Student debt not explained "effectively"

Student loans are not explained properly and it is giving across a potentially damaging message, according to an industry expert.

Chris Tapp, director of financial education charity Credit Action, noted that it is not properly clarified how student debt differs to credit cards and overdrafts.

He claimed that it is "basically impossible" to get into difficulties with student loans because of the way they are paid back - and so the message being put across is that it is fine to be in debt.

Mr Tapp feels that if students take this message on board then they may sign up for credit products which could land them more serious debt problems.

Describing the level of explanation students are given of how the loan works, he said: "I don't think that's been done as effectively as it could have been by the government and others."

Research from Push.co.uk indicates that students who started their university course in 2008 will owe nearly £21,200 when they leave.