Money Matters by University of Sussex Students' Union

Contents Introduction

SECTION 1: 1.1 1.2 1.3 1.4

Managing your money Get organised Draw up a budget Budget template Balance your budget

4 4 4 7 8

SECTION 2:

Top 10 money saving tips

SECTION 3: 3.1 3.2

Additional sources of income Additional funding available from the University Additional funding from outside the University

16 16 19

SECTION 4: 4.1 4.2 4.3 4.4 4.5 27

Working Working whilst studying Finding work National Minimum Wage Income tax and national insurance Your rights as a worker

23 23 24 25 25

SECTION 5: 5.1 5.2 5.3 5.4 5.5

Welfare benefits and tax credits Non means-tested benefits Means-tested benefits Means-tested benefits and student income Tax Credits Tax Credits and student income

28 28 39 31 33 34

SECTION 6: 6.1 6.2 6.3 6.4

Banking and financial products Bank accounts Other financial products Common problems to avoid Jargon buster

35 35 37 39 41

SECTION 7: 7.1 7.2

Changes in circumstance 44 Changes that might affect benefits, tax credits & student income 44 Transferring, withdrawing, taking time out and repeating 45

SECTION 8:

Financial difficulties and debt

SECTION 9:

Useful contacts

This booklet was produced by the University of Sussex Studentsâ&#x20AC;&#x2122; Union Advice & Representation Centre in August 2010. Whilst every effort was made to ensure that the information in this booklet was correct at the time of publication, no liability can be accepted for omissions, inaccuracies or subsequent legislative changes.

INTRODUCTION Welcome (or welcome back) to Sussex and the new 2010/11 edition of Money Matters! As you will no doubt have realised, money matters a lot when you’re a student. Some of you may have just left home and are now having to manage your own finances for the first time. Others of you may have arrived having been more accustomed to managing your money but are perhaps not used to living on such a low income. Still others of you may have been at Sussex a while but are still struggling to get to grips with your finances and constantly juggling things around in an effort to get by. Whether you’ve just started your course or have already been here a while, managing your money whilst studying presents some unique challenges. The cost of living at Sussex is high and the current economic climate has brought about huge increases in the cost of food and many other essentials making it even more expensive to live here and yet the majority of students have to survive on a very limited budget. This booklet, produced by the Students’ Union at the University of Sussex, aims to provide information on a whole range of money-related issues including: • • • • • • • • •

Managing your money whilst living on a limited income Additional sources of income that you may be able to secure Money saving tips Banking and financial products What to do if you get into financial difficulties

The information given in this booklet is aimed at ALL students at Sussex whether you’re full or part-time, an undergraduate or postgraduate and whether you are a UK, EU or an international student. Whilst most of the information provided is relevant for all students some sections are aimed at specific groups – these should be clearly identified. Whilst we hope you will find the information contained in this booklet useful, remember that it is only intended as a brief guide so please contact the Advice & Representation Centre if you require more detailed information. Good luck! The University of Sussex Students’ Union Advice & Representation Centre

SECTION 1 Managing your money It’s not easy trying to get by on what for most of you is probably a very limited income, especially if you’ve never been taught how to handle money or if you’ve never had to live on such a low income before. Struggling to make ends meet, juggling payments and worrying about whether you can afford something you really need can leave you feeling really stressed out. With careful budgeting and planning though it is possible to get your finances under control and manage your money effectively for the duration of your studies. This section should provide you with the basics you need to start the process.

1.1 Get organised

Before you can get on top of your finances you need to get organised – you’re ever going to be able to keep track of your money if all your financial papers are randomly stacked together, left unopened in their envelopes or even worse, thrown away! Keeping your financial papers in order as you go along will help you feel more in control, make it far easier to locate paperwork that you might need later (if for e.g. you decide to apply for an overdraft or need to make an insurance claim) and save you time in the long run. Examples of financial papers that you may need to keep could include: • • • • • • • • •

Student income papers - financial notification letters, payment schedules, bursary award letters etc. Benefit and tax credit papers – award letters, calculation sheets etc. Statements – bank, credit cards, store cards etc. Bills – gas, electricity, water, phone, TV licence etc. Housing documents – tenancy agreement, mortgage statements etc. Insurance papers – buildings, contents, life, travel etc. Car documents – tax, MOT, insurance etc. Work documents – pay slips, P60s etc. Travel & immigration documents – visa, passport, health cards etc.

Take some time now to sort through your papers and file them (in date order) in separate folders. You can buy cheap folders from the Students’ Union shop or ask around your school to see if any of the school staff have some old ones they don’t need. And remember, try to file things away in the right place as they come in rather than piling them all up to ‘do later’.

1.2 Draw up a budget

Once you’ve got your paperwork in order the next step is to draw up a budget. Drawing up a budget is absolutely vital if you’re going to get to grips with your money as it’s the only way that you can work out how much money you can afford to spend and check that you are not over-spending. Having a budget allows you to directly compare the amount of money that you have coming in with all the things you have to pay for like rent, food, travel costs and bills. It also allows you to quickly see if there’s any shortfall between your

income and expenditure that you need to address, any sources of income that you could add or increase as well as any areas of expenditure that you could or should reduce. Having a budget is also crucial if you are going to apply for anything like an overdraft as well as being useful when it comes to working out how much you can afford, if any, to put aside towards savings. All in all, having a budget is the best way that you can take control of your finances rather than letting your money (or lack of it!) control you. Drawing up a budget is not difficult but it does take time if it’s going to be accurate. Using the blank template budget sheet in section 1.3 follow these 5 basic steps: Step 1: List all your income sources List every source of income that you have in the 1st column of the budget sheet. Remember to include things such as your student income, your wages from part-time work, interest earned on any savings, any money your parents give you and any benefits or tax credits you receive. Step 2: List the total amount you receive for each income source and the period over which it is paid In the 2nd column of the budget sheet, list the total amount that you receive from each income source and the period over which it is paid. For example, a Maintenance Loan is paid over 38 weeks (the academic year) whereas your wages are probably paid weekly or monthly, whilst benefits and tax credits could be paid weekly, fortnightly or every 4 weeks. Step 3: Calculate your weekly income Convert each source of income into a weekly amount and list this in the 3rd column of the budget sheet. You may wish to refer to a calculation sheet (available to download from the publications section of our web pages) when you do this. Once you have done this, add all the figures up to find out what your total weekly income is and enter this figure at the bottom of the weekly income column. NB The budget sheet included in this booklet is for a weekly budget but you might prefer to draw up a monthly budget instead, that’s entirely up to you. Whichever way you choose though, make sure you stick to it - putting a weekly figure on a budget where all your other figures are monthly is a common but disastrous mistake as it will completely throw all your other figures. Step 4: List everything that you spend money on List everything that you spend money on in the 4th column of the budget sheet. Remember to include things like toiletries, course books/equipment, cleaning products, haircuts, Christmas and birthday presents, newspapers/magazines, cigarettes, holidays, meals out and take-aways as well as your more obvious expenditure such as rent, food, utility bills and travel. Step 5: Work out your weekly expenditure Work out what your weekly expenditure is for each item and enter it in the 5th column of the budget sheet. You may wish to refer to a calculation sheet again when you do this. For items that you don’t spend money on regularly, such as haircuts and presents, you may need to work out what you normally spend in total on each item in a year and then

convert this figure to a weekly amount. For example, if you normally have 2 haircuts in a year at a cost of £30 each, you spend £60 in total per year. Divided over the 52 weeks in a year, this works out to a weekly cost of £1.15 (60 ÷ 52 = 1.15). Once you have done this, add all the figures up to find out what your total weekly expenditure is and enter this figure at the bottom of the weekly expenditure column. If you are not sure how much you spend and need some help working your expenditure out, you might want to try keeping a spending diary for a while (at least a month if possible) so that you can work out how much you spend on items that are not fixed and regular. This is useful for working out how much you spend on things like magazines, eating out, socialising and travel where the amount you spend probably varies from week to week. Use a note pad with a different page for each day and list everything that you spend money on and how much it cost. Once you’ve kept your spending diary for a while you can start working out how much you actually spend on things by adding up the total amount you spent on each item over the period you kept your diary, dividing this total by the number of days you kept the diary for (to get a daily amount), multiplying this figure by 365 (to get a yearly amount) and then dividing this figure by either 12 (to get a monthly amount) or by 52 (to get a weekly figure) depending on whether you are using a monthly or weekly budget.

1.3 Budget template

Source of income

Total amount and period over which paid

Weekly amount

Weekly total

Items of expenditure

Weekly amount

1.4 Balance your budget

Once you have drawn up your budget, compare your total income to your total expenditure. If your expenditure is higher than your income, you will need to take steps to balance your budget. Have a look at some of tips below: Check you’re getting everything you’re entitled to and look into other ways to increase your income 1. Check that you’re not missing out on anything you’re entitled to – (e.g. statutory student support, welfare benefits, tax credits) and check that you’re getting paid the correct amount – check what you might be entitled to on our webpages and/or speak to one of our advisers 2. Look into other ways to increase your income such as part-time/vacation work, tax rebates, ALF awards, grants from trusts/charities, scholarships/bursaries etc – see section 3 for more ideas Find ways to reduce your expenditure and avoid money drains 1. Try to find ways to cut down on what you spend such as applying for help with your health costs, using your NUS card to get discounts, taking advantage of student travel discounts, making your own lunch rather than buying it on campus and taking advantage of shop loyalty cards/multibuy offers etc – see section 2 for more ideas 2. Avoid common money drains such as credit/store cards (high interest rates), going over your agreed overdraft limit (bank charges) or running up expensive mobile phone bills because you’re not on the most appropriate tariff – see section 2 for more ideas Work out your priorities and ensure that you have set aside money to cover these first 1. Make sure that you have enough money set aside in your budget for the basics (food, shelter, warmth, light and health) 2. Identify what else is most important to you (e.g. course fees, books/equipment for your course etc) and allocate money for these next 3. Only allocate any remaining money in your budget to other items once you have completed steps 1 and 2 Organise your payments • Set up direct debit payments for your essential expenditure wherever possible so that you don’t forget to pay them • Spread payments as much as possible so that they are little and often; or • Make payments that tie in with when you receive your income (e.g. pay your term’s rent when your Maintenance Loan arrives) Stick to your budget and spend sensibly 1. Be disciplined and stick to your budget 2. Take responsibility for your money and don’t expect family/friends to bail you out if you run short (remember that they have financial responsibilities too) 3. Try to only take out what cash you need/can afford and then don’t take out any more. 4. Make lists when you go shopping and stick to them, try to avoid ‘impulse’ spending 5. If you do go over your budget, make sure you amend your budget for the following

week(s) to take account of your overspend 6. If you find that you need to spend less on an item of expenditure than you have budgeted for - donâ&#x20AC;&#x2122;t increase your expenditure just for the sake of it or blow the money on something else, put the money aside into a savings account so that you will always have some money set aside for emergencies, for unexpected expenditure and for treats Regularly review your budget 1. Monitor how easy you find it to stick to your budget and amend it accordingly 2. Check that there is nothing you have missed out of your budget 3. Remember to draft a new budget whenever your circumstances or priorities change

