Comparison · Student Finance · 2026
Tuition Fee Loan vs Maintenance Loan 2026: Student Finance Explained
Student Finance is made up of two very different loans that get combined into one repayment balance. This guide compares the tuition fee loan with the maintenance loan, so you understand where the money goes, how much you can get, and how both are eventually repaid.
TL;DR -- 30-Second Summary
- • Tuition fee loan: paid straight to the university, not means-tested
- • Maintenance loan: paid to the student's own account, means-tested on household income
- • Repayment: both combine into one balance, repaid together under the same plan
- • Interest: identical rate applies to both loan types under a given repayment plan
- • Threshold: Plan 5 repayment starts once income exceeds £25,000 a year (2026/27)
Side-by-Side Comparison
| Feature | Tuition fee loan | Maintenance loan |
|---|---|---|
| Paid to | University or college directly | Student's own bank account |
| Means-tested? | No -- full amount available to all | Yes -- based on household income |
| Purpose | Covers course fees | Covers living costs |
| Payment schedule | Termly, to institution | Termly, to student |
| Repayment | Combined with maintenance loan | Combined with tuition fee loan |
How the Tuition Fee Loan Works
The tuition fee loan covers the fee charged by the university, up to the fee cap for the course. Student Finance England pays this directly to the institution, so the student never handles the money and cannot spend it on anything else.
Because it simply matches the university's published fee, every eligible full-time student can borrow the full amount regardless of parental or household income.
How the Maintenance Loan Works
The maintenance loan is designed to help with everyday living costs -- rent, food, books and travel. The amount available depends on household income, whether the student lives at home, away from home, or in London, and the year of study.
Students from lower-income households receive the largest maintenance loans, while students from higher-income households receive a smaller amount, on the basis that family support is expected to make up some of the difference.