Upon receipt of my yearly Student Finance communication approximately one month before the commencement of my final year of degree study, I realized that I would be unable to fulfil my rent payment obligations this year. This was due to the fact that my maintenance loan had declined by £1,000 without prior warning. I was convinced that an error had occurred during the application process.
I consulted with my sister, a fresher in halls that were more affordable compared to my student house, and discovered that her maintenance loan had not suffered any reduction. Subsequently, I reached out to Student Finance to seek clarification on this issue, and after much tedious music on hold, I spoke to a representative and explained the situation. They responded by stating that my loan had been reduced deliberately. Unfortunately, their 22-page guide had not explicitly stated that mature students’ living allowances may decrease by nearly a quarter.
When I inquired as to the reason for this reduction, I was informed that since I would no longer be a student over the summer, I would require lesser money. While it is true that I will not be a student in July or August next year, I might still be unemployed, such as one in ten graduates who are unable to secure a job after six months, and still have to make rent payments in my student house even after completing my degree. This is a common phenomenon, as most students are tied into year-long contracts by various letting agencies.
However, this year my travel, interviews, and unpaid work experience will require funding to ready myself for life after graduation. Also, I would have a shorter time to work part-time shifting as I strive to achieve excellent results in my final degree year, which is most crucial to my academic success.
After posting about this issue on Facebook, I received several replies highlighting the same problems. “I thought I was losing my mind before I read your post,” one person commented, and another added, “I can’t believe we were not alerted at the beginning of our degrees about this occurrence.”
Despite having to communicate with Student Finance once every year, while reapplying for annual loans, none of the students I spoke with were ever made aware of this happening.
Harriet O’Rourke, a University of Southampton alumni, says that this is not a new issue. “My maintenance loan went down last year, which was terrible because I was dealing with coursework and became occupied, thereby working fewer hours. It’s a time when you require more money, not less. The Student Finance scheme is incompetent.”
Similarly, Sian Elvin, a University of Warwick student, believes that this cut will add to her academic stress in her final year, and a tight budget will distract her from achieving an excellent final grade. Despite receiving less money than before, she will still have to manage all of her expenses.
Rebecca Earnshaw, a Bangor University German graduate, also found the late financial burden overwhelming. “I had to find a job, and the only position available was working at a pub for three seven-hour per week unsociable shifts just to remain afloat,” she says. “If I had gotten the amount I was anticipating, things would have been much more comfortable in my final year.”
Throughout their degree course, students and their families have to reapply for maintenance loans every year. Unfortunately, everyone I have spoken with was in the same situation, unaware of the cut until the last possible moment.
The Student Finance guide is clear on the maximum and minimum amounts available to new and returning applicants, so why did they not mention the final-year loan reduction?
Ultimately, we are all accountable for paying back our loans, yet we have no alternative but to cope with the amount given to us.
According to a spokesperson for the Student Loans Company, “In the final year of a program, maintenance loans are granted at a lower rate compared to preceding years to mirror students who, following the start of their final academic year, will usually complete their studies in May or June and pursue their desired career path.”
Every year, students must request financial aid to cover their tuition and living expenses. To determine the amount of potential funding, students may use the student finance calculator. The student’s total maintenance loan or grant is determined by various factors, such as their location, degree program, and income level. Upon receiving a notice of entitlement, the student will learn precisely the amount they will receive in financial support for the academic year.