SECTION 2 Top 10 money saving tips 1. Ask yourself whether you actually need to buy something Before you buy anything ask yourself “Do I really need it or do I just want it?” - the difference is crucial when you haven’t got much money! If you do really need to buy something, check whether it’s something you can borrow (for e.g. from a friend or family member), get secondhand cheaply from a charity shop or from the classified ads (see the Friday Ads at www.friday-ad.co.uk/ or the University’s Small ads at www.sussex. ac.uk/students/newsandevents/smallads/) or even for free (see tip 2). 2. Get stuff for free You can get all sorts of free things from clothes to computers, sofas to saucepans and books to baby equipment on sites such as Greencycle Sussex (www.uk.groups.yahoo. com/greencyclesussex) and Snaffleup (www.snaffleup.co.uk/) whilst also helping to stop usable items from going to landfills. Or why not try swapping something you no longer need for something you want? Have a look at the Gumtree swapshop at http://brighton.gumtree.com/brighton/brightonswapshop_3047_1.html The Freegans also have lots of ideas on ways to live without spending much money. Mainly known for their ‘skip diving’, Freegans have lots of other ideas on ways to live more cooperatively in a less consumerist way. Have a look at Wikipedia (en.wikipedia. org/wiki/Freeganism) for more information and useful links. 3. Make use of discounts & vouchers Use your NUS card to get discounts and savings on clothes, haircuts, books, cinema, food etc. Don’t wait to see if a student discount is offered – ask! For even more discounts, buy the NUS Extra card for £10. Make the most of travel discounts such as the ISIC card, the Student Saver bus ticket & Unizone train tickets – have a look at our Travel Discounts leaflet for more information (available to collect from our Information Area or to download from the publications section of our website) Look out for online and printable vouchers and discount codes on sites such as Money Saving Expert (http://www.moneysavingexpert.com/deals/discount-vouchercodes) and VoucherCodes (www.vouchercodes.co.uk/). 4. Shop around for the best deal Spend more time looking for bargains rather than buying everything in one place or in the first place you go. Try to buy things in the sales and make use of any offers, discounts or vouchers (see tip 3).

Find the cheapest shops – ask your friends (and anyone else) for their recommended shops for getting stuff cheap or have a look on the money noticeboard in our Information Area. Make use of comparison sites to help you compare the cost of all sorts of items such as mobile phones, insurance, gas and electricity suppliers, internet connection, food and even flights. Have a look at Money Saving Expert (www.moneysavingexpert.com/) for tips on what to look for and links to the best comparison sites. 5. Reduce your food costs Cook your own food – ready meals and shop-bought sandwiches cost loads. If you can’t cook, have a look at www.studentrecipes.com/ for lots of cheap and easy to prepare recipes or take out some cookery books from your local library and have fun learning! Bring your own food and drink to campus – bringing a packed lunch and your own bottle of water/flask of tea or coffee to campus will save you a surprising amount of money each week. Generally, it’s cheaper to buy food from a supermarket rather than small shops but there are exceptions (for e.g. markets are often cheaper for fruit and vegetables) so it’s still worth shopping around. If you are using a supermarket: • Shop around for the best deal - use comparison sites such as Tesco’s price comparison guide (www.tesco.com/pricecheck/) and MySupermarket (http:// www.mysupermarket.co.uk/) to see which supermarket offers the cheapest food • Make a list and stick to it rather than impulse buying. Try to plan what meals you’re going to have for a week rather than buying on a day to day basis • Work out how much you can afford to spend and don’t spend more – consider taking a calculator with you to add it all up as you go round or try to keep a running total in your head • Don’t shop when you’re hungry – you’ll buy more than you need • Check the reduced items shelves for food being sold cheaper because it is close to its sell-by date – these are often only put out at the end of the day so it might be worth doing your shopping in the evening • Make use of promotional money-off coupons (see tip 3), loyalty cards and multibuy offers • Buy the supermarket’s own or economy label products (e.g. Sainsbury’s Basics, Tesco Value, Asda Smartprice) rather than paying extra for brand names such as Heinz and Kelloggs, there’s often little or no difference in taste but quite a considerable difference in price • Buy unprepared food (e.g. fruit and vegetables that need washing and cutting) rather than prepared food – it’s cheaper as well as having less packaging • Buy food that’s in season, when it’s cheapest Club together with some friends/your housemates and buy together – it’s cheaper to buy in bulk than for just one. It may also be cheaper to buy your food over the internet and split the delivery cost between you.

6. Reduce your gas, electricity and water bills Check to see if you can get your gas or electricity cheaper by comparing the cost of energy suppliers on comparison sites – some will even pay you to switch! Have a look at Money Saving Expert (www.moneysavingexpert.com/index.php) for tips on what to look for and links to the best comparison sites. If you receive an estimated bill, check the meter yourself and let the supplier know so that your bill can be adjusted – this means you’re paying for the energy you actually use and avoids both under and overpayments having to be sorted out later. Spread the cost of paying your bills over the year by setting up a monthly direct debit. Save energy and reduce your bills at the same time! • Turn your thermostat down by 1C (cuts bills by around 10% or £100 a year) and use the timer (if you have one) to set your heating to come on for periods when you most need it rather than leaving it on continuously • Use energy efficient light bulbs (they last 12 times longer than ordinary light bulbs and each bulb could save you £9 a year off your electricity bill) and turn the lights off when you leave a room • Don’t leave appliances such a televisions, stereos and mobile phone chargers on standby • Boil only the water you need rather than filling the kettle completely • Don’t leave the tap running when you brush your teeth • Have a shower instead of a bath • Wait until you have enough laundry to do a full load or use a half load programme on your washing machine • Use a flush-saving device in your toilet. These are usually offered free by your water company and save up to 3,000 litres of water a year • Set your water tank cylinder to 60C • Let food cool to room temperature before you put it in the fridge or freezer • Fit draft proofing to seal any gaps around windows and doors, make sure your property is well insulated and that your hot water cylinder and pipes have lagging • Shut all outside doors and windows and close curtains at night • Check that your boiler and any heaters are safe and in good working order. If you rent, your landlord is legally responsible for ensuring that any gas appliances are checked for safety every 12 months. Your landlord also has a duty to maintain any electrical sockets, wiring and appliances supplied in the property and these should be checked regularly. For lots more energy saving tips, have a look at the Energy Saving Trust’s website at www.energysavingtrust.org.uk. 7. Keep your health costs down Use the NHS – it’s free! NHS (National Health Service) treatment (doctor, hospital, etc) is generally free. However there are charges for prescriptions, sight tests, glasses and dental treatment. If you are under 19, in receipt of certain qualifying benefits, are pregnant or have had a baby in the last 12 months, you will be exempt from some or all of these charges.

Non-UK students: If you are on a course lasting 6 months or more, you are entitled to free medical treatment from the National Health Service (NHS) on the same basis as anyone who is ordinarily resident in the UK. If your course lasts for 6 months or less, we would advise that you take out health insurance unless you come from an EU country or a country with a reciprocal agreement for free health care in the UK. If you’re on a low income, apply for help with health costs such as prescriptions, dental treatment, sight tests and glasses – fill in form HC1 (available to collect from our Information Area or your GP surgery). If you do have to pay for prescriptions however and you need them regularly, consider buying a prescription prepayment certificate. For more information have a look at the NHS Business Services website at www.nhsbsa.nhs. uk/1127.aspx. 8. Get cheap (or free) books Don’t rush out and buy all the suggested books on your reading list, the chances are you’ll never read them again anyhow! At least one copy of every book on your reading list should be available from the library on campus for you to borrow without charge. Many course books will be available to buy cheaply from students who bought them last year – check out the noticeboards around campus and have a look at the University’s Small Ads (www.sussex.ac.uk/students/newsandevents/smallads/) but make sure you buy the correct edition. You can also check to see if any are being sold via the internet – have a look at www.amazon.co.uk. If you absolutely have to buy a book new, consider clubbing together with a few others on your course and sharing it – this will spread the cost but you will need to agree how you’re going to share the book. For non-course books use your local library - visit www.citylibraries.info/libraries/ default.asp and www.eastsussex.gov.uk/libraries/find/default.aspx to find out where your nearest library is. Alternatively, consider swapping your books with others – see www.readitswopit.co.uk for details. 9. Avoid unnecessary fines/costs Return library books/rented DVDs etc back on time to avoid unnecessary fines that can quickly mount up. Beware in particular that unpaid library fines owed to the University can lead to the University taking escalating action against you up to and ultimately including removing you from the University on financial grounds. If you have a TV – get a licence! If you’re caught without one you could be fined up to £1,000. If you buy your TV licence in October and don’t need it over the summer vacation, you can get a partial refund (see www.tvlicensing.co.uk/index.jsp). Don’t try to bunk the train – ticket inspectors travel on the trains and wait at Falmer station regularly and will fine you if you don’t have a ticket no matter how good your excuse! Avoid parking tickets and clamping costs. It’s cheaper (not to mention more

