Interest-free student loans are the bare minimum
A consistent and churning effect of the pandemic regarding financial and mental implications continues to impact many Canadian students, families and workers. To combat the struggles students face regarding finances and online schooling, bill C-14 was introduced by the Government of Canada. This bill officiates interest-free student loans for post-secondary students until March 31, 2023. Although not passed by the House of Commons yet, the National Student Loans Services Centre (NSLSC) has already implemented interest-free loans for students. This $4.1 billion investment aims to relieve financial stresses upon post-secondary students by removing additional interest on student loans and thus, less money paid by students.
TORONTO Starting April 1, the interest rate has been set to zero per cent for the federal portion of student loans, but activists say that s not enough to support recent graduates, many of whom continue to struggle to find jobs as the pandemic persists. The proposal to drop the interest rate is included in Bill C-14, which sets out to implement measures included in the fall economic update. While that bill has yet to pass the House of Commons, the National Student Loans Services Centre (NSLSC) has already implemented the interest moratorium, which will last until March 31, 2022. Patty Facy, who graduated from the University of Toronto last year with a Master of Information degree, said the moratorium is too little, too late. Facy is part of the #FreezeTheNSLSC campaign, started by recent graduates calling on the federal government to freeze student loan repayments during the pandemic.