There is exciting news about Student Loans for anyone struggling to repay their student loan from the Federal Government. The Government of Canada announced in late October that people with student loans will not have to make payments on their student loan if they are earning less than $25,000.00 per year.
From our understanding, a student will still need to apply for this program by going on the student loan website and applying for Premium Assistance.
There are also changes to the Student Grant program that now give more money to students on low income.
This is all very exciting news as we meet many people on a regular basis who are struggling with large Student Loans.
This does not mean that the Government is forgiving the student loan debt, they are just allowing people to pay less back per month (or nothing) when they are no longer a full-time student. This is a big help to those struggling to repay their Federal Student Loans.
Even with this program, there are still many people who are left with big student loan debt problems. Quite often, we see people acquire additional bank and credit card debt in addition to their Student Loan debt. If this happens, it can create a lot of financial hardship for recent grads who end up having high debt payments. It may seem impossible to manage paying everything. This problem is especially compounded if the person does land a good job after completing their studies.
Another problem: There are a lot of people who do not fully complete their post secondary education programs due to many different reasons (lack of funds to complete, moving, surprise parenthood etc.). For those who are unable complete their studies, they can be left with a lot of debt but no actual degree to aid them in getting the higher paying job they were aiming for.
There are so many different factors and situations that can lead to financial difficulties and high debt load for young people out of school. If that is you, and you are struggling under a mountain of debt of any type, please reach out to us for help reducing and/or consolidating the debt. We can help you through the process of reducing that actual amount of student debt that you and lowering your payments. This can possibly apply to any debt that you may have. It is possible to first reduce, then consolidate all your debt into one easy low payment that is more affordable. Either reach out to us by phone for more information, or read the article listed below to learn more about how to fully eliminate your Student Loan Debt and achieve financial freedom.