environmentally friendly) not to have a car and Brighton has good public transport and lots of cycle lanes to make it even easier. If a car’s a necessity though watch out for parking restrictions, there’s plenty of them and any fines can escalate quickly if you don’t pay them immediately. Don’t take out any credit or store cards – these have high interest rates, severe penalties if you default and can quickly lead to you being in a situation where you are making large monthly payments that only pay off the interest, leaving your actual debt unpaid (see section 6.2). Don’t go over your agreed overdraft limit – your bank will charge you for doing so and may even remove your overdraft facility altogether and demand that you repay the full amount (see section 6.3). Most full-time students on a course lasting 6 months or more are exempt from paying Council Tax (see the information on Council Tax within the Housing section of our online advice pages for more details). Even if you are liable (or if someone else in your house is) it may be possible to get a discount and/or to claim Council Tax Benefit to help with the cost. Have a look at DirectGov for more information (www.direct.gov.uk/en/ MoneyTaxAndBenefits/BenefitsTaxCreditsAndOtherSupport/on_a_low_income/ DG_10018923) or speak to one of our professional advisers. Protect your money – you wouldn’t leave your wallet or purse lying around for anyone to take your cash but we’re not always so careful with our personal details, bank details and documents that reveal personal details such as your National Insurance number that could be used by others to buy things or to apply for credit in your name. Identity theft is becoming increasingly common but you can help prevent it by keeping all your documents safe (& shredding them or ripping them up into tiny pieces when you no longer need them), never giving your personal or bank details to anyone who requests them by email or responding to scams saying you’ve won the lottery and all you need to do is send your bank details! Check your bank statements regularly to make sure there aren’t any transactions you didn’t make yourself and inform your bank or lender straightaway if there are. 10. Spend sensibly Draw up a budget and stick to it (see section 1.2). Don’t blow all your money in the first week – if you receive money termly, it might seem like a lot when it arrives but it’s got to last you for 3 months so don’t fall into the trap of thinking you’re better off than you are! Don’t impulse buy – wait at least a week and if you still really want it work out how you are going to afford it before you rush out to buy it Avoid the cash point—if the money’s not in your pocket you can’t spend it. Try and take out a set amount for the week and live on that. Avoid taking your bank card with you on a night out – take how much you can afford to

spend (making sure you’ve got enough left to get home) in cash so you can’t overspend by using your card. It’s also cheaper to drink at home before you go out - but drink sensibly. Keep all your receipts in case anything goes wrong – you have a whole range of consumer rights guaranteed by legislation (for e.g. you have the right to buy goods that are safe, of a satisfactory quality, fit for purpose and as they are described by the seller). A receipt acts as a proof of sale and will make it much easier to obtain a refund on anything you buy that turns out not to work. For more information about your rights as a consumer have a look at www.consumerdirect.gov.uk/.

SECTION 3 Additional sources of income This section gives information about additional sources of income that you may be able to secure to supplement your main funding. For information about the main sources of funding that may be available for your course please see our web pages.

3.1 Additional funding available from the University of Sussex Scholarships and Bursaries The Sussex Bursary (Full-time UK undergraduates only): The University of Sussex awards a bursary of £1,000 for each year of the course to all new-system full-time undergraduate home students who are assessed as having a household income below the threshold for the Maintenance Grant or Special Support Grant. This means that, if you are assessed as being eligible to receive the full Maintenance Grant or Special Support Grant, you will also automatically receive a full bursary from the University of Sussex. Please make sure that you do not tick the boxes under the declarations on your PN1 or PR1 application form that prevent the Student Loans Company from sharing some of your information with the University. The University will only be able to pay any bursary to you if it has received confirmation from the Student Loans Company that your assessed household income is below the threshold for eligibility. The Chancellor’s Scholarship (Full-time UK undergraduates only): Up to 200 non-repayable scholarships of £1,000 for each year of your course are available to full-time undergraduate home students whose household income is less than £30,000 pa. The selection criteria favours applicants with little or no family background of higher education who have circumstances of disadvantage The Chancellor’s International Scholarship (International students only): Up to 40 scholarships of £3000 are available each year to new international fee paying students on taught degree programmes at both undergraduate and postgraduate level. Other scholarships: The University of Sussex offers a range of scholarships and bursaries including: • High-flyer scholarships of £1,500 per year for students with high grades in Chemistry, Biochemistry, Informatics, Business, Management and Economics. • Sports bursaries including financial support and free use of sports facilities for talented students who have reached national standard in their chosen sport For information about all the scholarships and bursaries offered by at the University of Sussex, have a look at the funding section of the University’s web pages (www.sussex.ac.uk/study/funding).

The Access to Learning Fund (UK students only) What is it? The Government gives all universities money - called the Access to Learning Fund - every year to help students who need extra financial support because they have higher than expected costs or are facing a financial crisis. Who can apply? All full-time ‘home’ undergraduate and postgraduate students are eligible to apply. Parttime ‘home’ students who are studying at least 50 per cent (60 credits) of a fulltime equivalent course are also eligible to apply. Disabled students can apply to the Access to Learning Fund for help towards the cost of a preliminary diagnostic test and for other disability related costs that are not met through Disabled Students’ Allowances. If you are not attending your course - for example due to health reasons or because of caring responsibilities - and you have not permanently withdrawn from your studies and you intend to return to university after your time out, you can apply for help from the Fund. When and how to apply? If you think you might need to apply for help from the Fund, don’t wait until you have run out of money, as an application can take several weeks to be assessed and payment made. Applications are generally accepted from about week 4 of the Autumn term. Application forms and guidance notes can be obtained from the Student Life Centre and from the Advice & Representation Centre. You can also download forms from the University website or from the Advice & Representation Centre website. Assessing your application The assessment formula is set by the Government nationally. When assessing your application to the Access to Learning Fund, the University will look at your expected income and what the Government considers to be “reasonable” expenditure on living costs, rent, travel and course-related costs (including childcare). You will be expected to have applied for any funding that you are entitled to. In addition, postgraduate students will be expected to demonstrate that you have made adequate financial provision for the duration of your course. If you are facing a financial emergency or there are special circumstances attached to your application, the University will look at this on an individual basis. If you are a single student under 25 without dependants and cannot demonstrate that you have exceptional financial needs you are unlikely to be made an award. Access to Learning Fund awards are not an automatic entitlement and students must provide evidence to show that they are experiencing extreme financial hardship.

Summer vacation payments from the Access to Learning Fund If you are in financial hardship over the summer vacation you may be able to apply for a payment from the Access to Learning Fund if: • You have not yet finished your course; and • You have little or no income from any other source and are unable to work for all or part of the summer period due to childcare responsibilities, medical reasons or because you are repeating/re-sitting exams. Applications can be submitted at any time. Please be aware however that during summer vacation applications may be delayed if staff are on leave, or on rare occasions the Fund may be closed if funds have been spent. If you are claiming means-tested benefits such as Income Support and Housing Benefit you will be treated as possessing any student funding from the 1st day of the 1st complete benefit week in September in your 2nd and subsequent years even if you don’t actually receive it until the beginning of term, and consequently your entitlement to benefits such as these will be reduced. Therefore you could have a severely reduced income during September. You can apply to the Access to Learning Fund for additional financial support if this will leave you in hardship. For further information about benefits and tax credits please see Section 5. Alumni Hardship and Opportunities Fund (All students) This is a small fund available to students who are experiencing unexpected financial difficulties. The fund is open to both undergraduate and postgraduate students. Awards are usually up to a maximum of £500 and can be either grants or loans. Applications are assessed on individual needs but priority is given to students in their final year who have experienced an unexpected disruption in their funding and where an award will enable them to complete their course. The Fund can also offer support to disabled students to enhance their experience at Sussex. This could be by, for example, providing funding towards the cost of specialist equipment needed to take part in clubs and societies. The Fund can only offer additional assistance to students experiencing financial difficulty and is NOT able to provide the main source of funding for a course. To apply, contact either Sara Dyer or Liz Akerblom in the International and Study Abroad Office at international@sussex.ac.uk. Your application will then be assessed by the Student Funding Team, which is located within the Student Life Centre in Chichester I. UK students applying to the Fund must have first applied to the Access to Learning Fund (see above).

Bridging Loans (UK students eligible for statutory funding only) Bridging loans are short term loans designed to assist students who are in a temporary crisis situation. All loans must be repaid in full. Bridging loans are for a maximum of £200 if you live in University-owned accommodation or £400 if you live in private rented accommodation, and are designed to tide you over if you have applied for but not yet received your Maintenance Loan. Applications should be made in person through the Student Funding Team (which is located within the Student Life Centre in Chichester I) and loans should be repaid as soon as you receive your Maintenance Loan payment. Vice Chancellor’s Loans (All students) These are short-term interest-free cash loans of up to £100* from the University to assist you if you are in financial crisis. You can apply for a VC loan if : • • •

You are registered with the University You are not in debt to the University (e.g. fees, rent , large library fines etc) You have repaid previous VC loans (except in exceptional circumstances)

You will generally be expected to repay the VC loan from your next Maintenance Loan payment (if you are eligible for one) or as soon as is reasonably possible. Failure to repay a VC loan can lead to the University taking action against you to recover the debt. To apply, contact the Student Funding Team in the Student Life Centre, Chichester I. *Exceptionally, loans above £100 can be made.

3.2 Additional funding from outside the University Welfare benefits In general if you are a full time student, unless you have children or an Illness or disability, you will not be eligible for any welfare benefits until you graduate or formally withdraw from your course. If you are currently in receipt of any means-tested benefits, these are likely to be affected by any funding you receive. Part-time students may be eligible for welfare benefits as long as you satisfy all the qualifying criteria. For further information about welfare benefits please see Section 5. Tax credits Depending on your circumstances, you may be eligible to apply to HM Revenue and Customs for Child Tax Credit and/or Working Tax Credit.

