How much is available?

These are the maximum loans for 2004/2005. (Loans are smaller in the final year as they do not need to cover the long vacation - these figures are in brackets):

Eligible students can borrow up to 75% of the maximum amount before means-testing comes into effect. How much of the remaining 25% a student is entitled to will depend on their family's income. The Local Education Authority (LEA) will look at your income and your family's income to decide how much money you'll need to find yourself.

By deducting certain sums from your parents' gross income, the LEA will come up with a figure called a residual income.

Complicated, isn't it? How about tuition fees?

The most any student will be asked to contribute towards their fees in 2004/05 will be �1,150. The actual amount will depend on that old favourite, the family's residual income:

Students in Scotland do not have to pay tuition fees.

How do I apply?

If you haven't received a form, ask your LEA for one or you can click here for an online form. You need form PN1 if you are a new student and PR1 if you are returning to university.

The LEA will tell you what you are entitled to and how much contribution, if any, you and your family will have to make. You should receive your payment at the start of term.

How do I pay the loan back?

You start repayments the April after you graduate or otherwise leave your course. The amount depends on your level of income. Repayments are deducted from wages in a similar way to National Insurance, at the rate of 9% on everything earned above �10,000 gross - if you earn less than that, repayments are suspended until this threshold is reached.

From April 2005, this figure will increase to �15,000.

What's the interest rate?

The amount owed is adjusted in line with inflation (calculated using RPI, the Retail Price Index). The interest rate for the year starting September 2004 is 2.6%.

The DfES have published a guide to student loans, which contains detailed information on all aspects of the support available to students in higher education. It is called "Financial support for higher education students 2004/05" and can be obtained through your LEA, from the DfES Information line on 0800 731 9133 or from the Student Support website.

Can I defer repayments?

If your income falls below �10,000 gross a year, your repayments will be stopped automatically.

If you have a mortgage-style loan - that's if you started higher education before 1 September 1998 - you can apply to defer your loan for a year at a time if your gross income is less than 85% of national average earnings.

You qualify if your gross income each month is �1,780 or less. You can also pay off your loan more quickly if you want.

What other financial help is available?

From this year there is a new Higher Education Grant to help with the costs of living and studying.

It doesn't have to be repaid and is available on a sliding scale depending on household income. If income is below �15,200, students qualify for the full grant of �1,000. If income is above �21,185, a grant of only �50 is paid.

There is additional help available for students with children and for disabled students. Information on these can be found in guides published by the DfES: "Childcare Grant and other support for student parents in higher education in 2004/05" and "Bridging the gap: a guide to the disabled students' allowances (DSAs) in higher education in 2004/05".

Both of these guides can be obtained through your LEA, from the DfES Information line on 0800 731 9133 or from the Student Support website.

If you cannot get any of the loans mentioned already, you might be able to apply for a Career Development Loan (CDL).

This is a deferred repayment bank loan offered in partnership between DfES and four major banks. It is designed to cover vocational training and education lasting up to two years, plus, if relevant, up to one year's practical work experience where it forms part of the course. Study can be full-time, part-time or distance learning. A CDL cannot be used to finance anything that is being funded by another source.

Who can apply?

Anyone aged 18 or over who lives or intends to train in Great Britain. If you are claiming state benefits, or wish to do so while you are studying, you should talk to the office that pays you before you apply for a CDL.

How much can I borrow?

You can apply to borrow between �300 - �8,000 to cover up to 80% of course fees (or 100% of the course fees if you have been out of work for three months plus prior to applying).

The full cost of books, materials and other related expenses including travel can be included and, if the course is full time, living expenses.

When do I repay the loan?

You make no repayments during the period of learning supported by the loan and for up to one month afterwards. The DfES pays the interest on the loan during this period and then you repay it to the bank in accordance with your loan agreement. It is possible to postpone the start of repayments by up to 17 months if, when you are due to start repaying: