

Not every student funds their degree in the same way. For cultural reasons some students don’t access statutory funding in the form of a student loan. Work is underway to offer an alternative funding model for Islamic students.

Plan for Sharia-compliant student funding

In 2014 the UK government undertook a consultation to gather views on the acceptability of an alternative financial product based upon the Takaful model. This consultation received a very positive response and the government has confirmed that it supports the introduction of this new funding model and will work on its development. For further details and to view the consultation documents please visit the government pages.

Unfortunately there are currently no published timescales for the development or implementation of the Sharia-compliant student funding model. Further updates will be published on the GOV.UK website in due course.

Useful links

• The Federation of Student Islamic Societies

Debts can often feel overwhelming and difficult to deal with but there is lots of free, impartial, non-judgemental and easily accessible advice out there! It can often be tempting to ignore debts, but the quicker you take action, the sooner you can regain control of your money and alleviate anxiety and stress.

If you are worried about your debts and would like to discuss your circumstances in confidence with a specialist advisor we recommend that you contact the following organisations.

StepChange

The UK's leading debt charity - their services are non-judgemental and completely free of charge.

Every year StepChange help thousands of people to overcome their debt problems. They provide free and effective debt advice and practical solutions, which you can access either online or over the phone.. Often creditors can make you feel under pressure to make payments you can't afford. To help alleviate uncertainty and worry, the StepChange website sets out exactly what creditors can and can't do.

In addition to offering debt advice, StepChange can assist with budgeting and offer advice about housing costs.

Please see their website for full contact details.

National Debtline

National Debtline is a free and confidential debt advice service for people in England, Wales and Scotland. It is run by the charity the Money Advice Trust.

You can also download useful factsheets about various debt topics and sample letters to send to your creditors.

Please see their website for full contact details.

The Money Advice Service

The Money Advice Service helps people manage their money. They do this directly through their own free and impartial advice service. They also work in partnership with other organisations to help people make the most of their money. They are an independent service, set up by government.

Their free and impartial money advice is available online, over the phone (0800 138 7777) and by web-chat and via their free printed guides .

Citizens Advice

Citizens Advice offer free, confidential, impartial and independent advice from over 3,500 locations. Find your local Citizens Advice office here. Individuals, couples and families can make an appointment to discuss their financial circumstances with an advisor. You can also get advice online and over the telephone by calling 03444 111 444.

Their debt and money webpage includes comprehensive information, advice and guidance about money and debt issues.

They also have an online budgeting tool and sample letters to send to creditors.

Citizens Advice do not just focus on debt; they can offer advice on a wide range of issues including benefits, work, consumer rights, relationships, housing, law and rights, discrimination, tax, healthcare, and education.

Payplan

All debt advice from Payplan is free, whatever the nature of your debt problem. They can help you with free debt advice on credit card bills, personal loan arrears, mortgage or rent arrears and what to do if you get behind with gas or electricity bills.

They are committed to giving advice that is relevant to your personal circumstances to help you decide the best way forward. Knowing what to expect when you're facing money problems can often ease the stress you may be feeling. Their debt advice is up to date, accurate, comprehensive and tailored to you.

Please see their website for full contact details.

Turn2us

Turn2us is a free service that helps people in financial need to access welfare benefits, charitable grants and other financial help - online, by phone and face to face through their partner organisations.

Their website can help you to quickly and easily find financial support which is based on your circumstances. It features a free and easy to use benefits calculator, grants search and other information and resources.

Shelter

Shelter gives practical housing advice and support online, in person and by phone (0808 800 4444). Their expert advisors give free, confidential advice 365 days a year, helping with everything from mortgage arrears to finding a place to sleep.

Benefits – GOV.UK

An A-Z of benefits information, advice and guidance. Includes information on Child Benefit and Tax Credits.

HM Revenue & Customs

HMRC are the UK's tax authority. They are responsible for making sure that the money is available to fund the UK's public services and for helping families and individuals with targeted financial support.

Whether you’re living away from home for the first time, returning to study, or juggling uni and family life, it’s easy to find yourself spending more than you have coming in. Living as a student in London isn’t cheap, so it’s really important to plan your finances and budget carefully in order to avoid building up unnecessary debt.

Here are some tips to help you manage your money and remain in control of your expenses. Budgeting doesn’t need to be complicated and if you sit down and work it out at as soon as possible, it will be easier to get in to good habits and start making savings.

Work out how much money you have

Start off by working out how much income you will have coming in each term (include things like your student finance, regular contributions from family/friends, expected income from part time work during term time and the vacations, and scholarships or other external bursaries if applicable).

