If you are a full time student or planning to study full time you will probably find that student loans play a major part in providing the finance that you require to maintain your living expenses.

However if you have had difficulties repaying debt in the past you may be concerned about whether or not you will be able to get a student loan. In fact there is no need to worry. Loans provided through the Student Loans Company are not dependant on your past credit history.

Student Loans Company loans are provided on a non commercial basis as part of the government’s strategy for funding higher education. As such, as long as the course you are studying meets the criteria for student loan availability you will be eligible for a loan whether you already have a poor credit rating or not.

Access to other forms of credit will be restricted

Of course the other financial help and facilities which are available to students through commercial banks may not be available if you have a poor credit history.

The decision of high street banks about whether or not to offer you facilities such as a student overdraft and the option of a credit card will be influenced by the way you have repaid credit in the past.

If your past credit history is poor for whatever reason, you may well find that you are refused these facilities.

How to repay debt after graduation

Repaying debt after you graduate will almost certainly be more difficult than you might think. The average debt which a graduate will build up over three years of university life is currently c£23,000. This is a huge millstone to have saddled around your neck before you have even started working life.

However even if you are lucky enough to find the job you want after graduation repaying your student debts will not be easy.

Working life has associated costs which are far greater than those that you experience at university. Accommodation, clothing and entertainment costs all generally increase. It is therefore very difficult to save money to repay debt.

Student loans can not be written off

It is important to realise that if you do start to struggle financially after you graduate you will be unable to manage  Student Loans Company debt in the same way as other commercial debts.

A student loan from the student loans company cannot be written off using a debt management solution such as an Individual Voluntary Arrangement (IVA).

Given this the message to all current and potential students is clear. Try not to get too far into debt while you are studying.  Try to within a sensible budget. If you can graduate from university with debts which are manageable, this will pay huge dividends when starting out in the world of work.