From The Toronto Star:
Statistics Canada reports about 27 per cent of 2005 graduates with bachelor's degrees still owed an average of $16,200 in government loans two years after they graduated in 2005. Another 15 per cent owed an average of $31,600 in government and other loans.
Fully 43 per cent of those owing more than $25,000 reported having difficulty paying their loans, although fewer than 11 per cent were unemployed in 2007.
Ottawa has announced it will begin to phase out interest and other debt relief options for borrowers under the Canada Student Loans Program beginning Aug. 1. They will be replaced by a new program known as the repayment assistance plan or RAP.
Payments will be geared to income, with a limit of 13.3 per cent of a borrower's monthly gross income for federal loans and 20 per cent in provinces where governments adopt the RAP for their loans. No payments on federal loans will be required for those individuals with a gross annual income of $20,000 or less. For those required to make only partial payments, Ottawa will pay the remainder to ensure payments can cease after 15 years or 10 years for persons with permanent disabilities.
0 comments:
Post a Comment