Then work out what period of time this total income will need to cover. Divide the total income for the term by the exact amount of weeks it needs to cover. This will enable you to find out what your weekly budget is, and stick to it! You may also wish to use the online student budgeting tool at Student Calculator.

What are your weekly expenses?

Make a list of all the things that you will need to spend money on each week. Not all of your expenses will be weekly, but you can estimate what you might spend on certain things over the term and divide it by the number of weeks to get a weekly figure. Your list should include:

• rent (remember to also factor in deposits, fees and other associated moving costs)
• household bills—water, electricity, gas, TV licence etc—these are generally paid quarterly, but it will help you to establish how much you need to save each week towards the bills, so you don't find yourself short when they are due
• food
• transport
• clothes
• books
• mobile phone/broadband
• laundry
• toiletries
• hobbies/entertainment
• presents.

Some of your expenses will be fixed, while others will vary. Try to estimate an average for variable expenses. Think also about one-off expenses that you may need to cover during the year, for example; moving house, special occasions or graduation.

Keep track of your spending

It’s really important that you stick to your weekly budget. A good way to do this, especially at the beginning, is to keep a record of everything that you’re spending. It’s amazing how quickly the odd cup of coffee or other small purchase here and there can really add up. Keeping a written record of everything you spend in the first few weeks will help you to identify the savings you can make.

Keep a regular eye on your bank balance and make a note of when your standing orders and direct debits go out to make sure you don’t exceed your agreed overdraft limit. Online and mobile banking can be really useful for this and keeping track in this way will help to ensure that you don’t incur any additional bank charges.

Identify ways you can save

Once you have been tracking your spending for a couple of weeks, you should be able to identify where savings can be made. Even small savings, made regularly, can really add up and help to stretch your finances that bit further. Here are some ideas to get you started.

Student discounts

• Apply for an TOTUM card —it entitles you to discounts in lots of places and can save you a substantial amount of money over the year.
• Even without an NUS card, it is sometimes possible to get discounts by showing your City, St George’s student ID card – always remember to ask about student discounts before paying!

Shopping and cooking

• Buying your food in big supermarkets is usually cheaper than in a mini market. Also, have a look round Tooting Market for some fruit and vegetable bargains.
• Ready prepared meals are more expensive and less healthy than preparing meals from scratch using fresh ingredients.
• Meat can be expensive. Try to go vegetarian a few times a week.
• Freeze any leftovers for another day.
• Don’t over buy in one go, as you may find you end up throwing things away which have passed their use-by date.
• Plan ahead—decide what you are planning on cooking for a few days in advance. It is easy to come home from uni hungry and grab a take away or ready prepared meal because it's quick and easy, but this can also become expensive.
• Find ways to use all your leftovers at Love Food Hate Waste. Cooking together in a group is cheaper than cooking for one. Look for discounts, money off vouchers and special offers. Get a loyalty card for the supermarket(s) and other shops you use regularly.

Transport

• Make sure you take advantage of all travel cards or student rates – apply for an 18+ Student Oyster Card.
• Full time mature students of 26 and over can also apply for the 16-25 Railcard.
• It is also possible to align your 16-25 Railcard with your Oyster card to get discounts on pay as you go fares and some travelcards.
• Before you travel, take a look at National Express and megabus.com. Bargains can be found on both coach and train journeys if booked well in advance!

Household bills

• Turn off the lights if you're not in the room.
• Don't leave your electrical items on standby overnight.
• Whenever possible, hang your clothes out to dry instead of using the tumble dryer.
• Do your washing at 30°C unless you're washing towels/bedding or trying to wash out stains.
• Take showers instead of baths.
• Make sure your heating isn't left on while you’re all out of the house.
• Block up draughts from badly fitted windows and doors – this will help to keep your heating bills as low as possible.

Entertainment

• Look out for cheap entry to cinemas and clubs – remember to ask about student discounts when booking tickets.
• Discount vouchers are readily available for many high street restaurant chains. Sign up for email alerts with your favourite restaurants and you will receive all their latest offers.
• Look out for student nights when the entry/food/drinks are cheaper than usual.

Clothes

• Many clothes shops offer student discounts. Make sure you check before you buy and use that NUS or City, St George’s student ID card!
• Buying clothes from charity shops can become a creative challenge and you can often find next to new items at bargain prices.

Books

• Make full use of the library!
• Check with students from other years about the availability of second hand/cheap books for your course. They may have one they don't want any more, or be able to advise you about which ones are most useful and worth investing in.