Canada Student Loan Program: The Breakdown

So school is just around the corner and you’re thinking about a Canada Student loan, and have no idea where to start. I get it. I was there. The tricky thing about the Canada Student loan program is that info is really hard to come by. You know how I know that? I’ve gotten 6 emails this week asking me about it.

And because I’m too lazy to copy and paste the same email over and over again, I’m going to type in here so everyone looking for it has a handy tool. Let’s get started, shall we?

What is the Canada Student Loan Program?

It is a program that allows post-secondary students who show financial need to receive financial assistance in the form of loans, and grants.

How does the Canada Student Loan Program work?

  • It’s annual application, so students have to apply every year.
  • Well, students have to apply for a provincial or territorial student loan, this automatically allows them to be considered for a Canada Student loan.

Who is eligible for a Canada Student Loan?

According to the Government of Canada’s website, to continue receiving student loans and grants each year you are in school, you must maintain satisfactory grades.

  • be a Canadian citizen, a permanent resident of Canada or designated as a protected person;
  • be a permanent resident of a province or territory that issues Canada Student Loans (please note that the Northwest Territories, Nunavut and Quebec have their own student loan programs. Contact your provincial or territorial student financial assistance office for more information;
  • Demonstrate financial need;
  • be enrolled in at least 60 percent of a full course load (40 percent for students with permanent disabilities) if you are a full-time student;
  • be enrolled in 20-59 percent of a full course load if you are a part-time student (if you are a student with permanent disabilities and you are studying between 40-59 percent of a full course load, you can choose to be considered a student in full or part-time studies);
  • be enrolled in a degree, diploma or certificate program offered by a designated post-secondary school that runs for at least 12 weeks within a 15-week period;
  • pass a credit check if you are 22 or older and are applying for your first Canada Student Loan;
  • not have exhausted your maximum lifetime limit for financial assistance (including interest-free status).

Terms and Conditions:

  • In order to keep the interest-free status, students need to show proof of enrolment within 6 months of their last term. You can grab the confirmation of enrolment form any educational or post-secondary institution.
  • The governments of the Northwest Territories, Nunavut and Quebec do not participate in the Canada Student Loans Program but offer their own financial assistance programs for students.

You can find more information at   the National Student Loans Service Centre.