We’ll discuss each of the two primary categories of loans: tuition and maintenance.
Fees for instruction
In England, the average cost of an undergraduate degree is £9,250 a year.
The government offers to pay that amount in full, directly to the institution, on behalf of the young person because it is too much for them or their family to handle.
This is what’s referred to as your tuition loan; we’ll talk more about repayment later.
loans for upkeep
These assist students in paying for necessities like food and housing while they are in school.
Students can borrow between £4,327 and £13,348 for each year of study during the 2024–25 academic year, depending on their living arrangements, place of study, and family’s financial status.
The different schemes
This is when things become more intricate. The plans you might be on are mentioned below.
Why is there no Plan 3? In reality, Plan 3 is the repayment schedule for postgraduate loans in England and Wales.
In the UK, there is no upfront payment required; instead, the monthly repayment amount is based on your income.
Depending on how frequently you get paid, you’ll repay a percentage of your income over the loan type’s threshold (see the table below for the thresholds).
