Student Finance: Loans, Grants and Repayments Explained
What student finance is and how it supports you at university
Deadline to apply:
--
Days
--
Hrs
--
Mins
What student finance is and how it supports you at university
Written by
Connor Steele
Reviewed by
Content Team
Updated
February 13, 2026
Est. Read
5 mins
Student finance is one of the most confusing parts of going to university and one of the most misunderstood. From how much you can borrow to whether you will ever pay it back, there is a lot of misinformation floating around, especially online.
This guide explains how student loans work in the UK, who qualifies, how repayments actually function, and what to do if your circumstances change, without assuming you already understand the system.
Pop in your details for a rough guide to what you might get. This is not an official quote. Always confirm using GOV.UK student finance.
A UK student loan is not like a traditional bank loan. You do not borrow a lump sum all at once, and you do not start repaying it straight after university.
Instead, student finance is split into two main parts:
Tuition fee loan, which covers your course fees and is paid directly to your university
Maintenance loan, which helps with living costs and is paid to you in instalments
You only begin repaying your loan once you earn above a certain income threshold, and repayments are automatically taken through the tax system.
The amount you can receive depends on where you live, where you study, and your household income.
Tuition fees for home undergraduates in England increased for 2025 to 2026 entry, so the maximum tuition fee loan depends on your start year and your course. Maintenance loan amounts vary too, with higher maximums available for students living away from home or studying in London.
If you are wondering what the maximum student loan you can receive is, think of it as tuition fees plus your assessed maintenance entitlement.
Student finance household income thresholds explained
Select your living situation and a household income band to get a realistic expectation of whether you are likely to get a higher, mid, or lower amount.
Estimated outcome
Choose both options to see your estimate.
This is an estimator, not an official quote. Your exact amount depends on your nation of residence, course, and assessment.
Not all students receive the same amount and not everyone qualifies.
Maintenance loans are means tested, meaning they depend partly on parental or household income. This is why student finance parents’ income details are requested during the application.
Some students receive the full amount, while others receive a reduced loan. Certain groups, such as mature students or independent students, are assessed differently.
Most students qualify for student finance if they meet residency and nationality requirements and are studying an eligible course at an approved provider.
Eligibility rules can differ slightly for part time students, mature students, placement years, and postgraduate courses, but support is available across many routes into higher education.
European student finance now depends heavily on residency status and settlement schemes, so checking eligibility early is essential.
Answer these yes or no questions to get a quick steer on what to check next.
Do you normally live in the UK?
Are you studying an eligible course at an approved provider?
Will you study full time?
Your likely next step
Answer the questions above to see a result.
Applications usually open in the spring before your course starts, often months before term begins. Applying early is strongly recommended, even if you do not yet have confirmed offers.
If you are wondering how long student finance takes, processing can take several weeks and longer during busy periods like summer. Applying late will not stop you receiving finance, but it can delay your first payment.
For most undergraduate starters, applications typically open in late March for courses starting in late summer or autumn.
Typical opening window
Late March
If you apply early, you reduce the risk of delayed payments at the start of term.
Maintenance loans are paid in three instalments per year, usually at the start of each term, once your university confirms your enrolment.
If you are searching when does student finance come in, the answer is usually early autumn, winter, and spring, but exact dates vary by institution.
Tuition fee loans go straight to your university, so you will not see that money yourself.
Most students receive maintenance payments three times per year.
Exact dates depend on your university term dates and when they confirm enrolment.
Most students are entitled to funding for the length of their course plus one extra gift year. This extra year is designed to cover things like changing course, repeating a year, or illness and mitigating circumstances.
If you repeat more than one year, funding may be reduced or limited unless you can show compelling personal reasons supported by evidence.
If your course includes a placement or year in industry, you can usually still receive student finance, but often at a reduced rate. Funding varies, so it is worth checking early so you can budget realistically.
Whether you can get student finance for a second degree depends heavily on what subject you are studying. Most second undergraduate degrees are not funded, but there are exceptions for certain subjects.
Postgraduate student finance works differently from undergraduate funding.
Instead of separate tuition and maintenance loans, postgraduate funding is usually provided as one combined loan intended to cover both course fees and living costs. You decide how to allocate it.
Repayments also work differently. The repayment threshold, interest, and repayment percentage can be separate from undergraduate loans, meaning some postgraduates repay two loans at the same time.
Part time students may still qualify for student finance, particularly tuition fee loans, as long as their course intensity meets the required threshold. Maintenance support is more limited, but part time study does not automatically exclude you.
