Repayment Assisstance Plan (RAP) Issues

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Getting Paid Bi-weekly

Printed From: CanadaStudentDebt.ca
Category: Government Program Problems
Forum Name: Repayment Assisstance Plan (RAP) Issues
Forum Description: Rules, regulations and problems (Formerly Interest Relief and Debt Reduction)
URL: https://www.canadastudentdebt.ca/forum_posts.asp?TID=237
Printed Date: 27/March/2026 at 2:03am
Software Version: Web Wiz Forums 12.07 - https://www.webwizforums.com

Topic: Getting Paid Bi-weekly

Posted By: Guests
Subject: Getting Paid Bi-weekly
Date Posted: 03/August/2003 at 5:24am

I have just defaulted on my Federal Loan. In March 2003 I was told by CIBC that I no longer am eligible for intrest relief. Why? because in the month of January I received 3 pay cheques. So off course I tried to explain to the rep from CIBC that I get paid bi-weekly this happens twice a year to alot of people in Canada. You can't fault me for that. Was I so wrong my nightmare now begins..... I was told to pay $275 to get back on intrest rellief I begged and borrowed came up with the money paid. Called CIBC 2 weeks later was told I paid 10 days after the date specifed I now owe and additional $140. I could not come up with the $140 so I thought I'll write a letter to HRDC someone there will understand my plight. In June 2003 heard back from HRDC there letter stated you defaulted due to your earnings in January. I just wrote to HRDC stating that I am a single parent I earn 31K a year yes I received 3 pay cheques in January but I recieved every 2 weeks. Well needless to say that did not work. So now I write to the Minister Jane Stewart. I get an email June 19 from one of her reps who says my situation is being looked into. Well I got a letter from HRDC on August 1 stating that my income taxes and GST cheques will now be in their hand since I defaulted on my loan. I have contacted my local MP before contacting HRDC and that has not helped. I don't know what more to do in a matter of 4 months my life has been ruined because I have a job where I get paid bi-weekly? Does this make any sense.......
Marsha

Replies:

Posted By: markomeara
Date Posted: 03/August/2003 at 11:43am

Marsha, could you email me at csd@markomeara.com
I'd like to forward your story to a senator that is preparing a report on these types of problems...

Thanks

Mark

Posted By: Guests
Date Posted: 05/October/2003 at 4:09am

After 6 months of trying to get my loan recalled it happened. HRDC wrote me a letter stating that they are recalling my loan. They will reinstate my GST cheques and any taxes. Also this situation is currently being reviewed by CSLP. Now I was only forgiven because CIBC should have offered me the option to either pay the interest that had accured for the three month period or capitalized the interest and put it on the principal. So the $275 that I had to pay could have gone on my principal or even after I paid that $275 when I only owed $140 that could have gone on the principal and it could have been all corrected. Can you believe all of this for $140. So as of now if you do get paid bi-weekly and you are on interest relief be very careful of how you submit your pay stubs. Lastly be dilligent, I emailed Jane Stewart, Minister of Human Resources Development every week I also called her constinuency office to get the number of the person who replied to one of my emails. Through calling this person on more than one occassion she made sure my complaint got to CSLP officials. One battle is over now on to Ontario.

Posted By: marshandj
Date Posted: 04/June/2004 at 7:16am

Update to my story..... I have just found out that indeed I have now exceeded my time of intrest relief and now I must repay. 2 weeks ago I called CIBC to get new forms for IR was informed I can't apply. Well then what are my options. CIBC student loan centre told me my only options were to pay just the intrest which is $126 a month or start paying the full amount regardless I have to pay. Now not once was debt reduction mentioned to me so on May 31 I called back this was the last day of IR and informed them I would like to apply. First agent said someone will get back to me in 48hrs. I called back 2 days later to inform them no one has given me a call. 2nd agent says if they have your information they will not give you a call and just send out the forms. Don't know who is giving me the right info right now but was told the forms should arrive in 15-20 days considering I live in Toronto and their in Burlington it should not take that long...... but in the mean time what are you going to do. They wanted me to make a verbal agreement over the phone that I would indeed pay just the intrest each month or make full payments. Now already defaulting on my Ontario loan with these guys and having the problems with my Canadian Loan I am so weary of saying I will pay the intrest payments because if I do this will I not be elgible for debt reduction? And lastly if I do make the intrest payments each month and that's all I will be paying will I be paying my student loan for the rest of my life, or until my pension? Lastly I realized if I do get debt reduction my payments will be $124 a month over 15 years in the end I will have paid $6,500 in interest. Furthermore my son is 10 years old regardless of whatever decision is made he will attend Univ or College and I will still will be paying off my student loan It's crazy....

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