Released on October 31, 2022
The Government of Saskatchewan is helping to address the rising cost of living for student borrowers by improving the repayment plan. On November 1, the Saskatchewan Student Aid Program and the Canada Student Financial Assistance Program are introducing improvements that will improve the affordability of student loan repayment and streamline repayment processes.
“This need-based program will continue to support many Saskatchewan students as they transition into their professional lives,” said Advanced Education Minister Gordon Wyant. “These changes will make student loan repayment more affordable and help improve the quality of life for many of our Saskatchewan student borrowers.”
Improvements to the repayment assistance plan will make repayment more affordable for approximately 4,000 Saskatchewan student borrowers annually by:
- to raise the zero payment threshold for single borrowers from $25,000 to $40,000;
- align the repayment income thresholds for larger households with the income thresholds for the Canada Student Grant;
- adjusting the repayment income thresholds annually to account for inflation; and
- reduce the monthly student loan payment cap from 20 percent of a borrower’s family income to 10 percent.
Saskatchewan is one of five provinces introducing increased thresholds for the repayment assistance plan this year.
The Repayment Assistance Plan was introduced in 2009 and targets low-income earners in Saskatchewan. Eligible applicants may qualify for reduced payments or no payments at all. Through this program, the province mitigates student loan defaults and provides financial assistance to the student loan borrowers who need it most.
This year, the Government of Saskatchewan will provide over $102.6 million in financial aid to more than 20,000 students. Students can apply for a number of government aids, including scholarships, bursaries and grants, and may also be eligible for the Graduate Retention Program, which provides up to $20,000 in income tax credits to those who live and work in Saskatchewan after graduation.
For more information on Saskatchewan Student Aid, visit: https://www.saskatchewan.ca/residents/education-and-learning/student-loans.
Student borrowers can learn more about the repayment assistance program by contacting the National Student Loans Service Centre: https://protege-secure.csnpe-nslsc.canada.ca/en/public/contact/contact-us.
For more information contact:
National Student Loan Service Center (NSLSC)