Child tax credit If you are responsible for a child or children under 16 (or under 20 and in full- time nonadvanced education or approved training) you may be eligible for Child Tax Credit. Working Tax Credit If you are responsible for a child or children and are working at least 16 hours per week, OR if you do NOT have children but are 25 or over and work at least 30 hours per week, OR if you are 16 or over and work at least 16 hours per week and have a disability then you may be eligible for Working Tax Credit. For further information about tax credits please see Section 5.4. Working Most students will have to undertake paid work whilst studying at university in order to supplement their income. Depending on your circumstances, you may choose to work during vacations only or you may also work part-time during term-time. The University of Sussex has a Careers and Employability Centre (formally CDEC) in Falmer House. The Careers and Employability Centre has lists of job vacancies as well as offering help and advice on topics such as writing CVs and interview skills. Have a look at their website for more information about how they can help: www.sussex.ac.uk/ careers/. Information and advice on finding work and details of current vacancies can also be found on the Direct Gov site at www.direct.gov.uk/en/Employment/index.htm. For further information about working (including information on paying tax and National Insurance, the National Minimum Wage and visa restrictions for non-UK students) please see Section4. Student bank accounts Most high street banks offer student accounts with a range of incentives to attract your custom although these are usually only open to UK students. The advantage of student bank accounts is that they offer interest free overdraft facilities, though these are not automatic and need to be requested. Banksâ&#x20AC;&#x2122; terms and conditions do vary, as do the particular student packages they offer. When deciding which bank to open an account with try to ignore the cash incentives and freebies- hard as that may be! Instead find out how big an interest free overdraft they offer and what happens to the overdraft once you graduate. Have a look at Money Saving Expert (www.moneysavingexpert.com/com/banking/ Student-bank-account) for more information about student bank accounts, for tips on how to choose an account and for a comparison of the major student bank accounts currently on offer. For further information about banking and financial products please see section 6.

Professional and Career Development Loans (PCDLs), Professional Studies Loans and other bank loans Professional and Career Development Loans (PCDLs) are bank loans that can be used to help pay for work related learning. You can borrow between £300 and £10,000 to help support the cost of up to two years of learning (or three years if it includes one year’s relevant unpaid practical work). The Young People’s Learning Agency will pay the interest on the loan while you are learning and for one month afterwards. The loan can be used to pay course fees or other costs such as travel and living expenses. You can also use the loan to supplement other forms of support such as grants or bursaries. Because the Professional and Career Development Loan is a commercial loan product, they should only be considered as an option once all other student funding options have been investigated. For further information on financial assistance to support your learning, please visit the Direct Gov website (www.direct.gov.uk/en/EducationAndLearning/ AdultLearning/DG_96) or contact Careers Advice on 0800 100 900. The University of Sussex’s Learning Provider Registration Number is 8432. PCDLs are NOT generally available for full-time undergraduate study. Some other high street banks offer similar delayed repayment loans called Professional Studies Loans or Professional Trainee Loans to students on certain (usually vocational) courses. For more information have a look at www.prospects.ac.uk/bank_loans.html. To compare different loan packages have a look at www.moneyfacts.co.uk/compare/ loans/graduate-package/. You may also be able to negotiate a loan with your own bank although this is not recommended because of the usually high interest rates that apply and the serious consequences involved in failing to keep up with repayments. Please note: PCDLs and Professional Studies Loans are commercial bank loans and high interest rates often apply. Strict penalties apply where the terms and conditions of the loan are not adhered to. Any bank loan should only be considered if you have no other source of funding and cannot delay starting your course. The Advice & Representation Centre does NOT recommend that you take out any bank loan. Educational Trusts and Charities There are a number of educational trusts and charities who may be able to offer additional financial help to students who are in severe financial hardship or who have particular circumstances (for e.g. students with a disability/illness or who have dependant children). The eligibility criteria for these organisations is very strict and is usually very specific to gender, age, course, nationality and disability. Awards are usually only small and there is a lot of competition for the funding that’s available. The Advice & Representation Centre has a PC in our Information Area with a programme called ‘FunderFinder’ on it, which you are welcome to come and use. You do not need to make an appointment to use Funderfinder. Funderfinder will ask you a series of questions about your personal circumstances and then try to match your answers to the eligibility criteria of the organisations in its database. You can then print out a list of any trusts or

charities it has identified. You can also have a look in The Educational Grants Directory (a book listing the details of most organisations offering funding for educational purposes) â&#x20AC;&#x201C; a copy is available in the Advice & Representation Centre for reference use only. Online search facilities are also offered by the Educational Grants Advisory Service (www. family-action.org.uk/section.aspx?id=1037) and The Association of Charitable Foundations (www.acf.org.uk/trustsandfoundations/?id=74). If you owe money for a water, gas or electricity bill and you are currently supplied by Southern Water, EDF Energy or British Gas you may be eligible to apply to a trust fund set up to help customers in financial difficulties to clear their arrears. For more information, have a look at the relevant website: Southern Water Trust Fund www.swtf.org.uk/ EDF Energy Trust www.edfenergytrust.org.uk/ British Gas Energy Trust www.britishgasenergytrust.org.uk/

SECTION 4 Working 4.1 Working whilst studying

The chances are that most of you will need to find a job to supplement your income at some point during your studies. Depending on your circumstances you may decide to work throughout the year (parttime during term-time and full-time during the vacations) or you may be able to earn enough from working during the vacations that you don’t need to work during term-time. How much and when you work will also depend on your course and how many hours a week you can realistically work without unduly affecting your studies – the University recommends that you don’t work more than 15 hours per week in paid employment during term-time but for many students it’s a necessity to work more in order to afford to study. Non-UK students will also need to check whether you are allowed to work, whether you need to register to work and whether any restrictions apply to the number of hours or type of work that you can undertake:

European Econonic Area (EEA) and Swiss nationals: All EEA(the EEA is composed of the countries in the EU, plus Norway, Iceland and Liechtenstein) and Swiss national students can work in the UK. However A8 nationals (nationals of the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Slovakia or Slovenia) might need to register your work under the Worker Registration Scheme. You can start work without any special documents, and there are no restrictions on the type of work you can do or your hours of work, but you have to apply to register in your first month of work. There is a £90 fee for this application. A2 nationals (nationals of Bulgaria and Romania) might be subject to the Worker Authorisation Scheme. If you are in the UK as a student, this means you might have to apply for a registration certificate as a student before you can start work. Any employment is limited to 20 hours a week in term time, but you can work full time in your holidays and on work placements, and for up to four months after your studies end. This application is free.

International students: Check what your passport sticker (entry clearance or residence permit) or identity card says. If you are in the UK with student immigration permission and your identity card says “Restricted work, p/t term time, f/t vacations” or your passport sticker says “Work (and any changes) must be authorised” or “Able to work as authorised by the Secretary of State”, you are allowed to work during your studies. If your passport sticker or identity card says “No work”, you must not work in the UK. This would be a breach of your immigration conditions, which is a criminal offence. If you are in the UK and you have entry clearance

(a visa) that makes it clear you are here as a student but you have a “no work” condition, you can make an immigration application to change your condition to allow you to work. If you have student immigration permission which you applied for on or after 31 March 2009, under Tier 4 of the Points Based System of immigration, you can work up to 20 hours a week (in some cases up to 10 hours) during term-time and full-time during your holidays. You can work full-time on a work placement but only if your course meets certain requirements. If you have student immigration permission that was granted before 31 March 2009 (or which you applied for before 31 March 2009 and which was granted on or after that date) that allows you to take employment, you can work up to 20 hours a week during term-time and full-time during your holidays, a work placement which is part of a sandwich course, or an internship. You can do most kinds of work, but you must not engage in business, be selfemployed, provide services as a professional sportsperson or entertainer, or pursue a career by filling a permanent full-time vacancy. This applies whether your immigration permission is granted before or on or after 31 March 2009. If your immigration permission does not allow you to work, this means that you must not undertake paid or unpaid employment, including work placements which are part of your course. This can include voluntary work. For further information about working in the UK contact the University’s International & Study Abroad Office (www.sussex.ac.uk/International/) or visit the UK Council for International Student Affairs website at www.ukcisa.org.uk.

4.2 Finding work

Once you’ve decided you need to find a job and you know how many hours you want/ need/are allowed to work, the next step is finding a job. For many of you this might involve working in typical ‘student’ jobs such as bars/clubs, hotels/restaurants or shops/ retail outlets as these tend to offer hours that are fairly easy to fit around your course but there are lots of other types of jobs out there and it’s worth considering whether you can find a job that complements your studies or which will provide an opportunity to learn new skills. The University of Sussex has a Careers and Employability Centre (formally CDEC) in Falmer House. The Careers and Employability Centre has lists of job vacancies as well as offering help and advice on topics such as writing CVs and interview skills. Have a look at their website for more information about how they can help: www.sussex.ac.uk/ careers/. There are also lots of local employment and recruitment agencies (do a web search and you’ll find loads) as well as national websites such as Fish4Jobs (www.fish4jobs.co.uk) where jobs are advertised. Many jobs will also be advertised in local papers such as The

Argus (www.theargus.co.uk) and the Sussex Express (www.sussexexpress.co.uk). Information and advice on finding work and details of current vacancies can also be found on the Direct Gov site at www.direct.gov.uk/en/Employment/index.htm.

4.3 National Minimum Wage

Since 1 April 1999 most workers in the UK aged 18 or over have been protected by minimum wage legislation, which means that employers are obliged by law to pay their workers a national minimum hourly wage, regardless of where they work, the size of the firm or the worker’s occupation. This was extended to workers aged 16 and 17 from October 2004. All workers (although there are some exceptions) are entitled to be paid at least the National Minimum Wage (NMW). This includes part-time workers, workers on short-term contracts, casual workers, agency workers and people from overseas who are working in the UK so the chances are that if you get a job you are entitled to be paid at least the NMW. The NMW is fixed at different rates for certain groups of workers, depending on your age:

Type of NMW

Hourly rate of NMW From 01.10.09

Hourly rate of NMW From 01.10.10

Workers aged 22 or over

£5.80

£5.93

Workers aged 18-21 inclusive

£4.83

£4.92

Workers aged 16 and 17

£3.57

£3.64

For more information about the NMW, or for advice on what to do if your employer is not paying you at least this amount, contact the Pay and Work Rights Helpline on 0800 917 2368.

4.4 Income Tax and National Insurance

Under UK law there are certain deductions employers have to make from employees’ wages. These include tax and national insurance. As a student you have to pay both income tax and national insurance in the same way as anyone else working in the UK. How much (if anything) you have to pay depends on how much you earn and your tax status e.g. whether or not you have any special allowances. Income Tax Everyone can earn or receive an amount of income in each year before paying tax. This is called the personal allowance and is currently £6,475 per year in the 2010/11 tax year for single people under 65. If your income is below your personal allowance during the tax year you will not have to pay any income tax.

