Graduates No Longer Have to Repay Student Loans Until Making Over $40,000
Canadian graduates earning under $40,000 a year will no longer have to repay their government-issued student loans until after they have a higher income, the federal government announced Tuesday.
“Graduates will not have to start repaying their federal loans until they earn at least $40,000 per year and maximum payments will also be lowered from 20 percent to 10 percent of household income,” said employment minister Carla Qualtrough during question period in the House of Commons on Nov. 1.
“This will support an estimated 180,000 borrowers each year,” she said.
Leading up to the federal election in September 2021, the Liberals promised that, upon reelection, they would increase the student-loan repayment assistance threshold to $50,000 for unmarried graduates, but have yet to do so….