What if we can't afford to support DC?

[pinkpip100]

Oldest DC is in year 12 and plans to go to university in Sept 2023. I've been looking into student finance and according to the calculator they will get a loan to pay fees in full, but only the minimum maintenance loan, due to our household income. We have 3 other dc, and it is likely that DC1 & DC2 will overlap at uni for at least a year (and subsequently DC2 & DC3 too). I understand that we are expected to support them financially, and assume this will mean topping up from the minimum maintenance loan to the maximum amount.
My worry is that we will massively struggle to pay this for 1 DC, let alone for 2 at a time. We have no money left at the end of each month, no savings. Youngest DC is disabled so I have always ended up in low paid part-time jobs which offer flexibility to look after them when needed. As a result we have built up a lot of debt over the years - and just making minimum payments for this wipes out a huge chunk of our combined income. I am just about to start a better paid job which will increase our income, but paying off the debt will obviously take a long time. Our household income for 21-22 will therefore appear pretty high on paper - hence DC1 only getting minimum loan amount - but definitely isn't reflective of how much expendable income we have.
I suppose my question is - does any of this (number of dependents, sibling with a disability, level of debt repayments vs household income) get taken into account when applying for a maintenance loan? Are there any other student finance options? Has anyone else been in a similar position? I realise we've been totally naive but I assumed DC would be able to get full loan amounts for fees and maintenance, so had envisaged just topping up what we could afford.

It's so tough and you have my sympathies. Only a few years ago I had a colleague with triplets (not kidding) who all wanted to go to uni. She was a part-time conveyancer and her husband was a head teacher. On paper they earned well but in reality they couldn't afford to support 3 children simultaneously. The children all got part time jobs and she went from 3 days a week to 4 but it was tough (she had elderly parents and in laws to help too).

We do have an issue in this country where a DC of a single parent on benefits gets a substantial amount of money from loans and bursaries. Often in excess of £2000 on top of a full loan. 2 bursaries as stated earlier. Some people I know have fathers who have well paid jobs but because they live separately in another house, their income isn’t considered so the full loan is paid as the fathers income is not considered. These dads are not absent and take on very reasonable parenting roles.

The ones who need to work are DC of people like the OP. It pays the student a great deal if the resident parent is on benefits and never married.

Let's not forget that those on full loans have to pay it back, and with very high interest (I know that people don't necessarily pay everything back, yada yada, but they have that loan hanging over them for 40 years, and those who borrow more potentially have to pay back far, far more). When I was at university, students from a low income household got a full maintenance grant, and of course paid no fees. That is still the situation in various EU countries. You can argue about whether absent dads should be included in the equation, but I think it's good that some universities reduce their fees a little for students from low income families.
The reductions tend to be very low in the context of the cost of university. This is what Exeter offers - and you should try living on a household income of £16K. Remember also that if there are no children in the family who are still at school, the family will probably be receiving no benefits at all, including of course child benefit. It's a very tough time for badly off parents.

Below £16,000 : £2,130 first year, £1,580 2nd year
£16,001 - £25,000 : £1,070 first and 2nd year

Some bursaries are even higher.
My DD was given a £10K bursary each year, non means tested, no university fees either.

Where was that?

UK

It's unfortunate that there is still a lot of scope to play the system. Bursary fraud is not unusual, it would appear, both at university and at independent school entry level.
I've personally known parents of applicants who've hidden second homes, ridden around in taxis, taken foreign holidays, numerous theatre trips - all the while claiming to be in need of help.

Sometimes there's a refusal to adapt to circumstances if there's been a sudden drop in income, such as moving to a grottier area to free up funds, etc. The perpetrators usually affect a massive sense of entitlement.
Bursars and admissions people need to find better ways of rooting out the "wrong uns". There are thousands of genuine candidates to satisfy the criteria.

Just been looking at bursaries and it seems they just go by the application for loans using income of parents...under 35K seem to get something in most cases, but some also go by postcode..

You don't have to apply seperately, they just inform applicants if they qualify..nothing about second homes or whether they "ride around in taxis"

There are a few bursary schemes that are totally separate from UCAS - some administered by the universities themselves - and too numerous to list here.
At the independent schools entry stage you'll usually be expected to give an account of your finances. Obviously they can't follow people around to gauge taxi use, etc.

People should consider the cost before having 4 children.

Was having his conversation with Dh last night, about our expected parental contribution.

Accommodation in Birmingham and Liverpool is not especially cheap.

OP, on a separate note, your DC might want to look into the PPE course at Birmingham which is Policy, politics and economics.

How were they supposed to do that without a crystal ball?

