Graduates – life after study
- Make a list of all your debts and start paying them off in order of priority.
- Plan a weekly budget taking into account how much you’re earning and how much you need to set aside for things like rent, travel, work clothes etc.
- Once you’ve paid off your debt, start putting any money you save in a cash ISA, which will let you build up tax-free interest.
When you finish uni, there’s a lot of change. One of the biggest, and most daunting, changes is that you’ll be financially independent.
Graduating is an exciting time, with endless possibilities ahead. Initially your finances might be fragile after a few years of student life, so here are some ways to help you avoid getting into financial difficulties.
Make a debt list
With the advent of Student Loans, it's perhaps become more usual for students to leave university with debt. In some cases, this can be more than £10,000. This is normal, so don't panic!
- The first step to getting rid of any debt you might have accrued is to take stock by making a full list of what you owe and to whom.
- Put them in order of priority for repayment, with the ones with the highest interest at the top.
- Next, have a look at how much money you'll need to get you through the first few months in work.
Budgeting and loan repayments
Create a budget
Your spending will be different than it's been for a few years now that you're no longer a student. Try to pre-empt what it will be and start putting money aside to chip away at your dearest debts (the ones with the highest interest). Also, plan your budget for everyday things such as travel, work clothes and rent.
Plan your student debt repayment
Try to work out how much debt you can pay off each month. Based on this figure, plan how much the debt will reduce over the months or years. Apart from helping you organise your finances, this will mentally give you a tangible goal to work towards.
Your money after university
Once you know where you are with your debt repayments, you can think about saving. Even if you just start saving a small amount, it will get you into a good habit.
Important legal information
Lloyds Bank plc. Registered office: 25 Gresham Street, London EC2V 7HN. Registered in England and Wales No. 2065. Lloyds Bank plc is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number 119278.
Save the Change® is a registered trademark of Lloyds Bank plc
PhoneBank® is a registered trademark of Lloyds Bank plc
Money Manager is provided to help you manage your personal finances and is not intended to provide legal, tax or financial advice. Personal Internet Banking customers only. Terms and conditions apply. Mobile Banking services may be affected by phone signal and functionality. Must be registered for Internet Banking. Terms and conditions apply.