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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JV1980 View Drop Down
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Joined: 12/August/2013
Location: Edmonton
Points: 3 		Post Options Post Options   Thanks (0) Thanks(0)   Quote JV1980 Quote  Post ReplyReply Direct Link To This Post Topic: Horribly confused
    Posted: 12/August/2013 at 12:10pm
I'll apologize upfront if something similar has been discussed already, I've combed the forums reading all kinds of information and all the recommended reads from the moderator here and I find myself even more confused and am in need of a little advice.

I am from Alberta and went to college in 1998 until 2001 and racked up some good sized student loans(unsure of the exact amount but 30k+). When I started I know the loans were handled through the bank, mine RBC, and I wasn't aware of the switch in the system as I was out of country for school and didn't get all of the correspondence and when I called for answers it seems like I got half answers. My loans ended up defaulting but after some work I got them straightened out and back in good standing.

In 2005 I went back to school and got more loans and I was in school until 2007 when I started getting sick. Again my student loan situation became really bad and I had to jump through some hoops to get it corrected. My grace period after leaving school expired and the missed payments started racking up again. This time I had my MP sort out my issues with canada student loans.

In January 2009 I was able to go back to school again and got new loans, I finished in may and for some reason my repayment kicked in immediately and after a whole summer on the phone I was able to get them to change the repayment start date to october and was supposed to be put on RAP but something got screwed up again, payments were missed, I got extremely sick and there was no help this time. I was constantly innundated with calls from CBV collections but never really talked to them or answered the phone. One time I answered and they asked me to confirm my identity and I said "you called me, not the other way around so please confirm why you're calling and then we can talk". Needless to say the phone call didn't last long.

So long story short all my loans have been in default since sep/oct 2009. I have had no contact with either the collection company trying to collect(CBV) or Human Resouces and Skills development canada who are also trying to collect. It's all very confusing because I had no clue how my loans were broken up or who was collecting what for whom. The calls continued until january 2013 and have since pretty much stopped and they are no longer leaving messages.

Starting in 2012 I was able to get back into school and started a new program that suits my new lifestyle changes due to illness and I've paid for it on my own dime and by piggybacking on my wifes grants(which she got through applying for student loans). In the Spring I applied to student loan thinking that maybe I would be rewarded the grants that I'm rightfully entitled to despite my student loan status but apparently if you can't borrow money from student loan you aren't eligible from grants either. The rejection letter said that I was rejected because "you have defaulted on previous canada student loans".

When I started back in school(sept 2012) Human Resources and Skill development canada would send me a monthly invoice fpr "direct financing student loan CSL4" for the amount of 22000$ and asking for a monthly payment of 591$ which is no where near feasible.

About a week ago I once again applied for funding hoping maybe a policy had changed and the grants that I'm entitled to would be rewarded and I got another rejection letter but this time with a much different tone. I stated "
Student Aid Alberta has been notified your Canada Student
Loans are not in good standing.  In order to be considered
for further funding, you must contact the Canada Student
Loans Program directly in order to meet the 'Rehabilitation
Agreement' as defined in the Canada Student Loans lenders
guidelines.  Notify Student Aid Alberta in writing once the
requirements have been met and Canada Student Loans Program
has removed your restriction." 

I looked up this rehabilitation program online and it says to meet the requirements I would need to pay the outstanding interest and 2 monthly payments in order to have the flag 
removed but I'm concerned it doesn't apply to me. Before calling Canada student loans programI wanted to get some advice on what to do/not do. If this rehabilitation program 
works and I can apply for SL again in order to get my grants it's a good thing because Iwould qualify for all my expenses +2000$ for my last three semesters without adding more 
debt. At the same time I don't want to call them just to have the problem be worse andthe phone calls and collection calls to start anymore. Any advice?
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Joined: 05/November/2003
Location: Canada
Points: 5996 		Post Options Post Options   Thanks (0) Thanks(0)   Quote SolveStudentDebt Quote  Post ReplyReply Direct Link To This Post Posted: 14/August/2013 at 2:46am
The only way youa re going to get anywhere here is to confront and address the issue.  The terms and conditions have been laid out for you. If you don't communicate with the National Student Service Center to seek out rehabilitation then you are not further ahead. I would also try to get something in writing stating the terms and conditions as they are from who requires it. The worst thing to happen would be further denial after rehabilitation.
 
People have to take every step to protect themselvs and their best interest with this system.
 
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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JV1980 View Drop Down
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Joined: 12/August/2013
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Points: 3 		Post Options Post Options   Thanks (0) Thanks(0)   Quote JV1980 Quote  Post ReplyReply Direct Link To This Post Posted: 14/August/2013 at 4:14am
Thanks a lot for the advice.
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