A tax year starts on 6 April in one year and ends on 5 April in the next. If you have paid tax throughout the year but your total income was not, or is not likely to be, as much as your personal allowance you may be able to claim a refund. Ask your local tax office for a repayment claim form (a P50) or download one from HM Revenue and Customs website (www.hmrc.gov.uk). If you think your total taxable income for the whole tax year is likely to be less than your personal allowance you should mention this to your employer when you start work and ask for a P46 form (if it’s during term-time) or a P38(S) form (if it’s during vacations). Fill in and sign the form before giving it back to your employer to complete. Your employer should then pay you without deducting tax. If any tax is deducted your employer will refund it to you later. However, if your total income turns out to be more than your personal allowance after all you will have to pay tax on the difference between the two amounts so beware! NB: If you have more than one job at the same time, you should contact your local tax office to get a different tax code for your second job. National Insurance Contributions (NICs) If your gross pay is more than a certain amount each week your employer will also deduct national insurance contributions (NICs) from your pay. NICs are important for UK nationals because they entitle you to certain contributory benefits and count towards your pension but all workers, including non-UK workers, must pay them depending on how much you earn. If you are earning below what’s called the ‘lower earnings limit’ (£97 per week for the 2010/11 tax year) no NICs will be deducted from your pay. If you earn above the lower earnings threshold but less than what’s called the ‘primary threshold’ (£97-£110 per week in the 2010/11 tax year) you won’t actually have to pay any NICs but your contributions record will be credited with contributions as if you’d paid them. NICs will be deducted from your pay however for any gross earnings between £110.01 and £844 per week. All UK nationals are automatically allocated a National Insurance (NI) number at 16 (as long as Child Benefit has been in payment). If you are a non-UK student who is working in the UK there is no requirement to have a NI number before you start work however once you have a job, you will need to apply for one. To apply, ring 0845 600 0643 (Mon - Fri 8am - 6pm). It will take some time for your NI number to be allocated to you but in the meantime your employer can set up a temporary NI number. NB: If you have more than one job, you will pay NICs on both jobs (unless both jobs pay less than the lower earnings limit; i.e. £97 per week, in which case you will not pay any NICs). For further information about income tax or National Insurance Contributions, have a look at the section of the HMRC website specifically for students (http://www.hmrc.gov.uk/ students/) or contact your local tax office.

4.5 Your rights as a worker

Employment law provides most workers in the UK with a whole host of rights designed to protect you in the workplace. These include rights such as the right not to be discriminated against on the grounds of sex, race, disability, sexual orientation, age, religion or belief or gender reassignment, the right to paid holiday and limits on the number of hours you can be required to work. You can get information on what your employment rights are from our website, the Direct Gov site at www.direct.gov.uk/en/Employment/index.htm, the Citizens Advice site at www.adviceguide.org.uk/index/life/employment/basic_rights_at_work.htm and the Work Smart site at www.worksmart.org.uk. You can also speak to one of our professional advisers if you think you are being treated unfairly at work or have any other employment-related problems.

SECTION 5 Welfare benefits and tax credits Welfare benefits and tax credits are payments made by the government to certain individuals, couples and families in order to provide a level of income appropriate to their needs. Benefits and tax credits may be paid to people who are unemployed or on a low income, to people who are responsible for a child or children, to people with a disability or who are unable to work due to ill-health and to people with caring responsibilities amongst others. Non-UK students: Most non-UK students do not qualify for welfare benefits or tax credits either because you do not satisfy the residence and presence conditions and/or because you are subject to immigration control. There are some exceptions to this however â&#x20AC;&#x201C; have a look at the UK Council for International Student Affairs information sheet on welfare benefits (www.ukcosa. org.uk/student/info_sheets/welfare.php) or speak to one of our professional advisers for information. The legislation surrounding entitlement to benefits and tax credits is vast and complicated and you should speak to one of our professional advisers for more information if you think that you may be eligible or are worried about how being a student will effect your current entitlement. If you are in receipt of benefits before starting your course, you must inform the relevant office(s) when you become a student. It is always best to do this in writing and to keep a copy of your letter. Failure to inform the relevant office could lead to an overpayment being made which may be recoverable; deliberate failure to inform the relevant benefits office may be classed as fraud. Have a look at the information in this section for an overview of who may be eligible to claim and some of the main issues relevant for students:

5.1 Non means-tested welfare benefits

Non means-tested welfare benefits are benefits that are paid to people who meet the qualifying criteria. Entitlement is not based on income and no income-assessment is undertaken in order to determine eligibility. Being a student does not generally affect your entitlement to non means-tested benefits (although see Carers Allowance and Jobseekers Allowance below) and any student income you receive will not affect the amount of benefit you receive. The main non means-tested benefits that students may be eligible to receive are: Child Benefit â&#x20AC;&#x201C; paid to people who are responsible for a child or qualifying young person

Disability Living Allowance (DLA) – paid to people under 65 who have care and/or mobility needs (i.e. people who have difficulties looking after themselves or communicating or who pose some sort of risk and/or who find it difficult to get out and about) as a result of a disability or illness. This is a common benefit for students with both physical and mental health needs to claim. Attendance Allowance – paid to people aged 65 or over who have attention or supervision needs as a result of a disability or illness. Carers Allowance - paid to people who provide regular and substantial (at least 35 hours per week) care for someone who is severely disabled. You cannot receive Carers Allowance if you are a full-time student. Contributions-based Employment and Support Allowance – paid to people who have ‘limited capability for work’ who are not entitled to Statutory Sick Pay and who satisfy certain national insurance contribution conditions Contributions-based Jobseekers Allowance – paid to people who are unemployed (or who do not count as being in full-time employment) who satisfy certain national insurance contribution conditions. You cannot generally receive Jobseekers Allowance if you are a full-time student except during the summer vacation in certain circumstances. Although being a student should not affect your entitlement to any non means-tested benefits (with the exception of Carers Allowance and Jobseekers Allowance for fulltime students) in itself, you do still have a duty to inform the relevant office(s) when you become a student. It is always best to do this in writing and to keep a copy of your letter.

5.2 Means-tested welfare benefits

Means-tested benefits are payable to certain groups of people who are on a low income. In addition to meeting the usual qualifying criteria for a means-tested benefit you must also undertake an income assessment to determine whether or not you are eligible. In general, full-time students are not usually eligible to claim means-tested welfare benefits. Part-time students and certain groups of full-time students are however sometimes eligible. Full-time students Although most full-time students are not entitled to claim any means-tested benefits, certain groups may be able to make a claim for some means-tested benefits depending on your individual circumstances. The main non means-tested benefits that students may be eligible to receive are: Income Support – paid to people on a low-income who do not have to be available for work (for e.g. lone parents with young children) Income-related Employment and Support Allowance - paid to people on

a low income who have ‘limited capability for work’ and who are not entitled to Statutory Sick Pay Housing Benefit/Local Housing Allowance – paid to people on a lowincome who are liable to pay rent Pension Credit – paid to people on a low income who are aged 60 or over As a general guide, you may be able to claim one or more of these means-tested benefits if you: • • • • • •

are a lone parent have a partner who is also a student - and one or both of you are responsible for a child have a disability, and qualify for the disability premium or severe disability premium are in receipt of Disability Living Allowance have been treated as incapable of work for a continuous period of at least 28 weeks are 60 or over

If you have a partner who is not a student and they’re eligible for any means-tested benefits, your partner can claim on behalf of you both. You may be able to claim income-based Jobseeker’s Allowance during the summer vacation if you: • •

are a lone parent and you’re not eligible to claim Income Support; or you have a partner who is also a full-time student and one or both of you is responsible for a child or young person

However you must satisfy the usual qualifying conditions to claim Jobseekers Allowance and must demonstrate that you are “available for” and “actively seeking” work. You may also be able to claim both Jobseekers Allowance and Housing Benefit/Local Housing Allowance if you’re waiting to go back to a course, having taken approved time out for a period of up to one year because of an illness or caring responsibility that has now come to an end. Part-time students Part-time students can apply for any of the means-tested listed benefits above if you’re on a low income and meet the usual qualifying conditions for those benefits. In addition part-time students may be eligible to claim Council Tax Benefit (to help meet the cost of your Council Tax bill) and income-based Jobseekers Allowance at any point during the year subject to satisfying the usual qualifying conditions. However part-time students claiming Jobseekers Allowance should be aware that these conditions include that the claimant must be “available for” and “actively seeking” work. If your hours of study clash with the times that you have agreed with the DWP that you are available for work, you will only be accepted as available for work if either:

• •

you are able to rearrange your hours of study; or you are willing and able to give up the course should a job become available

The rules surrounding students and entitlement to means-tested benefits are complex, and whether you can get any means-tested benefits will depend on your personal circumstances. Even if you belong to a group which is eligible for means-tested benefits, this doesn’t necessarily mean you’ll get them – your student income may be too high (see section 5.3).

5.3 Means-tested benefits and student income

The way that any student income is treated for benefits purposes is complicated and confusing. For information about how your student income is treated for tax credits see Section 5.5. Please note that the following information applies only to means-tested benefits such as Income Support and Local Housing Allowance/Housing Benefit. Non means-tested benefits (such as Child Benefit and Disability Living Allowance) are not generally affected by your student income. If you are unsure whether the Department for Work and Pensions or local authority have assessed your benefit entitlement correctly please come and speak to one of our professional advisers. Maintenance Loans Your Maintenance Loan will be treated as income for means-tested benefits. However, part of your loan will be disregarded: for 2010/11 a notional amount of £693* for travel, books and equipment will be ignored as well as a further £10 a week. The remainder of your loan will then be divided over the period starting 6 September 2010 until 3 July 2011 (approximately 43 weeks). However in your first year of study your benefits will not actually start to be reduced until the day you start your course. * This amount may change when the amending regulations are laid (due sometime in September 2010). Please check our webpages for the latest rate. During July and August your loan will not be treated as income. Your benefits entitlement may therefore increase or you may be able to make a fresh benefits claim if your Maintenance Loan income was previously too high to claim benefits. However, when you enter your second or any subsequent year of study, you will be treated as if you have received your Maintenance Loan from the 1st day of the 1st complete benefit week in September prior to the start of term despite the fact that you will not actually receive your loan until term starts. As a result, you may experience financial difficulties for that period between the 1st week in September and the start of term. You should try to budget for this period in advance so that you have some money with which to pay for your essential expenditure until you receive your Maintenance Loan and any grants. You may also apply to the Access to Learning Fund for assistance during this period but please ensure you make your application in good time (see Section 3.1).

