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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smithy01 View Drop Down
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    Posted: 01/March/2011 at 11:26am
Hello.  I've been reading this site for sometime.  Some very interesting and very scary information here.  Unfortunatly, I'm now in some student loan trouble and hope someone here might have some info.
 
Not sure exactly where to start so please excuse what could be a jumbled mess of a post.
 
I havent been able to check my mail for the last number of weeks and when I did last night I was pleased to see  that my income tax receipts for both my CIBC and NSLSC loans was there as well as a letter from NSLSC.  Great I thought.  I opened the CIBC one and it was right.  Spot on according to my records actually.   But when I opened the NSLSC receipt the payment record stops in the summertime with nothing I've paid after that.  At the end is a note that the loan was sent to HRDC at that time.  From then until December 31st I've paid a considerable amount of money that, at least according to the receipt hasn't been credited.
 
I dont doubt they've (HRDC/NSLSC) been trying to contact me about this, but to complicate things I moved provinces around the same time my NSLSC was sent to HRDC.  I changed my address with everyone important, including both student loan entities, but had no idea that the NSLSC loan was sent for collections.  
 
Then there is the extra letter I got from NSLSC.  2 years ago I ran out of 'interest relief' time.  I called them to have both that loan and the CIBC loan on interest-only payments.  I didnt have a lot of money but was able to swing 6 months of interest only and paid it in 8 months.  Wink I called both to explain that I wasnt working much and simply couldnt afford the $250/month that each wanted.  They didn't like it, they both tried to tell me to get another loan from a bank to pay them instead.  I explained again that i couldn't pay too much and both said that as long as I keep paying something each month that it wouldnt go to collections.  Since that time (about Sept 2009) I've really only had written correspondence with them.  Letters to explain my situation and that what I was paying was what I could afford.  And I always paid something.  Not the full $250 each, but something. .........................................................................
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smithy01 View Drop Down
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................... $50 in some months and $150 in others.  I was only paying on the interest, but it was something.  They said nothing and the fact I was told that it was good to keep active payments I wasn't too concerned. Well, not true.  I was very concerned, but knew I was keeping in written contact and paying what I could. 
 
But in today's mail I now get a letter from (I think) Collectcorp about my CIBC loan.  I say 'I think' because I can see the address trough the little window on the envelope.  To freaked to open it at the moment. 
 
I'm a little lost in my thoughts.  But for now I guess I am wondering what happened to my payments that I made to NSLSC AFTER it went to HRDC?  Would it have still been credited to my account (ie: sent to HRDC) or is 100s of dollars lost somewhere?  And what about CIBC?  I've made payments since December 31st, 2010 to my account number.  Assuming it might have gone to Collectcorp in January would my payments still be credited to my loan? Or becasue it is in collections is that account at CIBC now dead?
 
I do intend to call both and all that will have an interest in this.  I just dont know if I've been paying for naught and will not also need to fight to get my payments back.
 
Again, sorry this is so jumbled.  Hard to keep a coherent thought going at the moment.
 
Any and all comments are appreciated.
 
Thanks.
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edit:  seems I cant edit my posts while in the mod queue.   The letter from NSLSC was a response from myprevious letters saying that they reviewed my request to have my loan returned to them from HRDC.  Request denied they say.  I didn;t make such a request.  However, I can see what they are saying.  Because my loan has been sent out to HRDC they could be interpreting my letter as such a request.  Even though I was simply keeping them updated on my financial situation.
 
 
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I checked this posting for some time and didnt receive a response.   And more than a year old now and still nothing.  :P 

Thought I'd update.
 
I've pretty much cleared up the CRA/NSLSC loan.   All is good.
 
But the CIBC loan is a different story.   I've been through 3 collection agencies so far and I've tried to explain to each that I had troubles paying in the past and still have problems paying.  I can give what I can but cannot guarantee what it would be from month to month.  They've all refused.  But I've continued to pay to my CIBC loan number as I always have.  Well, I did in fact receive a student loan interest receipt from CIBC for last year (2011) and it was spot on.   Perhaps I can't do this forever, but I am pleased they are taking my payments AND giving me a tax receipt for it.
 
 
 
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Points: 5996 		Post Options Post Options   Thanks (0) Thanks(0)   Quote SolveStudentDebt Quote  Post ReplyReply Direct Link To This Post Posted: 11/March/2012 at 1:31pm
They cannot refuse to take a payment.
Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

solvestudentdebt.com
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smithy01 View Drop Down
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Points: 6 		Post Options Post Options   Thanks (0) Thanks(0)   Quote smithy01 Quote  Post ReplyReply Direct Link To This Post Posted: 11/March/2012 at 1:51pm

Indeed. 

Please let me thank you for all the help you given to people on this forum.  
 
With my NSLSC loan I was happy to learn that even though they no longer held the loan, my payments were received and credited dollar for dollar.  As if nothing had changed.  And especially since they were demerged back into Federal and Provincial loans.
 
But what pleased me more was that CIBC actually sent a tax receipt even after 3 collection agencies have contacted me since it went into default.
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Points: 5996 		Post Options Post Options   Thanks (0) Thanks(0)   Quote SolveStudentDebt Quote  Post ReplyReply Direct Link To This Post Posted: 11/March/2012 at 2:16pm

Thank you for the kind words - and let me apologize for not seeing this post until just now.

The bank is required to send everyone a receipt for tax purposes. If you don;t get one all you have to do is contact the heads of executive customer relations department and advise them that you require it. If no response, start moving up the heirarchy. Banks don't get it sometimes. The are loan suppliers under a federal program (CSLP). That means that they are not only bound by the laws that pertain to chartered banks but also the government of Canada, namely HRSDC. THe problem is that some of these bank reps act like a bunch of rogue cowboys and cowgirls and think that they are above any law. That is why you see the stuff you read about here.
Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

solvestudentdebt.com
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Yeah.  I was reading this forum long before I got into my troubles and you are certainly a great source of info and comfort to many. 
 
I fully believe in paying back what is owed, but in the case of student loans more consideration and understanding is needed.  These aren't car loans or credit cards.  These are, as I was told, 'investments in your future'.   And when I got into issues I took them at their word that as long as I kept paying something that I'd be okay.  Much to my surprise I got stuffed anyway. :P
 
I have to wonder though if I had started giving the collection agencies (for CIBC) money instead of continuing to pay directly to the bank if I'd be in more crap. I've also continuously contacted CIBC by letter to explain my situation and update them on my payments. 
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Points: 5996 		Post Options Post Options   Thanks (0) Thanks(0)   Quote SolveStudentDebt Quote  Post ReplyReply Direct Link To This Post Posted: 12/March/2012 at 3:35am
You are doing it all VERY right. Wink Collectors have a job to do and, unfortunately, that job is not in the best interest of the person who owes the debt. This is because they are required to earn money for their agency and of course themselves. In most cases, that requires doing and saying things to people that is anything but social and humanistic. It is all about money and doing or saying whatever fulfills that mission the moment they pick up a phone and dial. There are some collectors out there who play the sympathetic role and others who role play as if they are legal professionals or government agents and assume a dictatorial (and even despotic) approach.
You seemed to have bypassed that and that is an achievement.
 
So, consider yourself one up. LOL Good job!  
Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

solvestudentdebt.com
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