Should to pay your child's course fees?

[MollyHuaCha]

Just that really. Students now start repaying their loan once they earn more than £25k per year.

If you can afford to fund your child's course fees and living expenses in order for them to avoid taking out a student loan, should you do it?

Any thoughts...???

As most people won't actually repay the, only be servicing interest, that's 30 years indentured service.

No. Another one in the “save the money for a deposit” camp.

Indentured service? They're not the personal property of slave owner, they are just repaying the cost of their studies. No one is forced to go to university!!!!

I've paid tax for about 30 years now, does that mean I've done 30 years indentured service too?!

The way I see it, those of us who went to uni between 62 and 91 were very lucky to get it free at the point of delivery. I read history & politics and whilst it was very interesting and gave me a few useful study & research skills, it wasn't really necessary. I certainly wouldn't have paid £27k for it.

Margo- they pay this on top of tax! It's not instead of.

And, please, what kind of job can one actually get without a degree nowadays? FFS, even basic, office junior admin type stuff expects people to be graduates, manot because there are so many graduates there aren't enough roles, but still.

Sorry- that got mangled:
Not because the level of the job, but because there are so many graduates there aren't enough roles

Yes, same goes for schooling and healthcare. No one (in their right mind) minds paying for children who come from poor families to have access to education, food etc but if you choose to have children you should be prepared to bare the costs. Having children and being able to pay but then not doing it is doubly shitty.

I'm thinking of paying.

Because the Govt can change the terms and conditions extensively and it strikes me as the nearest politically-acceptable thing to a graduate tax. It might be a good deal now for low earners (for graduates) but what about those who are middling or high? And is it future proof for anyone?

Students aren't actually children any more though.

Indeed, Winnie, students that took their loans out the year after me had theirs sold off to private companies, AFAIAA the terms & conditions were then changed. Completely unacceptable for a government to do that.

There is no mention that the 'vile' fees are clocked up on academic salaries mainly
Hahaha, maryso, go and hang around on "Academics Corner" on here... sure, academic staff are so well paid...

I don't know what universities are spending the money on- facilities, overseas branches, VC salaries, administrators perhaps ? I don't think junior academics are seeing much of that money.

My daughter is taking out the loan for the fees as I think she has to bear some responsibility for her education but I've paid her accommodation and all living costs this year and will continue to do so if I can afford it. Meantime I am fighting vigorously against the outrageous proposed 6.1% interest on loans - how can this be justified?

Haba As said upthread it really is a graduate tax, and taking it as such her tax rate will still be lower than ours was when we finished our 'free' uni back in the day.

Yes, I didn't pay fees when I did my degree, but everyone was paying massively more tax (both through rate being FAR higher and through personal allowance being FAR lower - even allowing for inflation). this way, only those who earn more because they had a university education, have to pay a higher amount of tax. It does seem much fairer to me. I have 1 dc just graduated, 1 dc just gone to university and one younger one, so, although I am very debt adverse, I don't think this is a debt in the same way any other loan or credit or finance agreement is debt. This is a tax.

Btw certain hunks and courses don't allow self funding - midwifery is one of them and this is no longer NHS funded

Unis not hunks - I have never used that word in my life what a strange autocorrect

Self funding hunks! - Love it.

Just noticed my typo in the title of the thread.

haba
And, please, what kind of job can one actually get without a degree nowadays?
You need to get out more.
THe majority of my tax clients do not have degrees.
THe jobs they do are not graduate jobs

and indentured
is a gross misrepresentation of the Student Loan model

I have my own business, claim WTC and could get a job easily paying the same wage I'm on now. I'm a cleaner fwiw. Cleaning jobs are easy to come by. To earn upwards of 25k I need a degree.
Cleaning companies aren't demanding graduates. Neither are retailers (unless you go into management schemes)

Quite like the idea of self funding hunks though

Hahaha, maryso, go and hang around on "Academics Corner" on here... sure, academic staff are so well paid...

I don't know what universities are spending the money on- facilities, overseas branches, VC salaries, administrators perhaps ? I don't think junior academics are seeing much of that money.

haba anyone with any sense of the financials will know that people are the largest cost by far. Home fees are a drop in the ocean and would be stretched to pay for junior salaries let alone much else. Overseas branches contribute, not drain resources. Facilities are another 'hygiene' factor, and research edge also makes demands on these. Hey, you can figure this out yourself if you're really interested...

The point is that choosing to study requires payment. Why not do it when you're sure of what you need and can afford? Those who are happy to not repay other people's monies for 30 years are not the ones who you wish to have around you, let alone employ. Most jobs can be done by most people (and machines), integrity is more important than most degrees. Do you have to ask why some people find job hunting difficult, despite having paper qualifications? While others do very well without?

Not that I have the money to do this, but I was looking at maybe saving up about £10 over next 5 years or so, for a year or just to make it easier.

According to Martin Lewis it isn't necessarily the right thing to do and depends on lots of things if it's financially astute for you.
He explains it in detail, it's worth reading.

www.moneysavingexpert.com/students/should-i-get-student-loan

I'm not sure if this will help anyone, have no idea if people rate him much.

I think dd will need more than £10 Gilly

Martin Lewis makes sense. Essentially, I read him as saying it makes economic sense to take out a student loan if your dc is going to be a low or average earner. Even if your dc is going to be a high earner, there could nonetheless be better uses to which the student loan amount could be put such as a mortgage deposit or a car, hence if you cannot afford all 3, to take the student loan.

Hear hear.
Accepting that my child's "earnings" will be cut by 9% for loan repatments
But having £40,000 to pay the deposit on their first house makes sense to me

And the current sky high rate will not last - it is political suicide for any ruling party that keeps it going ....