Please note that even if you choose not to take out a Maintenance Loan the Department for Work and Pensions (DWP) and local authority will treat you as possessing the maximum loan to which you are entitled and reduce your benefits entitlement accordingly. Maintenance Grant and Special Support Grant Any Maintenance Grant you receive will be treated as income for benefits purposes and will be counted in full over the period starting 6 September 2010 until 3 July 2011 (approximately 43 weeks). However, if you have an underlying entitlement to meanstested benefits (i.e. if you meet the qualifying criteria for entitlement to means-tested benefits such as Income Support or Housing Benefit) and/or if you are eligible for a disability premium, you should be awarded the Special Support Grant rather than the Maintenance Grant (see our webpages for more information about this). Any Special Support Grant that you receive will NOT count as income for benefits purposes. Adult Dependants Grant Any Adult Dependants Grant you receive will be treated as income for benefits purposes and will be counted in full over the period starting 6 September 2010 until 3 July 2011 (approximately 43 weeks). University of Sussex Bursaries If you are awarded one of these bursaries it will NOT be counted as income for benefits purposes as long as it is awarded for course-related costs rather than for ordinary living costs. Your bursary award letter should specify this and you are advised to provide the relevant benefit office(s) with a copy. Postgraduate Research Council Awards, Social Work Bursaries and Teacher Training Bursaries Any amount awarded that is specifically intended to pay for your tuition fees or childcare costs will be ignored but any amount awarded to cover your living costs will generally be counted as income for benefit purposes in full and will be apportioned over the number of benefit weeks in the period over which the award is payable (generally 52 weeks). Professional and Career Development Loans Any amount paid that is specifically intended to pay for your tuition fees will be ignored but any amount paid to cover your living costs will be counted as income for benefit purposes in full and will be apportioned over the number of benefit weeks in the period over which the loan is payable Other student income Most other forms of student income are disregarded for benefits purposes. For further information about how student income is counted for benefit purposes or to check whether your entitlement has been correctly assessed, please speak to one of our professional advisers.

5.4 Tax credits

Tax credits are administered by HM Revenue and Customs and are covered by separate legislation to welfare benefits. They are still payments made by the government however to provide a certain level of income to low and middle-income families and working adults. Being a full-time student will not in itself affect your eligibility for tax credits, providing you still meet all the relevant qualifying criteria. There are two different tax credits, Child Tax Credit and Working Tax Credit and depending on your circumstances you may be eligible to claim either or both. Child Tax Credit If you are responsible for a child or children under 16 (or under 20 and in full time nonadvanced education or approved training) you may be eligible for Child Tax Credit. This is paid in addition to Child Benefit and the amount you receive depends upon you and your partner’s income, the number of children you have and whether any of your children have a disability. Child Tax Credit can be paid whether you are in work or not. If you receive the full Child Tax Credit, you will also be entitled to free school meals for your children. From 6 April 2004 no amounts for children are included in new claims for Income Support and income-based Jobseeker’s Allowance, and claimants will therefore need to apply for Child Tax Credit for their children. People with children who were already on Income Support or income-based Jobseeker’s Allowance prior to 6 April 2004 will gradually have the child part of their claim transferred to Child Tax Credit. This process is known as ‘migration’. People will be transferred at different dates, but will be paid amounts for children in their benefit up to the point that they are transferred. Working Tax Credit You may be eligible for Working Tax Credit if you fall into any of the following groups: • • •

you are responsible for a child or children and are working at least 16 hours per week; or you do not have children but are 25 or over and work at least 30 per week; or you are 16 or over and work at least 16 hours per week and have a disability

The amount you receive depends upon factors such as you and your partner’s income, whether you or your partner have a disability and whether you or your partner work more than 30 hours a week. You can also claim help with childcare costs in certain circumstances, although not if you are receiving help towards your childcare costs through the student funding system (i.e. the Childcare Grant).

5.5 Tax credits and student income

The majority of student loan and grant income is disregarded when calculating entitlement to tax credits: only the Adult Dependantsâ&#x20AC;&#x2122; Grant and any part of a Professional and Career Development Loan paid for living costs will be taken into account as income. For further information about tax credits, please speak to one of our professional advisers or have a look at the HMRC Tax Credits website at www.hmrc.gov.uk/Taxcredits/.

SECTION 6 Banking and financial products 6.1 Bank accounts

Most of you probably already have a bank account but if not, now’s the time to open one! Bank accounts are pretty much a necessity nowadays, besides being a safer place to keep your money than under your mattress, you’ll need a bank account if you’re getting any money paid to you (for e.g. student funding, wages, money sent from abroad etc) or if you need to make regular payments to others (e.g. for rent and utility bills). It’s a good idea to shop around for a bank account – spend some time finding one that offers the features you need most whilst you’re studying rather than just sticking with your current bank or opening an account with the first bank you find. There are 2 banks on campus (HSBC and Barclays) but you can usually withdraw cash from any bank’s holein-the-wall (ATM) cash dispenser without charge and most enquiries can be dealt with either online or by phone so there’s no need to bank with these 2 just because they’re on campus. There are two types of bank account for managing everyday money: a basic bank account and a current account. Some banks also offer accounts specifically for students called student bank accounts. Most banks and building societies also offer savings accounts, which usually pay more interest than current accounts. Credit unions offer an alternative to banks and building societies as a place to keep your savings as well as offering (usually low-interest) loans for people who have a poor credit rating and are unable to borrow elsewhere. Basic bank accounts Basic bank accounts offer the ‘basics’ only. With a basic bank account you can pay money in, get cash out using a cash card, pay in cheques or cash free of charge, and set up ‘direct debits’ which pay regular bills automatically from your account. You don’t get a cheque book with a basic bank account, and you can’t take out more money than is in the account (‘go overdrawn’) so you can only spend money if there’s enough in your account. Basic bank accounts are good accounts to have if you’ve got a poor credit rating and are unable to open an account with an overdraft facility. They are also good accounts to have if you are worried about overspending – as you simply can’t spend what you haven’t got with one of these accounts. Current accounts Current accounts have more features than basic bank accounts and usually allow you to borrow money from the bank (in the form of an overdraft). They usually offer: •

cheque book and a cheque guarantee card (acts as a ‘guarantee’ so makes cheques more widely acceptable)

• • • • •

debit card - allows you to pay for things without using cash as well as to withdraw cash from the (ATM) cash dispensers direct debits - automatic bill payments direct from your account standing orders - regular set payments from your account to someone of your choice BACS (Bankers’ automated clearing service) - the facility to accept payments directly into your account (for e.g. wages from your employer), or for you to make one-off payments to someone else out of the account overdraft facility - the bank may allow you to go overdrawn up to a certain amount; but you need to arrange this in advance and charges may apply unless you have a student bank account (see below). You pay extra charges if you go overdrawn without an agreement

Some current accounts pay interest on money you leave in the account, but the rate is usually low. Student bank accounts Student bank accounts are current accounts aimed specifically at students. They usually offer all the same features as current accounts but also offer an interest-free overdraft facility (meaning you don’t get charged for being within your agreed overdraft limit) for the duration of your course and for a period afterwards (to allow you time to clear any overdraft you’ve built up after you finish your course before you start being charged for being overdrawn). Student bank accounts are usually free to UK students, indeed most usually offer a range of incentives to try and entice you (for e.g. free travel insurance, railcards, cinema tickets etc). Try to ignore the freebies on offer and concentrate instead on comparing how big an interest-free overdraft is on offer and how long the overdraft remains interest-free once you graduate. Non-UK students: There are only a few banks that will offer student bank accounts to non-UK students and these usually require you to make a large cash deposit in order to open the account as well as having to pay monthly fees. For more information about opening a bank account see www.ukcisa.org.uk/ student/bank_account.php. For more information about student bank accounts, for tips on how to choose an account and for a comparison of the major student bank accounts currently on offer have a look at the Money Saving Expert website (see www.moneysavingexpert.com/com/banking/ Student-bank-account). Savings accounts Banks offer a wide range of savings accounts. The main differences between them are how quickly you can get at your money, the minimum amount required to keep the account open and the type and rate of interest paid. It’s a good idea to have a savings account as a place to keep money aside and to provide you with an emergency fund to dip into when you really need it. Even if you are on a very

limited income, try to put just small amounts into a savings account whenever you can and youâ&#x20AC;&#x2122;ll be surprised how quickly it will add up. For information about basic bank accounts, current accounts and savings accounts, including what to look for when choosing an account, have a look at the Consumer Financial Education Body (CFEB) Money Made Clear website at www.moneymadeclear. org.uk. Credit Unions Credit unions offer a local, ethical alternative to banks and building societies. They are owned and run by their members, for their members and membership is usually offered on the basis of having a common bond, for e.g. living or working in a specific area. Credit unions aim to help you take control of your money by encouraging you to save what you can. Once you have a reliable record as a saver, you can apply to borrow money from them but they will only let you borrow what you can afford to repay. Credit unions may be a good option for you if you have a poor credit rating and have found it difficult to open an account with a bank or building society. There are two local credit unions: East Sussex Credit Union: www.eastsussexcu.org.uk/ City of Brighton and Hove Credit Union: www.communigate.co.uk/sussex/cbhcu/ You can also find more information about credit unions in general at the Association of British Credit Unions Limited (ABCUL) at www.abcul.org/.

