Finance Myths Surrounding University

Finance Myths Surrounding University

Posted by on April 15, 2021

When looking at starting university, it is easier to be dragged into the world of university financial myths. With them being voiced over the news that university students are being dragged into a world of debt. But most of these are all myths, and we are going to bust them for you today.

The main myth that needs busting is that you will be sending yourself into a world of debt. With the media industries focusing highly upon sharing the fact you will be £50k in debt. This is not the case. Yes, university courses average at around £9k per year plus the living fees, you will rack up some debt. But it is not necessarily debt. Student loan companies pay your university fees for you, so you do not need to worry about this. Some student loans will also help you with the living costs. Now while this may seem like a debt it’s not. You do not need to begin paying this back until the April after you graduate. You only need to begin repaying your loan when you earn more than £27,000 per year. Now for some, reaching this pay will come quicker than expected. Meaning they will be paying back their student loan. However, for most this pay rate does not come for a few years, possibly never, meaning you only start paying back this loan when you earn this money.

University can be completely free for some people if you do not earn the minimum wage to begin repaying the loan. So, this debt fee that is being advertised across all media platforms should not be the reason you are not going to university. There are many platforms in place to help everyone to go to university and achieve their dream education.

Posted in: Loans