There were no tuition fees when my DD was born. My DS was born the year that tuition fees were introduced (£1000 per year). He is still at university. We consulted a financial advisor when he was born because we wanted our DC to have the same advantage of a free university education that we had and have money put away to be able to help them in the future with buying a home. The advisor calculated that £40k when they were 18 would be enough to put them through university, pay for a gap year or an MA, buy a car and have a decent amount towards a deposit to buy a flat when they graduated (possibly not the best idea to hand everything on a plate to them on reflection but as wide eyed new parents it seemed like a good idea at the time).

There was no way of predicting that tuition fees would suddenly leap to £9000 per year in 2009, when DD was already at secondary school, a bit late to change our financial planning. Nor that rents would double (the relative cost of rent has increased). Nor that my DC would choose to follow a career that requires a 6 year degree 🙄Nor the current cost of living crisis. Then add the credit crunch to that so our investments were less than half the amount we hoped by the time they were 18, not even enough to cover the expected parental contribution.

We planned our finances carefully and it got us nowhere so I have every sympathy for parents who have been caught out by thinking that means tested loans would take into account having siblings at university at the same time or have found themselves struggling with the current cost of living increase just as their DC are coming up to 18.

We are currently going through this dd1 in 2nd year at uni and dd2 looking to start in Sept. We give dd1 £150 a month and have cut back on everything in order to do it. She had a little job but the place went under so is looking ATM. Look at rural places rather than big cities as you get more for your money and yes get them working before they go, I hate that everyone is trained in school they need to go to uni to make something of themselves now, totally impractical.

My eldest has been studying at a cheap one so it's not been too bad for us (or for her) but the younger one is looking at much more expensive cities (for reasons of the course), and I am just realising that it's not going to be so easy next time. Thank goodness DC1 should be earning and off our hands by then.

I haven’t read the whole thread but you can’t tick a box to say you won’t support your student. Well you can but all that means is they will only qualify to receive the minimum loan (why would you or anyone else deliberately do this to their child or children)? If your household income has gone up or down by more than 15% than the year they were assessed on then they can apply for a current year income assessment or basically to be reassessed.

Talk to your child explain your predicament and explain that they will have to either take a year out earn and save before Uni or work to contribute to supporting whilst at Uni.This can be by working most of the summer and or working alongside their studies. As said some Uni’s offer bursaries or grants (of varying amounts with varying qualifying criteria usually these are only offered to students from a low household income or if a student excels at sport or something else). Different Uni areas also have cheaper accommodation available than others. Teach them to budget (to live within their means) and to cook before they go.

We have two children close in age so next year we will have two at Uni. They have both worked and saved before going to Uni and will both have to work at least in the holidays. I have sold some things on Ebay and Vinted and we have made cut backs in order to support them both and we will be just about able to do this. DS is having a fantastic time at Uni but he is also being realistic and incredibly frugal and sensible with his budgeting and cooking etc.

There is a disability element to the student loan ( dsa) .. you may be able to apply for extra funds based on him being autistic ...
dd is at uni , dh is a high earner so we only got the lowest amount . We give her £50 a week which is easily adorable for us and she hardly eats so can easily live on that and we paid the shortfall at the start of the year ..

I do think the system is unfair though as we only have her at uni and have no debt etc ..

I know families in similar positions and they have 3 kids at uni ! Must be extortionate !

A friend's son took a gap year and worked every shift that Sainsbury's would give him for most of that time. At the end he had saved enough to go camping around the UK for a couple months and went off to uni with £11,000 of his own earned money. He will work over Christmas to save more, and next summer should earn enough to cover much of his shortfall from any loan.
I worked all through university for spending money. Working part time during term time was not uncommon and full time over the summer was the norm.

This.

Your student kids need to get part-time jobs? Before and during their course.

I agree with everything @ScoobyDoobyDoowhere said.

There is a disability element to the student loan ( dsa) .. you may be able to apply for extra funds based on him being autistic ...

You don't get extra funds with DSA. You get adjustments and equipment that helps the student access their course. They might cover the difference, say between a shared bathroom room and an en-suite for a student with a medical issue to do with their bathroom needs. You might get special voice to text equipment if it is needed, but the student doesn't get extra funds to live on.

And here comes stupid.🙄

They will have to work. McDonakds.is pretty good for students. Any shop/pub work..Maybe get an Xmas job now and save.

The positive side is that the art of budgeting will be a useful life skill for your child. My DC are expert bargain hunters

We pay an amount to ds2. He has a job which he transferred from his local branch to the uni branch. He is working there now. He saved a lump sum before going, from his job at the local branch that he'd had aged 16-18.

I had 3 part time jobs at Uni. It's doable, whatever your circumstances.