6.2 Other financial products

In addition to bank accounts, there are a whole host of other financial products such as mortgages, life insurance, pensions, loans and credit cards. For information about what these are, how they work and how to choose the right one for you, have a look at CFEBs Money Made Clear website at www.moneymadeclear.org.uk. In the meantime, have a look below for a brief summary of some of the main financial products used by students: Credit cards A credit card is a form of borrowing. You can apply for one from a bank, building society and some high street stores and supermarkets. If you are issued with one your card issuer will set you a credit limit (the amount you can borrow), which is the maximum amount you can spend on your credit card. Banks are often keen to offer credit cards to students when youâ&#x20AC;&#x2122;re opening a student bank account with them (often offering additional free gifts and other incentives) but whilst they may seem tempting it really is best to avoid them at all costs. Unless you pay off the full balance (i.e. pay back all the money you have spent on the card) each month you will be charged interest on the amount remaining. Interest rates vary but are usually extremely high and it is all too common for people to run up debts on credit cards that they cannot repay. These debts then spiral out of control as interest is added to the

increasing amount that you have been unable to repay. You will also run up additional charges if you make late payments or go over your agreed credit limit. Late or missed payments can affect your credit rating and can harm your chances of obtaining other credit in the future. Even only a few missed payments can result in the card issuer taking recovery action against you including the use of debt collection agencies and the threat of county court action. Store cards These are very similar to credit cards but tend to charge even higher rates of interest and can generally only be used in a particular store or group of stores. All the same problems as with credit cards apply and it is again best to avoid them at all cost. Personal loans Personal loans are another form of borrowing. You borrow a fixed amount and pay it back with interest over a certain length of time (usually one to five years). A personal loan may seem like a good idea if you are running out of money as they appear to provide an instant ‘solution’ but it really is best to steer clear of them completely. Interest rates can be fixed or variable but unless you have a secured loan (which is also not recommended as the asset the loan is secured on, usually your home, is at risk if you don’t keep up with repayments), the interest rate is likely to be extremely high. You will also run up additional charges if you make late payments. Late or missed payments can affect your credit rating and can harm your chances of obtaining other credit in the future. Even only a few missed payments can result in the lender taking recovery action against you including the use of debt collection agencies and the threat of county court action. Contents insurance Insurance is a way of protecting yourself and your belongings. There are lots of different types of insurance (for e.g. medical/health, life, buildings, contents, mobile phone and car insurance etc) but most people will not need insurance for all of these. Contents insurance covers loss or damage to the contents of your home (for e.g. computer equipment, clothes, jewellery etc) in the event of an adverse incident such as a fire or burglary. If something happens your insurer will pay out an agreed amount, or the amount needed to make good any damage/cover any repairs. Whilst it is true that nothing bad may happen, contents insurance is a way of protecting yourself just in case it does – it’s certainly far cheaper to pay for insurance than to replace all of your belongings if they were stolen or destroyed in a fire. As a result, this is one financial product we do actually recommend! The amount you pay for insurance will be based on the information you give the insurance company and you will usually pay either a sum for the whole year or smaller amounts at regular intervals (normally monthly). When purchasing insurance, remember that it’s vital that you give the insurance company the correct information as incorrect information might affect or even invalidate your claim. Contents insurance policies normally last for

1 year, at which time you can either renew your policy or shop around for a better deal with a different insurer. Always compare what’s covered by a policy as well as the price – some might be cheaper but not offer the same level of protection. For more information and links to comparison sites have a look at the Money Saving Expert site (www.moneysavingexpert.com).

6.3 Common problems to avoid

Sadly every year we see students experiencing problems related to either their bank accounts or other financial products. Most of these problems can however be avoided as long as you are aware of the common pitfalls to avoid. Included below are some of the most common problems encountered and how to avoid them: Being refused a bank account When you apply for a bank account (or indeed any kind of credit) the bank will do what’s called a ‘credit check’. They will usually work out your ‘credit score’ by asking you a series of questions and check your ‘credit history’ with a credit reference agency. Unless you know that you have a poor credit history (if for e.g. you know that you’ve had debts, missed payments or made late payments to companies you owe money to in the last few years), the most common reason for failing a credit check is that you have not registered on the electoral roll. To register you need to contact Electoral Services in your local council. Information for residents in Brighton can be found at www.brighton-hove. gov.uk/index.cfm?request=b1000098. Residents of Lewes should look at www. lewes.gov.uk/council/450.asp. You might also fail a credit check though because your credit file holds inaccurate information about you so it’s worth checking to see whether what’s on your credit file is correct. Download a copy of the booklet ‘Credit Explained’ from www.ico.gov. uk/upload/documents/library/data_protection/practical_application/credit_ explained_leaflet_2005.pdf or have a look at CFEB’s Money Made Clear website (www.moneymadeclear.org.uk) for more information about credit ratings and how to obtain a copy of your credit file. If you do have a poor credit history and/or continue being refused a bank account, you can usually still open a basic bank account (see section 6.1 for details). Being charged interest and charges Bank accounts: If you go over your agreed overdraft limit you will be charged interest and possibly also additional charges (check the small print of your contract with the bank to find out when and how much they will charge). You will also be charged for any transactions that you tried to make (successfully or not) once you were beyond your agreed overdraft limit. Keep a close eye on your bank balance so that you don’t go over your overdraft limit by mistake. If you’re getting close to your limit, try asking your bank for a temporary extension to your overdraft. If they refuse, seek advice about what else you might be able to do and in the meantime try not to spend anything. Credit/store cards: Unless you pay off the full amount that you owe on your card each

month you will be charged interest on whatever’s left. The only real way to avoid this is not to take out a credit card at all or, if you do, to always pay off the full balance each month. Some companies do offer temporary 0% interest deals (usually only for 6 months) so you could consider transferring your balance to a card that offers one of these deals. Whilst this will buy you a bit of time to try and pay off what you owe, you will be charged interest on whatever remains as soon as the deal ends. You will also be charged for any late or missed payments so try to ensure you make all your payments on time. Bank threatening to withdraw your overdraft facility and/or close your account: This is usually either as a result of persistently exceeding your agreed overdraft limit (see above) or because of account inactivity. Account inactivity usually arises where someone opens more than 1 student bank account (in order to take advantage of multiple interest-free overdraft facilities), has taken their balance up to the overdraft limit on an account but is getting their student income paid into a different account. The terms and conditions of most student bank accounts require you to have your student income paid into that account so you have little defence against this situation if it arises. It is therefore advisable not to open more than 1 student account – in addition to ensuring that you are abiding by the terms and conditions of that account (by not paying your student income into another account) this will also prevent you from getting into more debt from the use of multiple overdrafts. If you do have more than 1 student account however ensuring that even small regular credits are made into an account will usually ensure the account remains active and hopefully therefore prevent the banks from acting in the first instance. Bank account frozen due to suspicious account activity: Banks are required to report any suspicious account activity to the Serious Organised Crime Agency (SOCA) who can freeze a bank account whilst they investigate. One of the things banks are told to look out for and report is large unexpected cash deposits. This has been an issue in the past for some international students who have been unable to open a bank account in the UK until their arrival and have subsequently brought large amounts of cash into the UK to deposit in a UK bank once they’ve managed to open an account here. Apart from the obvious risks involved in carrying large amounts of cash when you’re travelling, making a large cash deposit into a UK bank account that you’ve just opened could trigger a suspicious activity report. This can be avoided by either opening an account in your home country with a large multinational bank so that you can use their ATMs (cash machines) in the UK to access your money or by opening a bank account as soon as you get to the UK but ensuring that you can access money whilst you wait for the account to be active (this can take several weeks) by using travellers cheques, your home country credit card or a cash card. Non-UK students: For information about the different ways to transfer money to the UK (for e.g. international money orders, electronic transfers and telegraphic transfers), have a look at the International Students’ Handbook, available to download from the International and Study Abroad Office (www. sussex.ac.uk/International/)

Your bank transfers money from your current account without your permission or knowledge to pay off a debt (‘Setting Off’): If you have credit cards, loans or a mortgage with the same bank that you have your bank account with and you fall behind on any payments, your bank can take money from your current account (without permission and usually without your prior knowledge) to meet those payments. This is known as ‘setting off’ and is being increasingly used by banks where students have fallen behind on credit card or loan payments. The main problem with this is that by taking money from your current account to pay off debts, you may be left with insufficient funds in your account to pay your rent, buy food, pay for a train ticket home etc. In addition, if there’s insufficient funds left in your account after the bank has ‘set off’ to cover any direct debts, standing orders, cheques or recent card transactions that have not yet left your account, you could also be left with interest and bank charges. The only way to avoid this problem is to ensure that you don’t have credit cards, loans or a mortgage with the same bank that you hold your bank account with. If you already do then consider opening a new account with a different institution and transferring your current account there. Your original bank won’t then be able to set off money from your current account to pay off any debts you owe them for other financial products. You’ve received a letter from a debt collection agent acting on behalf of your bank or card issuer: If you have fallen behind on payments to your card issuer or failed to repay money demanded by your bank one of the options open to them that they commonly use is to get debt collection agents involved (either in-house or an external company) to try and recover the money. The only way to avoid receiving letters from debt collection agents is to ensure that you keep up to date with your card repayments and stick to the terms and conditions of your bank account (for e.g. stay within your agreed overdraft limit). If you’ve already received a letter from a debt collection agent however (or if your bank or card issuer has been sending you letters threatening to take recovery action against you) don’t ignore it - seek advice! In the meantime, see section 8 for some general advice on how to deal with debts and pick up a copy of our booklet ‘Dealing with Debt: A helpful guide for Sussex students’ (available to collect from our Information Area or to download from the publications section of our webpages).

