Recent findings from the Educational Policy Institute indicated that the UK is the third most expensive place in the world to go to university. Combine this with figures from the Prudential, showing that a third of university students have considered abandoning their studies due to the financial strain they have encountered, and it is not surprising that many prospective students are finding the need to seriously think through the merits of going to University.
Whilst it is true that there are currently loans available from both the government and from banks that are designed to see students through their period of studies, for many this will mean emerging into their adult life with mountains of debt. Barclays Bank has stated it believes that once top-up fees are introduced it will cost about ?33,000 to put a child through university in England and Wales. At a time when the number of students has greatly increased and the number of high paid graduate careers appears to have diminished, students now have to factor in the cost of living when making the important decision of where to study. In an article by the scotland on sunday, the experiences of a university student from Glasgow show that the question of finance already weighs heavy for some students in their choices of where, or even if, they can study. Moving out of the parental home to take full advantage of university life may become less of an option for students as costs increase and financial assistance decreases.
The president of the National Union of Students in Scotland, Melanie Ward, said: "I think most students underestimate the amount of debt they will leave university with, which will be above ?13,000."
With graduates needing to earn ?22,000 a year in order to pay off anything more than just the interest on their student loans, many people are in their 30s or even 40s before their debt is fully cleared.
Graduates are also finding that they have to make tough decisions as soon as they complete their courses. With banks, building societies, credit card companies, and other private sector lenders requiring the sums borrowed to be repaid. The immediate question of, "Do I build on the knowledge, work experience and internships, that I've had over the last few years and pursue my dream career, or does the chasing of the perfect job I've been working towards for years, have to take second place to getting back into the black?", is now an all too intrusive reality for many.
Some students are finding it so difficult to make ends meet that they are trying to seek alternative means of resolving their debt. scotland on sunday has shown that that the number of students declaring themselves bankrupt tripled in 2004. Another method of reducing graduate debt is getting the loans written off through undergraduate bursary programmes by the military or teacher training, in return for agreeing to a placement period following graduation. There are however some potentially serious drawbacks to both types of schemes. These include possible damage to future career prospects or compulsory placement period in a career which the graduate does not want to proceed with long-term.
All is not doom and gloom however, with university authorities and the Students' Union offering advice at college, and after graduation. Public sector organisations like the scotland on sunday can provide advice if real difficulties occur. Speaking directly to your lenders can often resolve problems. Switching between loans and credit cards is a good way to help reduce interest payments. Financial websites like scotland on sunday can provide a useful source of information by enabling students and graduates to see which loan or credit card provider is currently offering the best deal and 0% introductory rate.
It seems budgeting and hard decisions are required by all potential students these days, with a degree in personal finance a desirable pre-requisite before starting actual studies.
Richard works in Edinburgh for a media company, occasionally writing for the personal finance blog Cashzilla, and drinking too much coffee.
executive chauffeured services Bradford .. Madison to Airport carI've been going through and interesting growth period lately that... Read More
There have been an estimated 9.9 million victims on America... Read More
Have you seen the recent article on a new "green"... Read More
Millions of people give a lot of thought to financial... Read More
When you received an energy (heating) bill last winter, were... Read More
Frugal living is more than a lifestyle. It's a passion.... Read More
When people speak about the increasing age expectancies, they generally... Read More
It's the little things in life that make it interesting.... Read More
If you've been thinking about filing for bankruptcy, your best... Read More
If you, like most people, have not seriously considered what... Read More
The judge had to ask the question, and we had... Read More
Well, dang! From what I've heard and read, it looks... Read More
Everyone needs to maintain their lives. What I mean by... Read More
Sticking to a budget can be difficult, but with so... Read More
1. If you have your haircut every 3 weeks, try... Read More
Get Access to Realistic profitable strategies & discover the mindset... Read More
Future financial success is not a guarantee that any one... Read More
People haven't always written checks to buy goods and services.... Read More
As the saying goes: "Buyer Beware". If you see ads... Read More
Does it feel like you have to be Sherlock Holmes... Read More
Many people spend their little income haphazardly without any planning... Read More
Millions of people have a checking account and many people... Read More
Creating a budget can be a very difficult task. Although... Read More
With the A-level results coming out, the long wait for... Read More
As a parent you are bound to face a few... Read More
O'Hare Chicago prom limo ..My personal opinion is that in today's new economy, it... Read More
There is a new bill that is being passes, it... Read More
With the A-level results coming out, the long wait for... Read More
If you have a 401(k) account, it can be very... Read More
Single Mother's in need of Financial GuidanceBudgeting is key to... Read More
Financial freedom cannot be achieved without budgeting. Budgeting involves tracking... Read More
I have to admit, I do it too. I complain.... Read More
It is widely written that you need 75% of your... Read More
When you received an energy (heating) bill last winter, were... Read More
With a traditional Investment Retirement Account (IRA) you pay taxes... Read More
Would you know what to do if you suspect that... Read More
Just about everyone has a checking account. Checks present easy... Read More
Do you struggle from week to week trying to make... Read More
Investing is a subject a lot of people don't want... Read More
Well, dang! From what I've heard and read, it looks... Read More
The first step to financial success lies in knowing your... Read More
The Prudential has dubbed those who refuse to leave home... Read More
Your boss has just informed you that your department is... Read More
Saving for a Down Payment is hard work, so it's... Read More
With almost two thirds of university entrants from England and... Read More
Six Scholarship judges were sitting around an oval table. Forms... Read More
People haven't always written checks to buy goods and services.... Read More
Traditional checks probably won't disappear anytime soon, but processing checks... Read More
An avid cyclist and bike racing fan, I sit transfixed... Read More
As the saying goes: "Buyer Beware". If you see ads... Read More
Personal Finance |