Post-secondary costs in Canada come to around $80,000+ and that’s quite a lot for most of the students. Financing through loans and grants is the most viable option here to continue with your higher education in the country. Are you too aspiring for higher education in Canada and looking for financing options? Or is it that you are a parent in quest of effective ideas to secure financial backup for your child’s college education? Well, the post below offers a brief on the different ways that will help you to finance education in Canada.
RESP program
This tip is especially for the new parents who are planning to start saving for the college education of their little ones from an early age. RESP refers to a special kind of savings account where parents can accumulate their savings solely for their child’s education. If you are a new parent, you can count on RESP from Knowledge First Financial. The company has been helping Canadian parents to save for their children’s future education for around 50 years now. For more information on Knowledge First, you may check out https://www.glassdoor.ca/Overview/Working-at-Knowledge-First-Financial-EI_IE685207.11.
Government loans & grants
The Canadian federal government extends both loans and grants to students aspiring for higher education in the country.
CSLP (Canada Student Loan Program)
The Canadian federal government extends student loans for both part-time and full-time students. If you are considered to be eligible for the CSLP program, you will receive financing for up till 60% of the tuition fees. This program sets a maximum loan amount for every eligible applicant and that sum may change. So, you must take note of the specific maximum loan amount for your case before signing up with the CSLP program. After graduation, you will have to repay that loan along with interest to the Canadian federal government.
The federal loan carries 2.5 percent plus prime interest rate. The repayment period will begin 6 months after you finish your college
CSGP (Canada Student Grants Program)
The federal government also offers educational grants for students in Canada. These grants are available for both full-time and part-time students. Unlike loan, grant does not need to be repaid by the beneficiary. The grant amount for full-time students would be something like $3,000 per 8-month college year which comes to something like $375 a month. In regards to part-time students, it would be around $1,800 per school year.
It’s to note here the federal student grants program also covers students with dependants. If you are a full-time student with a dependant, you will receive something like $200 a month per each dependent child over the course of your full-time program. This amount will be in addition to the federal grant for full-time students. If you are a part-time student with dependant, the grant amount would be $1,800 per school year.
Provincial & territorial loans
If you are not eligible for federal loans & benefits, you may apply for provincial loans in Canada.
Manitoba assures student loans with 0 percent interest rate! On the other hand, Quebec is another Canadian province that promises low rate of interest on student loans. It carries 0.5 percent plus prime on student loans which totals to 4.45 percent overall rate of interest. Newfoundland & Labrador has stopped their student loan programs. Instead, the province has started non-repayable grants for qualifying students. These grants offer up till $100 per week.
Here is a brief on where you should apply for provincial student loans in Canada:
- Alberta: Alberta Learning Information Service
- New Brunswick: New Brunswick’s Student Financial Services
- Newfoundland and Labrador: Newfoundland and Labrador Student Aid
- British Columbia: StudentAidBC
- Manitoba: Manitoba Student Aid
- Quebec: Aide financiere aux etudes
- Northwest Territories: NWT Student Financial Assistance
- Ontario: Ontario Student Assistance Program
- Prince Edward Island: PEI Student Financial Services
- Nova Scotia: Nova Scotia Student Assistance
- Saskatchewan: Saskatchewan Student Financial Assistance
- Yukon Territory: Yukon Student Financial Assistance
However, it’s to note here, you must try to maintain a standard credit score to make yourself eligible for the loans. Students with bad credit may not be eligible for most of the loans. However, although there are some avenues that offer loans even when you have bad credit but these loans come with high interest rates.
Look for scholarships
The Canadian academic sector is bustling with over 20,000 scholarships to helps students who need financing for higher education. Apart from government scholarships, there are many unions, associations as well as companies that offer scholarships to students. Sometimes, these scholarships are merit-based while many of them are needs-based as well. Just go online and type “student scholarships in Canada” and you will find a wide range of links with valuable information. Some scholarship programs not only look at the school grades of the student. But these also take not of his participation in community work, extracurricular activities, sports, student council, school events and so on.
All the best for your bright future ahead.