As students across the UK are starting university, new research has shown that 11% of student will spend their entire term’s student loan with the first two weeks of term and more than half 51% spend it all before the end of term.
So what should you do if you do run out of money?
Firstly, stop spending. Obviously you still need to eat, but take a long hard look at what the money has gone on and where you can cut your expenses.
1. Scholarships & Bursaries
Firstly, go to your University Student Money Advisor. They will be able to tell you if there are any Hardship Funds or other financial support which will be able to help you.
You should also look for scholarships, grants and bursaries on our database. These are given for all sorts of reasons, including financial hardship so it is definitely worth checking out to see if you are eligible for any of them. And don’t forget to think about charities and trusts too, which often give money for educational purposes.
2. Find a part time job
Many students now work part time while studying as the loans rarely cover all your expenses. If you are not lucky enough to get additional financial support from your parents you will most likely need to find a job, but try not to take on too many hours or night time shifts as you will still need to study and attend lectures and that could be hard after a night shift in a fast food restaurant.
3. Learn about money management
If you have run out of money, it is possible that you need to learn about budgeting and how to manage the money you do have more effectively. This is an important lesson to learn early in life and if this is your first time away from home, taking responsibility for you money, you will be advised to get to grips with it earlier rather than later.
4. Student overdrafts
Many of the student bank accounts offer free overdraft facilities up to a certain amount. If necessary, you can take advantage of this as it will not cost you anything, but make sure you will be able to pay it off before you go over the agreed limit, otherwise you will start to pay interest of what you have borrowed.
5. BEWARE of credit cards and short term loans
Do not be tempted by a short term loan or putting money on your credit card. The interest you will be charged on these is more than any overdraft and soon starts to build up, so you will have to find even more money to pay it off.
6. Borrow from friends and family
Borrowing money from friends and family means that you won’t be charged interest (hopefully!) and it removes some of the worry, but asking can be difficult and often causes arguments if you don’t have the money to pay them back when they want it.
Don’t let money worries get you down. Talk to someone. If you are worried about money it can take a serious toll on your mental health, so always speak to someone. There are always solutions.