There are a growing number of students dropping out of their courses due to financial difficulties. As debt builds up, so does the pressure. Especially if you are still a novice in the world of financial independence.

When students leave home for the first time, they often have very little experience of having to live on a budget. Their loan seems a lot of money when they first receive it, but when you take into account accommodation, food, educational materials and the odd pint - the figures just don't add up!

Many students end up working part-time, with seasonal jobs during the holidays and part-time work during Term time. They have to make choices between work placements that could give valuable experience, enhancing future prospects, or bringing in the biscuits to survive. Financial pressure can place unwanted strains on studies, the amount of bar work they do could amount to the difference between a 2.1 and a 2.2.

Many first year students have the advantage of halls of residence and can really feel the pinch in year two, when they move into private accommodation. Finding an extra £20 per week can really be the difference between sink or swim. Financial strain can place unwanted pressure on studies.

TOP TIPS

Budgeting

1. Create a spreadsheet listing every penny! Set essentials such as Gas, Electricity, Water and Telephone in one column. Make a separate column for your wish list - such as Travel, Laundry, Entertainment etc. In the third column list all incomes such as Loans, Grants, Part-Time Work, Holiday Work. Subtract both columns one and two from three. 
2. Once you know how you stand, set yourself a weekly spending limit and do not stray from it. Any extra you spend now you'll only have to make sacrifices later.
3. Make sure you have your loan paid in three instalments to avoid temptation.
4. Avoid credit cards and do not break your overdraft. These will cost you additional amounts through interest and charges. 
5. Select a bank account that offers the lowest charges and largest amount of interest-free support. Don't be fooled by the offer of free record vouchers.
6. As soon as you receive your loan or grant place £100 into an account where you do not have a cash card. (This is your Last resort). You will have to physically queue to get this money.
7. Get a copy of Student Money Matters published by Trotman. 

Sensible Living

1. Share meals with friends and house mates. Buying in bulk always saves money.
2. Have a kitty within the household to cover shopping bills.
3. Make up your own meals, ready meals are much more expensive in the long-run.
4. Delia's "How to Cook" is normally good for a few ideas.
5. Don't be tempted to use the corner shop, this will only increase your overall outlay.
6. Eat lots of high energy foods such as Pasta, Rice and Potatoes. 
7. Look out for cheap student offers mid-week. Restaurants in university towns are especially likely to have special offers.
8. Use the Student Union canteen facilities to get a reasonably priced meal.
9. Buy course books from second-hand shops or from students in the year above.
10. Remember to sell yours!
11. Get a Bike!! Cheaper than public transport and far healthier.
12. If you find yourself sinking, then don't panic!! Don't be frightened to talk to a welfare officer or someone at the Student Union who's used to dealing with these matters. 
13. Speak to your bank and keep them in the know. They're less likely to send you a nasty letter (and levy charges) providing you talk to them. Many universities have access funds for general cases of hardship. These can provide loans of up to £250 based on individual circumstances.
14. In stressful times you should keep focused on your overall aims. You're improving your prospects of getting a well paid career and this will allow you to enjoy an improved standard of living in the future. 

     

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