This website is a testimony to the problems Canadian Student Loan borrowers experienced from approximately 1996 to 2008 and until their loans were paid off.

The privatization of the Student Loans system by the Chretien and Martin Liberal governments broke the system and defaulted thousands of borrowers who were trying to pay their loans. There were even stories of suicide due to the harassment of borrowers.

Read the report that I prepared back in 2007 here. Canada Student Loans-The Need for Change Fortunately the new Conservative government at the time revamped the program and fixed the system for new borrowers, but borrowers under the previous program were left with ruined credit and continued harassment from debt collectors.

I call on the Canadian Government to apologize to the borrowers affected by this fiasco and make amends.

Unfortunately the Liberal government is again clobbering the Education system with their changes to International Student Visas. Yes, there's a problem, but instead of a well thought out plan, they have pulled the emergency brake on the train causing a derailment. This has introduced unprecedented instability for both private and public education institutions who serve both international and local students.

Universities have been forced to cancel programs and layoff hundreds if not thousands of full-time and contract instructors.

Again, the Liberal government has messed up the education environment.


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Spinney View Drop Down
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Joined: 22/October/2005
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Spinney Quote  Post ReplyReply Direct Link To This Post Topic: RAP / IR Criteria
    Posted: 01/April/2010 at 7:03am
I've been playing with the RAP estimator tool and I'm a bit confused about how and why the number of months of interest relief that have been used affects your expected payment. It just doesn't make sense.

For example I owe a little over $33,000 now. I finished school in April of 2004. Based on the 10 year repayment schedule I should be done in another 4 years. That's the purpose of the RAP program, isn't it? Helping people whose income isn't sufficient for them to pay the loan back within 10 years?

So why is it that when I enter any period of interest relief that my monthly expected payment drops? I still owe $33,000. That debt is still supposed to be repaid by April of 2014. Having my payments stopped for a while shouldn't be changing anything.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote PD Quote  Post ReplyReply Direct Link To This Post Posted: 09/April/2011 at 12:55pm
The RAP program does not grandfather interest relief clients.  The 15 year clock starts ticking from your first RAP application approval.  The clock is only 10 years for the permanently disabled who automatically start at stage II of the program.  The only way a non disabled client can have a 10 year clock (start at stage II ) is if he/she has already been in repayment for 10 years before the RAP program started.  This is the link to the web page that explains this.    In stage I the government only covers interest owing if you qualify and any payment you make go to principle.  In stage II the government covers not only the interest but also principle if you qualify.  The number of months you have received help under stage I determines when you get to stage II.

This is something that they do not disclose but the following table shows what how much money a family unit can earn before they have an affordable payment.

MONTHLY INCOME THRESHOLDS AND INCREMENTS

Family Size

Monthly Income Threshold

Monthly Increment

1

$1, 684

$250

2

$2, 631

$350

3

$3, 399

$425

4

$4, 009

$500

5 and over

$4, 569

$575


In effect if you are single and make less than $1684 a month your affordable payment is 0.  For every $250 above that, the more you are deemed able to pay to a maximum of 20% of your income.
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