Canada Student Loans Regulations (SOR/93-392)

Removal of Restrictions

• 10 (1) A borrower who has been the subject of a measure taken in accordance with subsection 9(3) or (5) is entitled to repayment assistance under section 19 or 20 of the Canada Student Financial Assistance Regulations or the loan forgiveness referred to in subsection 11.1(1) of the Act if, on or after the earlier of the day referred to in paragraph 9(1)(a), (b) or (i) of these Regulations and the day on which the measure was taken,

  • (a) the borrower has fulfilled the requirements of section 16 of the Canada Student Financial Assistance Regulations in respect of the borrower's student loans, if any;

  • (b) an event referred to in paragraph 9(1)(h) or subsection 9(9) has not occurred in respect of the borrower’s guaranteed student loans;

  • (c) a judgment has not been obtained against the borrower in respect of those loans;

  • (d) the borrower has, in respect of guaranteed student loan agreements, fulfilled the terms of a repayment arrangement entered into with the lender that is no more onerous to the borrower than six consecutive payments subsequent to a day that are made in accordance with those agreements, and has paid the interest accrued to that day; and

  • (e) the borrower has, in respect of guaranteed student loan agreements, fulfilled the terms of a repayment arrangement entered into with the Minister that is no more onerous to the borrower than six consecutive payments subsequent to a day that are made in accordance with those agreements, and

    • (i) has paid the interest accrued to that day, or

    • (ii) has directed, for the first time under this paragraph, paragraph 16(1)(d) of the Canada Student Financial Assistance Regulations or paragraph 7(1)(b) of the Apprentice Loans Regulations, the addition of the unpaid accrued interest to that day to the outstanding principal.

• (2) Where a borrower is subject to a measure taken in accordance with subsection 9(4) due to the occurrence of an event referred to in any of paragraphs 9(1)(c) to (g), the borrower has the rights referred to in subsection (1) if

  • (a) the borrower has fulfilled the requirements of section 16 of the Canada Student Financial Assistance Regulations in respect of the borrower's student loans, if any;

  • (b) an event referred to in paragraph 9(1)(h) or subsection 9(9) has not occurred in respect of the borrower’s guaranteed student loans;

  • (c) the borrower has complied with paragraph (1)(d), in the case where the consumer proposal has been annulled or deemed annulled or the provincial law relating to the orderly payment of debts no longer applies to the borrower for a reason other than that the borrower's full compliance with that law and an event referred to in paragraph 9(1)(c), (d) or (f) has not occurred;

  • (d) in any case other than that referred to in paragraph (c), the borrower has not been released of the borrower's student loans and guaranteed student loans; and

  • (e) a judgment has not been obtained against the borrower in respect of those loans.

• (3) [Repealed, SOR/2009-212, s. 10]

Payment of Principal and Interest

11 The principal amount of a guaranteed student loan made to the borrower as a full-time student, and any interest, commence to be payable by the borrower on the last day of the seventh month after the day on which the borrower most recently ceased to be a full-time student under section 4.1.

Administration of Guaranteed Student Loans

• 12 (1) A borrower shall attend any meeting called to discuss the borrower's guaranteed student loan, where requested to do so by the lender or Her Majesty or her agents.

• (2) A borrower shall authorize the lender to exchange with consumer credit grantors, credit bureaus and credit reporting agencies information in relation to all guaranteed student loans of the borrower, in accordance with any laws applicable to unsecured loans to which the Act does not apply and which are in effect in a province in which the guaranteed student loan agreement is made, or in a province in which a lender to which the loan agreement is assigned is situated.