Mature students are often assessed differently and may be treated as independent, which can affect maintenance entitlement. Additional support can also apply depending on dependants and household circumstances.
Some students choose alternative student finance, which mirrors standard student loans but aligns with religious or ethical beliefs such as avoiding interest based products. Repayments work in a similar income based way.
Student finance is not fixed once approved. It can be updated, paused, cancelled, or appealed if your circumstances change.
You can change your course or university, report a change of circumstances such as living situation or household income, and cancel an application if you no longer need funding.
If funding is reduced or refused, you can appeal using compelling personal reasons. These usually relate to illness, bereavement, mental health, or other serious disruption to study.
Appeals often require a clear explanation, supporting evidence, and an evidence cover letter linking the evidence to your situation.
One of the biggest worries students have is how and whether they will ever repay their student loan. The reality is calmer than it sounds, because repayments are income based and stop automatically when earnings drop.
You only start repaying once you earn above your repayment threshold. Repayments are taken automatically through PAYE, like income tax.
You repay 9% of what you earn above the threshold, not 9% of your total salary. If your income drops below the threshold at any point, repayments stop automatically.
Choose a plan and salary to see whether you would repay anything, and an estimated monthly repayment.
Salary: £28,000
Estimated repayment
Loading…
This is a simple estimate for typical PAYE employment. If you have multiple loans, repayments can stack.
Many graduates never repay their student loan in full, and that is expected within the system. You repay what you can afford based on income, and any remaining balance is eventually written off.
If you never earn enough to repay, you do not owe anything beyond what you have already repaid. There are no bailiffs and no demands for lump sums.
How long it takes depends on your plan. Many undergraduate loans are written off decades after you become eligible to repay. Once the write off point is reached, the loan ends regardless of how much is left.
Select your start year to see the typical repayment setup.
What you will usually see
Choose a start year to see a summary.
Early repayment usually only makes sense for very high earners. For most graduates, paying off a student loan early offers less benefit than focusing on savings, a house deposit, or higher interest debt.
When something goes wrong, contacting the right team quickly is often the fastest way to fix it. Different parts of the UK are served by different student finance bodies, so you need the one that matches where you normally live.
Before you contact anyone, make sure you have your Customer Reference Number, your date of birth, your course start date, and any related messages or letters.
Select where you normally live and we will show the right contact details.
Contact details
Select an option to see details.
Student finance can be confusing at first. These FAQs explain how it works in practice, how much you might get, and what repayment really looks like after university.
Most undergraduate students can apply for two main types of student finance: a tuition fee loan and a maintenance loan.
The tuition fee loan covers your course fees and is paid directly to your university. The maintenance loan helps with living costs like rent, food, and travel, and is paid to you in instalments during the year.
The amount you receive depends on where you live while studying and your household income.
Students living at home usually receive less than those living away from home, and students in London can receive more to reflect higher living costs.
Household income affects how much of the loan you are entitled to, but most students receive at least some maintenance loan.
Yes, but only once you earn over a certain amount after graduating. Repayments are taken automatically from your salary, similar to tax.
If you never earn above the repayment threshold, you do not pay anything back. Any remaining balance is written off after a set number of years.
No. Student finance works more like a graduate contribution than a traditional loan.
Repayments are based on what you earn, not what you owe, and you never deal with bailiffs or credit scores. If your income drops, repayments stop automatically.
You should apply as soon as applications open for your year of study, even if you do not yet have confirmed university offers.
Applying early helps ensure your money is in place for the start of term and avoids delays to maintenance loan payments.
Household income usually refers to the taxable income of your parent or parents, or your partner if you are classed as financially independent.
This includes earnings, pensions, and some benefits. It is used to assess how much maintenance loan support you are eligible for.
Some students are eligible for additional support, such as grants, bursaries, or hardship funds offered by universities.
Extra support may be available if you have a disability, caring responsibilities, or experience financial hardship during your course.
If you leave your course early, your tuition fee loan stops, and you may need to repay part of your maintenance loan for that year.
You only start repaying once you earn over the repayment threshold, even if you did not complete your degree.
Yes. Many students work part time alongside their studies.
Your earnings from a job do not usually affect your maintenance loan during the year, but it is important to balance work with your academic workload.
For most students, student finance makes university possible. Repayments are income based, protected, and designed to be manageable.
Rather than focusing on the headline debt figure, it is more useful to think about what you can afford month to month after graduation.
Take a look at related guides and resources.
