The Postgraduate Loan Almanac
An informative read into all and everything you need to know about the Government Postgraduate Loan.
In this article, we aim to answer the most frequent questions about the Government Postgraduate Loan. We know thousands are searching every day and scrambling to find reasonable answers to questions such as:
- Am I eligible for the Postgraduate Loan?
- Is my course eligible for a postgraduate loan?
- Are part-time courses eligible for the government master’s loan?
- Is a distance learning course eligible for a postgraduate loan?
- How much is the postgraduate loan in England, Scotland, Wales, or Northern Ireland?
- Is there a maintenance loan for postgraduates?
….and many more. We hope our research below gives you straight and clear answers.
The UK Government Loan for Postgraduate Studies, introduced in 2016, is continuing to be a very positive force for postgraduate education. It’s been a helping hand to hundreds of thousands of students (UK residents only after 31st December 2020) in achieving their educational aspirations.
This is not, however, a one-size-fits-all-loan. The eligible amount, payment, and repayment terms vary based on your residence (England, Wales, Scotland, Northern Ireland), age, and current or prior educational attainment.
If you are under 60 on the starting date of your course, you may qualify for a Master’s Loan. You’ll also need to be up to date with your payments on previous loans you have taken from Student Finance and not be receiving another type of government student finance loan at the same time. If you already have a Master’s qualification or a similar or higher level, you will not be eligible for the government loan.
Borrowing limits and the usage of the borrowed amount vary across England, Wales, Scotland, and Northern Ireland. The important criterion here is your residency and not where you are going to study.
England
In England, the maximum amount you can borrow is £11,222 if your course starts after the 1st of August 2020. Over the past three years, this amount has increased. It is paid in three equal instalments (for courses less than 12 months), directly to your bank account around the start of each term (depending on your application timing). It’s your responsibility to budget for tuition fees and/or living expenses. Given the wide variation in postgraduate course fees, the loan may fully cover expenses for some but only partially for others, requiring financial planning and alternative funding sources to bridge the gap.
For courses lasting longer than 12 months or on a part-time basis. Student Finance England distributes payments in equal instalments based on the extended duration. The time duration limits rules set by Student Finance England allow for a maximum course duration of 2 years if the course is full-time, 4 years if it is part-time (and in case no more than twice the duration of the equivalent full-time course) and exceptionally 3 years for a part-time course where a full time equivalent does not exist.
Finally, if you are eligible for a postgraduate loan from Student Finance England you need to apply within 9 months of the first day of the last academic year of your course. Although this gives you wide flexibility it is always best to plan and sort your finances early.
Scotland
In Scotland, the rules are quite different. You must apply by the 31st of March 2021 for courses that start(ed) in 2020 otherwise SAAS will not pay your tuition fees. And if your course lasts more than a year you need to apply for each year individually.
The Scottish Government has separate tuition and maintenance loans and there are different eligibility criteria for each one. Tuition fees, with a maximum of £5,500, are directly paid to the University, not to you. For part-time or multi-year courses, fees are divided accordingly. The maintenance or living-cost loan is only available exclusively for full-time courses. Eligible students can borrow a maximum of £4,500 for a one-year course or £2,250 per year for a two-year course.
There is a wide variety of course titles that are eligible (MSc, MRes, MPhil, MLitt, MBA) and surprisingly the PgDip is also eligible where in almost all cases this is not an eligible qualification for Student Finance England. Students are eligible to borrow from SAAS for courses in England, Wales and Northern Ireland. However, they also have to provide proof the specific course is not available in Scotland.
Another major difference regards previous qualifications of a similar standard. In Scotland, you are eligible for a tuition fee loan if you have previously gained a postgraduate qualification. However, you must provide proof that you have not had assistance from the UK or other EU public funds. If you had assistance you may still be eligible for the living-cost loan.
Wales
Residents of Wales are eligible for the highest amount possible under a grant and loan combination of £17,489. The maximum grant amount, not subject to repayment or interest, is £6,885, mainly determined by your household income.
You need to apply only once (irrespective of the length of your course) and the application deadline is again 9 months from the first day of the last academic year of your course. As we have previously mentioned – it is always better to apply early. In Wales, you have the added benefit of not needing a confirmed place at a university or college to apply. If you change your course, you can update your course details later. Similar to England, the money is paid directly into your bank account and you have to sort the tuition fees to the University or College yourself.
Northern Ireland
In Northern Ireland, Student Finance NI follows a similar approach to SAAS in some areas. The postgraduate government loan aims to assist with your tuition fees and is paid directly to the University on your behalf. PgDip and PgCert are also eligible courses of study and you can borrow up to a maximum of £5,500. If your course tuition fees are less, then the loan amount will be capped at that level and you can not request the maximum amount.
