Findings by money-management trainer, Blackbullion, have revealed that just over half (51%) of all students in the UK run out of money before their next loan installment from Student Finance.
Research released from Blackbullion has also uncovered that many students have money problems before even starting their degree, with 15% of all students already in debt. More than two in five students go to university with prior savings.
Speaking to Concrete, a UEA student explained just how large a problem money can be: “For me personally vacates my account the moment rent is due, and it unfortunately barely covers that so in that sense you could say the loan barely lasts me at all”.
Continuing, the undergraduate student indicated that finding money has become a real problem: “Money issues are a permanent stress, between extensive rent and the cost of living the loan can barely be of use, [making it a] necessity to work part time”.
Vivi Friedgut, Founder and Director of Blackbullion, believes that money management is key for students who find their loan stretched. He said, “Students don’t need to be in the dark about their financial situation. The summer provides a great chance for them to get a head start on managing their finances before term time by thinking about a basic budget”.
According to Blackbullion’s research, a vast majority of students agreed with Friedgut’s comments: 83% of students said they felt that they needed better financial education.
You can read Concrete’s advice on how to stretch your student loan and how to save the pennies here.