Students with Debt Problems Students Financial Worries Financial worries are a harsh reality for thousands of university scholars across the U.K. today, but here is some helpful advice for students with debt problems. Ever since the government started charging tuition fee and abolished grants, most university students have been ending up with large debts.

• Shop around for student loans: Compare as many as you can before picking a student loan. The terms of the loan vary from one provider to another.
• Track spending: If you are finding it hard to pay back your dues, you perhaps need to see exactly where your money is going each month. Track your expenses over a couple of weeks or a month. This will help identify unnecessary expenditure. It will also give you ideas about where you can cut back spending. For instance, you could probably wake up earlier and walk to the university instead of taking the bus. Or maybe you could cut down on visits to the neighbourhood pub. If in this way you have some money left over, you can use it to settle your debts.
• Prioritise repayments: If you owe money to several creditors, work on repaying in order of priority. Needless to say, mortgage and rent should get the highest priority or you could be without a home. Utility bills come next because otherwise electricity, gas and water supply might be cut off.
• Get part-time work: Working part-time - even if it means earning minimum wage - helps ease the financial pressure. To improve your chances of getting employment, you should try to pick up as many practical skills as you can. Learn to compute and type. Or learn a foreign language so you can work as a translator or interpreter.
• Be cautious with credit cards: Credit cards are easy to succumb to, but remember that the interest charged for such transactions is among the highest.
• Speak to your creditors: If you are finding it impossible to keep up with the repayments, contact the bank or financial institution you have borrowed from. Explain your situation and be honest. Most creditors are likely to be sympathetic. They might either lower or scrap interest on what you owe them so that it becomes easier for you to settle your debts.
• Explore hardship funds: Should you be in exceptional financial difficulty, you could apply for hardship funds. This is a facility meant for the poorest students and is given out through colleges and universities.
• Apply for scholarships: There is no harm trying your luck in bagging a scholarship, which can significantly ease living costs.

Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage.