Canada removes interest on federal student loan payments 

Employment and Social Development Canada announced updates to help students repay their loans

On Nov. 1, Carla Qualtrough, Minister of Employment, Workforce Development and Disability Inclusion announced changes to the Canada Student Financial Assistance (CSFA) Program’s Repayment Assistance Plan to support young Canadians in better starting their careers. The changes are as follows: 

The zero-payment income threshold for Canada Student Loans and Canada Apprentice Loans will increase from $25,000  to $40,000. 

Payment is not expected until borrowers are earning an annual income of at least $40,000. 

The threshold will vary based on household size. 

The cap on monthly affordable payments will be lowered from 20 per cent to 10 per cent of a borrower’s household income.

Monthly affordable payments will be reduced to ensure that nobody “has to pay more than they can reasonably afford.”

These changes are expected to affect approximately 180,000 students each year. However, these updates will not be implemented in Quebec, the Northwest Territories, and Nunavut since they do not participate in the CSFA Program. However, Manitoba, Newfoundland and Labrador, Saskatchewan, New Brunswick, and Nova Scotia will also introduce the same changes to their Repayment Assistance Plans.

Photo by Lily Cowper

Total
3
Shares

Leave a Reply

Your email address will not be published. Required fields are marked *

Previous Article

Hear Me Out: Coffee isn’t that good — you’re just addicted to caffeine

Next Article

Innocent man arrested without motive?

Related Posts

Lecturer addresses touchy subject

Speaking against the incitement of Palestinian children was the topic addressed in The Palestinian Authority: Inciting Children to Kill, a lecture by Alan Baker, the legal advisor to the Israel Ministry of Foreign Affairs and a negotiator in Palestinian peace talks on Jan.

R4 finds composting could save $10,000 for Concordia University

A waste audit of the Loyola cafeteria shows more than 80 per cent of the garbage could be either recycled or composted. "In one week they throw out more than 250 garbage bags. And that's just from one cafeteria," said Chantal Beaudoin. She is the R4 environmental coordinator and one of the main organizers behind last week's audit.