Should students use their bank overdraft to cover the cost of rent?

A new study reveals that a third of students are using overdrafts, loans or credit cards to cover the cost of their student accommodation.

Research conducted by the National Student Accommodation survey has found that 36% of undergraduate University students use credit cards and loans to pay their bills.

Further to this, 1 in 10 students say that finding the money to cover rent costs is a “constant struggle”.

The report was conducted by student website Save the Student, and surveyed 2,168 students.

It also revealed that 60% of students turn to friends, family and even their employers to help cover their accommodation.

Over half of the surveyed undergraduates, 54%, admitted that worrying about their rent has caused issues with their health.

Jake Butler, money expert for Save the Student, says the survey demonstrates a major problem with student funding.

ā€œThis discovery that so many students are risking serious debt in order to just pay for student accommodation is worrying.

ā€œIt’s unfair that students are forced to borrow to keep a roof over their heads, and without being warned about the impact debt may have on their wellbeing and future finances.

“Students should be able to focus on studying, and not on trying to climb out of a debt spiral caused by shortsighted student funding and over-priced rents.”

Save the Student also found that on average, Nottingham Trent University students spend a further Ā£372 per month on other living costs such as food, clothing and nights out.

NTU students spend on average Ā£27 per month of meals out or takeaways, and Ā£29 per month on clothing.

Do you have issues keeping up with your rent payments? Let us know!

By Faith Pring

All image credits: Save the Student

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