Canada student loans represent the main financial aid for post-secondary students that need to pay for their college studies. Financial aid programs are available only for Canadian citizens and permanent residents, as well as for persons with a protected status. Interest-free loans for the studies period are thus available to students in this system. Canada student loans also extend to doctoral programs and the support for people with disabilities. In order to determine what kind of program you may have access to, it is important to determine the extent of the studies as well as the length of the education. Here is a clear example of how things stand.
For example, most Canada student loans cover a maximum of 400 weeks for graduate degree programs. Yet, if we think that some people will need a BA, an MA and a PhD, the number of the academic years will be around 11. This means that many graduate students will discover that they no longer meet the criteria of eligibility for student loans. At the end of the 400 weeks period, the student has to start repayment for the full-time studies.
With Canada student loans, repayment starts the moment they are no longer students. Some other obstacles related to post-secondary education can be faced by applying for grants as a form of supplementation for the loans. Carefully determine your needs before you apply for the loan. One single student is limited to a certain debt extent. Thus, normally, Canada student loan cover around $210 per week in the case of full-time studies. For part time loans the maximum sum is of $4,000 at a time. The province of residence may however allow access to further assistance in the form of grants.
As for repayment, the beneficiaries of Canada student loans can choose between a fixed interest rate or a floating interest rate. Financial difficulties can be encountered during the repayment period, but there are also various options meant to assist students go through the repayment more easily. You can apply for an interest relief when you are currently unemployed or have a too low income. With this measure, you can skip interest payment for a period varying between 6 and 30 months depending on the situation. Debt reduction is also possible, meaning that the family’s monthly rate-plus-interest can be adjusted so as not to be higher than the debtor’s capacity to pay.