Graduates across the country could have the amount they can borrow for their mortgage reduced because of their student loan.
The insurer British Money has received confirmation that the Mortgage Market Review (MMR) will force all lenders to consider student loans when dealing with an application - despite the fact the loan doesn't affect an individual's credit score.
Introduced in April, the changes brought about by the MMR are designed to toughen-up checks on potential borrowers to ensure they can meet their repayments. Applicants can now expect to be grilled about all their monthly expenditure, outstanding debts, and any other outgoings they have.
Alexander Burgess, of British Money, said the rules could unfairly impact those who went to university.
"This is penalising a whole generation who are already saddled with unrealistic proportions of debt just because they have career aspirations that can only be fulfilled through higher education.
"Graduates have loans for an education that a few years ago was free, but are now less likely to secure a mortgage. How is that fair when they do not fully understand the implications of taking on such debts?"
The Building Societies Association said: "Under the new rules, student loans are certainly considered to be committed expenditure and will be included as part of the affordability assessment.
"We would urge all borrowers with student loans to be responsible, realistic and reduce their debt elsewhere as much as possible if they are thinking of applying for a mortgage."