How Today’s University Students Can Avoid Debt

With the rise of tuition fees and a high cost of living (particularly in certain areas of the UK), it can make higher education a daunting financial prospect. Unfortunately, the cost and graduate debt puts off many prospective students; this is a shame as university is not only a fantastic way to improve your learning and earn a valuable qualification, but it is also a terrific life experience. However, there are a few ways in which today’s students can avoid debt.


Firstly, it is important for students to draw up a budget for each term. This will include aspects such as study materials, rent, food, travel and leisure. If they stick to this budget strictly each term, it will help them to manage their finances and avoid going into debt. There will always be unexpected expenditures, so you may need to adjust this budget accordingly from time to time.

Part-Time Work

Living on a tight budget can be challenging and particularly for students. Another great way to avoid debt is to take on part-time work. Many students juggle their studies with bar/restaurant work and this can be beneficial due to the flexibility of the hours. As an alternative, there are now many online jobs which can be a fantastic way to earn funds in your spare time. It is important to note that your studies should take priority, so if you do not have the hours or a job begins to affect your grades then this is not the right path to take.

Short-Term Student Loan

Another tip for students to avoid debt during term time is to take out a short-term student loan. Unlike payday loans, these offer much more reasonable terms, safeguards and ethical procedures. By using reputable and reliable student loan companies, such as Smart Pig, you can benefit from loans that cost 0.8% each day with interest stopping once this reaches half of the amount you borrowed. This is ideal for end of term where it can become tight, as you can take out up to £350 and simply pay it back at the start of the following term.

These are the three best ways for students to avoid debt during term time. Many prospective students are becoming deterred due to the cost of university and the cost of living, which is a shame as university is such an important, fun and valuable chapter. With these tips, it can make managing your finances and avoiding debt much easier.