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Financial advice for students in UK

A large number of students in UK get into huge amount of debt after their graduation. According to the latest research done by Natwest Bank, students get into debt of almost £15,000 by the time they complete their graduation. Many students get overwhelmed due to this and are forced to declare bankruptcy.

According to the government statistics, when a student gets a degree, he adds £400,000 to his income during his working career. So it is worth borrowing this substantial amount during the time a student is completing his education.

Experts recommend the following tips and advice to students on how to save money when they are going through those first few difficult years and debt problems spiral out of their control.

Shopping around : There are many universities that offer courses with student tuition fees at less than £3000 annual rate. Shop around with different universities and see which one is offering a better deal. Few will offer discounted tuition fees or cash back refunds if the tuition fees are paid in advance.

Study locally : Many students undergo their studies in their local area and live with their parents in order to save money. Though it has its own set of advantages, but the problem is that a student misses out his infamous student life. Its been noticed that students living with their parents often do not participate in the social activities. Think carefully before you make this decision.

Doing a part time job : Many students do part time jobs while pursuing their education so that they can finance it. On an average, a student works for 14 hours in a week and they feel that it helps them a lot with their future career. Avoid those jobs in which you are required to work late or irregular hours.

Borrow as per your requirements : When you are at university, it is important that you do not spend recklessly. Student debts cannot be included in bankruptcy because of government legislation. Banks are offering student loans like never before for their own benefit. If you spend sensibly, you can top up your Student Loan Company money with a discount overdraft or bank loan.

Getting free financial advice : If things go out of control, you should always speak with a counselor at the Citizens Advice for free debt advice. Your local NUS branch can also be a good help.

Keep in mind that missing a payment on your student loans will not affect your credit scores, but if you fail to pay back your loan to the bank or credit card company, it will seriously affect your credit history and your ability to borrow money in the future.