Banff 
The federal government has confirmed the permanent elimination of interest on Canada Student Loans and Canada Apprentice Loans under the Canada Student Financial Assistance Program.
The permanent elimination of interest on Canada Student Loans and Canada Apprentice Loans was first announced in the 2022 Fall Economic Statement.
This move will benefit over 1.2 million post-secondary graduates in Canada each year, saving them an average of $520 per year, based on current interest rates. This change will take effect from April 1, 2023, and has an estimated cost of $2.7 billion over five years, with ongoing costs of $556.3 million.
The government says eliminating interest on student loans will reduce the financial burden of post-secondary education, ensuring that more Canadians have access to inclusive and quality education.
Those who already have loans will have to pay any interest that may have accrued on their loan before April 1, 2023.
In addition, the proposed enhancements to financial assistance included in budget 2023 for the school year starting August 1, 2023, include a 40% increase in Canada Student Grants, which will provide up to $4,200 for full-time students. The interest-free Canada Student Loan limit will be raised from $210 to $300 per week of study. Additionally, mature students aged 22 years or older will not have to undergo credit screening to qualify for federal student grants and loans for the first time.
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“Life has become more expensive for Canadians, including students and recent graduates. That is why our government has permanently eliminated interest on Canada Student Loans and Apprentice Loans,” said the Minister of Employment, Workforce Development and Disability Inclusion, Carla Qualtrough, announcing the decision.
“Combined with the measures introduced in Budget 2023 this week, we are helping students and new graduates finish their studies, keep more money in their pockets and successfully transition to the workforce.”
According to the new release, these changes align with Canada’s commitment to inclusive and equitable quality education and lifelong learning opportunities for all, as part of its efforts to achieve Sustainable Development Goal 4: Quality Education.
Quebec, the Northwest Territories, and Nunavut do not participate in the Canada Student Financial Assistance Program and receive alternative payments from the government to administer their own student financial assistance measures.
Do we know if Quebec will have to do the same thing since they have their own student aid program.
I have been paying my loan faithfully since 2019 and I am still paying interest. Can you please forward me information on how to apply to get the interest removed.
Contact: National Student Loans Service Centre https://protege-secure.csnpe-nslsc.canada.ca/en/public/contact/contact-us