How to save as a student

Whether you’re studying full or part-time, there may be a grant or a free course to help. They’re dependent on your circumstances so it may not be easy to get one, but there’s certainly no harm in trying.

Educational Grants Advisory Service: This offers students, especially disadvantaged ones, guidance and advice to help secure funding for education and training. Its site, part of Family Action, has a searchable database of over 30 educational trusts.

Scholarship search: There are some nifty search tools on the Scholarship Search and Student Cash Point websites, including bursaries, scholarships and award funding for students. You’ll be surprised at what’s available! Some are very specific – aimed at specific religions, locations, parental occupations and many more.

Don’t get the ‘spend it before it goes’ bug When loan cash arrives, it’s all too easy to celebrate with a big blow-out. It may be tempting, but don’t do it. The time for this is the end of term, when you’ve managed your money and know you’ve got some spare, not the beginning, leaving you short and struggling for months.

Get the biggest 0% overdraft student account Go for the biggest 0% overdraft deal possible. Most students will need an overdraft while at uni, so make sure you aren’t charged for it. Aim to get the biggest amount that will last as long as possible.

Never go over your overdraft limit. This is a lifelong rule. Go beyond your limit and charges shoot up, leaving you in a vicious cycle that’s tough to escape.

Beware: you will be credit scored. When you apply for any debt product, including an account with an overdraft, the lender will credit score you to decide how desirable a customer you are. See the Credit Rating guide for more.

Don’t base your choice on the closest branch or ATM. You can withdraw cash free of charge from any bank’s ATM and almost every bank offers online access. So which branch is nearest has little relevance for most able-bodied students. To compare, just examine what’s on offer and go for the best deal.

Don’t just go for the one with the best freebie. Calculate the value of the freebie, and then compare that account’s overdraft with the best on offer. Would the interest charged on the difference be more than the cost of the freebie?

You’ll need to apply for any overdraft increases. Students must apply for overdraft increases on certain accounts, even where the guaranteed max rises each term or year. See the MSE News story for full info.

Don’t get the ‘spend it before it goes’ bug

When loan cash arrives, it’s all too easy to celebrate with a big blow-out. It may be tempting, but don’t do it. The time for this is the end of term, when you’ve managed your money and know you’ve got some spare, not the beginning, leaving you short and struggling for months.

Don’t base your choice on the closest branch or ATM. You can withdraw cash free of charge from any bank’s ATM and almost every bank offers online access. So which branch is nearest has little relevance for most able-bodied students. To compare, just examine what’s on offer and go for the best deal.

Don’t overpay tax on summer jobs

If you work over the summer to keep you afloat between uni terms, make sure you’re paying the right amount of income tax. If you earn less than £9,440 a year, you shouldn’t pay any tax.

Find the cheapest gas & elec to save £100s

If you aren’t living in halls, it’s likely you’ll have to pay for gas and electricity on top of rent

Ensure parents pay their share

Your parents may decide to give you money to help while you’re at uni, if they can afford it. But for most, the amount of maintenance loan you get depends on their parents’ income; those who come from wealthier homes get a smaller loan.

Bag free office software

If you’re kitting out a laptop, PC or Mac for uni, you can save on software by downloading the legit free equivalents.

Split your train tickets

This is the big trick everyone should know. Instead of buying tickets for the whole journey, bizarrely, buying separate tickets for its constituent parts can slash the price – even though you’re on exactly the same train.

Not all debts are the same

It’s easy to think “I’ve got to get a student loan, why not borrow a little more?”. But you need to understand how special student loans are.

Don’t use payday loans to make ends meet

High street stores advertising payday loans have sprung up nationwide, promising quick cash loans until you get paid. Yet interest rates are exorbitant, and while the actual cost of borrowing once may be manageable, a common trick’s to roll debts over from week to week – until it snowballs to epic proportions

Source: Money Saving Expert