Student loans are the main system of financial help for students. They can help you with your living costs such as accommodation, food, clothes and travel.

Twenty-five percent of the loan is assessed on your gross taxable income and the gross taxable income of your family. Interest on the loan is linked to inflation, so what you repay will be worth what you borrowed.

Your student loan will be worked out by your local education authority (LEA) and paid by the Student Loans Company (SLC), Glasgow. It will be paid to you in three instalments. You will receive your first cheque via the university and the other two will be paid directly into your bank account. You will receive a payment schedule from the SLC which tells you how much you will get.

You can get a student loan if you are a full time, sandwich or Professional Graduate Certificate in Education (PGCE) UK student under the age of 50 (or between 50 and 54 if the LEA is satisfied that you will be looking for employment when you complete your course).

The government will raise the maximum rates of the student loan from September 2006 to help students meet their basic living costs at university. Details of how much loans will be for 2006 will be published nearer the time.