Sainsbury's Bank has estimated that around GBP53.8 million worth of personal loans could be taken out by students in the UK this academic year to help cover the increase in university tuition fees.
Sainsbury’s Bank estimates that the increase in university tuition fees this academic year from GBP1,175 up to GBP3,000 could lead to a rise of between 17% and 21% in the cost of living for an average student. As a result, the bank says that, this year, around GBP53.8 million worth of personal loans could be taken out to help cover this cost.
Steven Baillie, loans manager for Sainsbury’s Bank, said: As students go back to university, many will face a significant increase in their living expenses. As well as students taking on paid employment to help cover this cost, some of their parents are also taking out personal loans to help. However, people need to ensure that if they are going to do this, they shop around for a competitive rate.
The bank’s own personal loan rates start from a typical APR of 6.1%.