Canada's student loan system combines federal loans and grants from the National Student Loans Service Centre (NSLSC) with provincial programs. Understanding how both layers work helps you access the maximum funding available for your post-secondary education.
The Canada Student Loans Program (CSLP) provides need-based loans to eligible full-time and part-time students. Applications go through your provincial student aid portal, which simultaneously assesses federal and provincial eligibility. The federal maximum is $300/week of study for full-time students, minus grants received.
Non-repayable federal grants are assessed alongside loans. The Canada Student Grant for Full-Time Students from Low- to Middle-Income Families provides up to $3,000/year. Grants for students with disabilities and students with dependants are also available. Grants reduce the loan portion of your package.
Since April 1, 2023, Canada Student Loans carry zero interest for the life of the loan. Every payment reduces principal directly. With the standard 10-year repayment term, monthly payments are simply total principal divided by 120 — highly predictable and affordable compared to market-rate debt.
Each province has its own student assistance program that stacks on top of federal loans: OSAP (Ontario), Alberta Student Aid, StudentAid BC, and others. Some provinces have also eliminated interest on their provincial loans. Applications are typically integrated — you apply for both through the provincial portal.
Repayment begins six months after you leave school. No interest accrues during the six-month grace period. Standard repayment is 10 years. You can pay extra or pay off early at any time with no penalty. Income-based protection via the Repayment Assistance Plan (RAP) is available if payments are unaffordable.
Apply through your province's student aid portal each academic year. You'll need your SIN, CRA consent form, school enrollment details, and bank account information. Apply early — funding is released at the start of each semester and late applications can delay your first payment.
KOHO offers free banking with no monthly fees. Use code 45ET55JSYA for a bonus when you sign up.
Open KOHO Free — No Fees — Code 45ET55JSYA