You are here: Home - Uncategorized -

Students underestimating university debts

Written by:

Tomorrow’s students and their parents are unprepared for the levels of debt they are likely to be burdened with on graduation, new research has found.

The research from the Association of Investment Trust Companies (AITC) has revealed that parents expect their children to leave with an average of just £7,080 debt – but national average debt on graduation is currently £13,500, nearly double this amount.

Students also underestimated the level of debt they were likely to get into, students estimate their average level of debt on graduation will be just £6,199 – £7,301 less than the average debt.

The research also revealed that financial problems are the largest anxiety for both parents and tomorrow’s students with financial concerns preoccupying 55% of 16-19 year olds and 45% of parents, with debt being the greatest single worry for both groups.

Annabel Brodie-Smith, communications director at the AITC, said: “It’s alarming that so few of tomorrow’s graduates or their families really comprehend the financial implications of going to university.

“Many young people go to university to enjoy some of the best years of their life but on graduation they find themselves struggling to repay their debt.”

Related Posts


Tag Box

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

The essential Your Money guide to the April 2018 tax changes

As we head into the 2018/19 tax year, a number of key changes take place to existing policies while some new i...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

Read previous post:
Pensioners still missing out on benefits

More needs to be done to boost the take up of benefits by pensioners if old age poverty is to...