6.4 Jargon buster

Confused by all the language used by banks, card issuers and other financial institutions? You’re not alone! Have a look below for some of the most common terminology used and brief explanations of what they really mean: Assets – Things that you own, for e.g. a home, a car etc APR (Annual Percentage Rate) – The actual amount (including interest and any charges) that you will pay over the course of a year. The smaller the APR the better

Credit – Money borrowed that you will have to pay back Credit card – A card used to borrow money or to buy goods or services on credit. The card allows you credit which you must then repay to the lender (your card issuer) monthly. Credit check – A search of your history of borrowing (your credit history) carried out by a creditor before they decide whether to lend you money Credit reference agency – An organisation that collects information about your credit history and holds it on file (your credit file) Creditor – Someone you owe money to Debit card – A card issued by your bank used to buy goods and services using money that’s actually in your bank account. You can also use it to withdraw cash. Debt – Money you owe Direct debit – An instruction you give to your bank or building society to make regular payments directly from your account to a creditor. The creditor can vary the amount from month to month. Default – When you fail to meet repayments that were due Gross income – The full amount of money you earn before any income tax or national insurance is deducted Guarantor – A person who guarantees that they will make any payments if the person borrowing the money doesn’t Interest – Money that you earn on money you keep in a bank account OR money you pay for borrowing money Interest rate – The amount of interest paid or charged Loan – Money borrowed from a lender that you agree to repay over a period of time Minimum payment – the smallest amount you can pay back towards the money you owe on your credit card Net income – The amount of money you actually get paid (your ‘take-home pay’) after income tax and national insurance deductions Overdraft – A form of borrowing. An arrangement with the bank which allows you to withdraw more money from your account than you actually have in that account Secured loan – A loan where the lender can sell the secured asset (usually your home) if you don’t keep up with repayments

Standing order – An instruction you give to your bank or building society to make regular payments directly from your account to a creditor. Unlike a direct debit, the creditor cannot vary the amount Unpaid balance – the amount you still owe Unsecured loan – a loan that is not linked to your assets Utilities – Essential services such as gas, electricity and water VAT (Value Added Tax) – A government tax added to the price of most products

SECTION 7 Changes in circumstances Sometimes your circumstances might change during your course. For example, you might move in with a partner, have a baby, start receiving some money you weren’t getting before or take time out from your course amongst many other things. Depending on your individual circumstances, any of these changes might affect your finances. If your circumstances change whilst you are at Sussex, speak to one of our professional advisers to see how this might affect your finances. In the meantime, have a look at the information in this section for an overview of the kinds of changes that might affect you and how these changes might affect your finances:

7.1 Changes of circumstance that might affect welfare benefits, tax credits and student income

If your circumstances change, your new circumstances may well affect your entitlement to any student funding you receive. Your entitlement to any welfare benefits or tax credits you currently receive may stop, or the amount you are entitled to receive may change. You may even become entitled to money you weren’t eligible to receive before. Changes that might affect how much money you are entitled to (please note that this list is not exhaustive): • • • • • • • • • • • • • • •

Getting married or moving in with a partner If you stop living with someone Moving house or moving abroad Having a new baby, starting to look after a child or if a child moves out of your home Becoming ill or disabled If you are no longer ill or disabled Turning 25 or 60 Starting work, receiving a pay rise or changing jobs Stopping work, changing your hours or receiving a pay cut Taking in a lodger or boarders If you stop receiving any money you were getting, or the amount changes If you start receiving any money from a different source that you weren’t receiving before If you take time out from your course, return after a period away or need to repeat a period of study Starting or transferring to a new course Leaving a course

You have a legal duty to inform the relevant benefit office, local authority or HMRC of any changes in your circumstances that might affect your entitlement to benefits or tax credits. Failure to do so could result in you not receiving money to which you are entitled or receiving an overpayment that will need to be repaid. If you deliberately fail to report

a change in your circumstances you will be treated as if you have committed fraud. If you’re prosecuted for fraud you could be fined or even sent to prison. You also have a duty to inform whoever assesses your entitlement to any student funding of any changes that might affect your entitlement or the amount you are eligible to receive. Failure to do so can result in you not receiving money to which you are entitled or receiving an overpayment that will need to be repaid. If you are overpaid you may find that future payments are reduced or even that you are not entitled to any further payments until the overpayment has been repaid in full. If you deliberately fail to report a change in your circumstances you may be treated as a ‘person unfit to receive support’ or even investigated for fraud. If you’re prosecuted for fraud you could be fined or imprisoned. When informing any official body of a change in your circumstances it is always best to do so in writing and to keep a copy of your letter. International students: Changes to your circumstances may also have implications for your visa. If your circumstances change you should seek advice from the International and Study Abroad Office (www.sussex.ac.uk/ International/) or from the UK Council for International Student Affairs (www. ukcisa.org.uk/) to find out what, if any, implications this might have for your visa.

7.2 Transferring, withdrawing, taking time out (intermitting) and repeating

Some students decide to withdraw from university, transfer to another course, take time out (intermit), or have to repeat all or part of their course. The funding implications of these decisions can be serious and you should be aware of them in order to make informed choices should you need to. If you are considering transferring, withdrawing or taking time our from you course, or if you need to repeat any part of your course, have a look at the academic section of our online advice webpages and come and speak to one of our professional advisers before making any decision. We can advise you about the implications of your decision for your student funding, your fee liability, how you will support yourself if your funding stops, whether you can apply for discretionary funding, to the Access to Learning Fund or for any other sources of support, how to deal with any overpayments and your entitlement to future funding. We can also advise you on any other issues that may be related (for e.g. your housing situation, your Council Tax liability or your benefit claims).

SECTION 8 Financial difficulties and debt If you find yourself getting into financial difficulties, help is at hand. The Students’ Union Advice & Representation Centre has professional advisers who can advise you on any money-related issue including debts, benefits, budgeting and ways to increase your income. It is important to seek help as soon as you realise that you are likely to be in difficulty since the more time we have, the more we can usually do. Students experiencing financial difficulties who need help because of either an unexpected financial crisis or on-going hardship may be able to apply for help from either the University or from external sources. This could include applying to the Access to Learning Fund, the Alumni Hardship and Opportunities Fund or to educational trusts and charities. Please see section 3 for more information about these. In addition, there are some emergency funds available to students who need cash urgently. These emergency funds include VC Loans (see section 3.1) and DWP Crisis Loans (see the page on what to do if you get into financial difficulties in the money section of our online advice webpages). Dealing with debt There are many reasons why people fall into debt. It might be because you have lost your job or are unable to work because of illness or disability. It could be that you have recently split up with a partner, had a baby or experienced some other change in your personal circumstances that leaves you with less money than you need. For many, especially students, it could be that you simply don’t have enough money to pay everything that you owe. Whatever the reason, being in debt is a common but all too frightening and stressful experience but don’t panic, we can help! It is understandable that you may want to ignore any letters from creditors (i.e. people to whom you owe money) but your situation will get worse if you do - the sooner you seek professional help the easier it is to sort things out. The Advice & Representation Centre acts non-judgmentally and in complete confidence. If you come to us for help with your debts we will go through your finances with you, look for ways to maximise your income, reduce your expenditure and help you work out what you can afford to pay and to whom. We have also produced a self-help pack called ‘Dealing with debt – a helpful guide for Sussex students’, available to collect from our Information Area or to download from the publications section of our webpages. This pack provides you with all the information you need to know to help you negotiate with creditors and get back in control of your finances. It also includes a template financial statement, template letters to send to creditors, a calculation guide and a pull-out budget sheet. In the meantime, for some very quick guidelines to sorting out your debts, have a look at the 10 tips below:-

1. Whatever you do don’t ignore your debts - they won’t go away so the quicker you start to deal with them the better 2. Check that you are getting everything that you are entitled to and whether there are any ways you could reduce your expenditure (see sections 3 and 4) 3. Try to avoid borrowing more money to pay off what you already owe 4. Check whether any of your payments are covered by payment protection insurance – you may have paid for additional protection for circumstances like losing your job or being off sick 5. Get in touch with your creditors as soon as you start to experience difficulties keeping up with repayments (or as early as possible after this) – they are likely to be more understanding if you explain your situation rather than just missing your payments without warning or explanation 6. Identify your priority debts (e.g. money you owe for rent/mortgage, utility bills, TV licence, etc) and deal with these first – the ultimate enforcement action open to priority debt creditors is more serious even if other creditors are kicking up more of a fuss 7. Draw up a Financial Statement listing all your income, expenditure, priority and nonpriority debts and any offers of repayment – you can send this to your creditors so that they can see your current financial circumstances 8. If you can, offer regular payments to all of your creditors – creditors prefer being paid even very small regular amounts rather than taking further action against you 9. Be persistent when negotiating with creditors– don’t give up if a creditor is being difficult or unhelpful, it only takes one to agree and then the others often follow suit 10. Make sure you keep copies of any letters or other documents that you send or receive and write down the details of any phone calls so that you can rely on these if there is any dispute about what was agreed Debts to the University If you owe money to the University - e.g. for rent arrears or tuition fees - contact the University or the Students’ Union Advice & Representation Centre as soon as possible. You should be able to reach a suitable arrangement to clear your debt but if you do not, then ultimately you may be refused entry into the next year of your course, be withdrawn on financial grounds or have your degree certificate withheld. It is legally debatable whether universities can take these academic sanctions for non-academic related debts (e.g. rent arrears, unpaid VC/bridging loans). If you are affected by this please contact the Advice & Representation Centre.

SECTION 9 Useful contacts University of Sussex Studentsâ&#x20AC;&#x2122; Union Advice & Representation Centre 1st Floor, Falmer House University of Sussex Brighton, BN1 9QF Tel: 01273 877038 Fax: 01273 873501 Email: advice@ussu.sussex.ac.uk Web: www.sussexstudent.com/advice International and Study Abroad Office Tel: +44 (0)1273 678422Â Fax: +44 (0)1273 678640 Email: International@sussex.ac.uk Web: www.sussex.ac.uk/International/ Careers and Employability Centre Tel: 01273 678429 Fax: 01273 678846 Email: cdec@sussex.ac.uk Web: www.sussex.ac.uk/careers Student Life Centre Ground Floor, Chichester I Tel: 01273 876767 Email: studentlifecentre@sussex.ac.uk Web: www.sussex.ac.uk/studentlifecentre Useful agencies in Brighton and Hove Brighton Jobcentre Plus/ Department for Work and Pensions (DWP) Windsor House 30 - 35 Edward Street Brighton BN2 0LN Tel: 0845 604 3719 Hove Jobcentre Plus/ Department for Work and Pensions (DWP) Boundary House, Boundary Road Hove BN3 7HD Tel: 0845 604 3719

Brighton and Hove City Council Housing and Council Tax Benefit Office PO Box 2929, Priory House Brighton BN1 1PS Tel: 01273 292000 Brighton and Hove Council Tax Office Ground Floor, Priory House Bartholomew Square Brighton BN1 1JP Tel: 01273 291291 Email: council.tax@brighton-hove.gov.uk National agencies UK Council for International Student Affairs Web: www.ukcisa.org.uk/ Advice Line (open Monday-Friday 1pm-4pm): Outside the UK: +44 20 7107 9922 Inside the UK: 020 7107 9922 HM Revenue and Customs Tax Credits Helpline: 0845 300 3900 (open Monday-Sunday 8am-8pm) Web: www.hmrc.gov.uk/Taxcredits/ National Union of Students (NUS) Web: www.nus.org.uk Consumer Direct Helpline: 08454 04 05 06 (open Monday-Friday 8am-6.30pm & Saturday 9am-1pm) Web: www.consumerdirect.gov.uk/ Energy Saving Trust Tel: 0800 512 012 Web: www.energysavingtrust.org.uk/

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