A. Tuition Fee Loan
Covers the full cost of your tuition fees, up to £9,250 per year.
Paid directly to your university, so you don’t need to make any upfront payments.
Learn more on gov.uk Tuition Fee Loan.

B. Maintenance Loan

Provides financial support for your living costs, such as rent, food, and travel.
The amount you can borrow depends on your circumstances and where you study:

Up to £13,400 per year if you study in London.
Up to £10,400 per year if you study outside London.

Paid directly into your bank account in three installments each academic year.
Learn more on official UK government website gov.uk 

- You only repay once you start earning above £25,000 per year.

​-You’ll repay 9% of your income above this threshold.

For example, if you earn £27,000 per year, you’ll repay around £15 per month.

Payments are automatically deducted from your salary, like National Insurance or tax.
​
​Detailed repayment guide on gov.uk Student Loan Repayments.

In subsequent years, interest is calculated on this higher balance.
​
​£50,000 + £3,600 = £53,600
​
​This £3,600 is added to the total balance, making the new loan balance:
​
​£50,000 x 7.2% = £3,600
​
​At 7.2%, the interest added to a balance of £50,000 in the first year is:
​How Interest is Applied:
​Interest is calculated on the entire outstanding balance, including any unpaid interest.
​The interest rate is 7.2% (this is compounded over time).
​You borrowed £50,000.
​Assumptions:Example of Interest on a Student Loan (7.2%)

After 40 years, any outstanding loan balance is automatically written off.

​If your income remains below the repayment threshold, you won’t make any repayments.

​What Happens If You Leave the UK With a Student Loan?
If you move abroad after taking out a UK student loan, your repayment obligations will still apply. However, there are some key differences in how repayments are managed when you live outside the UK:

1. Repayments When Living Abroad
Repayments are still based on your income, but the threshold for repayment varies depending on the country where you live.
The repayment threshold is adjusted to reflect the cost of living in your new country. For example:
In lower-income countries, the threshold may be lower than £25,000.
In higher-income countries, it may remain closer to the UK threshold.
Check the repayment thresholds by country on the gov.uk website.

2. Informing the Student Loans Company (SLC)
Before moving abroad, you must inform the Student Loans Company (SLC) about your plans.
You will need to fill out an Overseas Income Assessment Form and provide evidence of your income (e.g., payslips or tax returns).
If you fail to notify the SLC, they may automatically set your repayments at a higher rate.

Find more details on how to inform the SLC on gov.uk.

3. How Repayments Are Made
Payments are made directly to the SLC in the currency of your new country.
You’ll need to arrange regular payments through bank transfers or other methods specified by the SLC.
4. What Happens If You Don’t Repay?
If you don’t make repayments while abroad, your loan balance will grow due to interest.
The SLC may take action to recover the debt, such as hiring debt collection agencies in your new country.
5. Write-Off Policy
Even if you live abroad, your loan will still be written off after the standard time frame (e.g., 40 years after you become eligible for repayments).
Key Takeaways
Moving abroad doesn’t exempt you from repaying your student loan.
Repayments are adjusted to your new country’s income threshold.
​Stay in communication with the SLC to avoid penalties or complications.