Statistics disclosed under the Freedom of Information Act show that first year students are the worst affected with more than a quarter of their student loan applications still outstanding.
The situation has been made even more distressing by severe problems with the Student Loan Company's online applications tracker which in many cases contains limited or out-of-date information.
Many students without money have been forced to rely on bailouts from their families and friends for food and rent, or to lean on universities for financial assistance as they face the potential of having to drop out of their courses.
The Students Loan Company chief executive Ralph Seymour Jackson has provided no clear answers to when the present crisis will be resolved. In April this year, SLC explained the delay by pointing to technical problems with their scanning equipment. Despite having had six months to fix this, technical issues continue be blamed for the current crisis.
Ben Whittaker, NUS Vice President (Welfare) said:
“As a result of catastrophic mismanagement, many thousands of students have been left without the money they need for rent and food at the start of term.”
“The Student Loans Company must stop making excuses and passing the buck. This situation is wholly unacceptable. Students have been failed at the very time they can least afford to be. We urge universities to continue to support the many students who are currently in dire financial need as a result of this crisis.”
Students who are experiencing difficulties should contact their students' union or student support services. Advice is also available at nus.org.uk
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