• (3) [Repealed, SOR/2009-143, s. 20]

12.1 [Repealed, SOR/2023-273, s. 8]

13 [Repealed, SOR/2023-273, s. 8]

14 [Repealed, SOR/2023-273, s. 8]

15 [Repealed, SOR/2023-273, s. 8]

16 [Repealed, SOR/2023-273, s. 8]

16.1 [Repealed, SOR/2023-273, s. 8]

16.2 [Repealed, SOR/2023-273, s. 8]

16.3 [Repealed, SOR/2023-273, s. 8]

16.4 [Repealed, SOR/2023-273, s. 8]

16.5 [Repealed, SOR/2023-273, s. 8]

Repayment Assistance Plan

16.6 Sections 19 to 26 of the Canada Student Financial Assistance Regulations apply to borrowers and lenders.

Loan Forgiveness — Under-Served Rural or Remote Communities

Application

17 Sections 18 and 19 apply to a borrower who does not have any outstanding student loans under the Canada Student Financial Assistance Act.

Amount and Duration of Forgiveness

• 18 (1) Subject to subsection (3), for the purposes of section 11.1 of the Act, the Minister may forgive the lesser of the outstanding principal of the borrower’s student loan and

  • (a) for the first year in respect of which the borrower qualifies for loan forgiveness,

    • (i) $8,000 in the case of a family physician, dentist, pharmacist or psychologist,

    • (ii) $4,000 in the case of a nurse, nurse practitioner, midwife, teacher, social worker or physiotherapist, or

    • (iii) $2,000 in the case of an early childhood educator, dental hygienist or personal support worker;

  • (b) for the second year in respect of which the borrower qualifies for loan forgiveness,

    • (i) $10,000 in the case of a family physician, dentist, pharmacist or psychologist,

    • (ii) $5,000 in the case of a nurse, nurse practitioner, midwife, teacher, social worker or physiotherapist, or

    • (iii) $2,500 in the case of an early childhood educator, dental hygienist or personal support worker;

  • (c) for the third year in respect of which the borrower qualifies for loan forgiveness,

    • (i) $12,000 in the case of a family physician, dentist, pharmacist or psychologist,

    • (ii) $6,000 in the case of a nurse, nurse practitioner, midwife, teacher, social worker or physiotherapist, or

    • (iii) $3,000 in the case of an early childhood educator, dental hygienist or personal support worker;

  • (d) for the fourth year in respect of which the borrower qualifies for loan forgiveness,

    • (i) $14,000 in the case of a family physician, dentist, pharmacist or psychologist,

    • (ii) $7,000 in the case of a nurse, nurse practitioner, midwife, teacher, social worker or physiotherapist, or

    • (iii) $3,500 in the case of an early childhood educator, dental hygienist or personal support worker; and

  • (e) for the fifth year in respect of which the borrower qualifies for loan forgiveness,

    • (i) $16,000 in the case of a family physician, dentist, pharmacist or psychologist,

    • (ii) $8,000 in the case of a nurse, nurse practitioner, midwife, teacher, social worker or physiotherapist, or

    • (iii) $4,000 in the case of an early childhood educator, dental hygienist or personal support worker.

• (2) The maximum number of years in respect of which an amount may be forgiven in respect of a guaranteed student loan is five minus the number of years in respect of which an amount has been forgiven under subsection (1) in respect of a previous guaranteed student loan or under subsection 28(1) of the Canada Student Financial Assistance Regulations.

• (3) The amount that the Minister may forgive for a year is to be reduced by any amount that was forgiven for that year under section 9.2 of the Canada Student Financial Assistance Act.

Conditions and Effective Date

• 19 (1) For the purposes of subsection 11.1(1) of the Act, to qualify for forgiveness for a year, the borrower must

  • (a) either

    • (i) have begun to work during the year by providing in-person services as a family physician, dentist, pharmacist, psychologist, nurse, nurse practitioner, midwife, teacher, social worker, physiotherapist, early childhood educator, dental hygienist or personal support worker in an under-served rural or remote community, or

    • (ii) have continued to work during the year by providing in-person services as a family physician, dentist, pharmacist, psychologist, nurse, nurse practitioner, midwife, teacher, social worker, physiotherapist, early childhood educator, dental hygienist or personal support worker in a community in respect of which the borrower qualified for loan forgiveness for the previous year;

  • (a.1) subject to subsection (4), have worked at least 400 hours; and

  • (b) apply to the Minister in the prescribed form no later than 90 days after the end of that year.

• (2) The loan forgiveness takes effect on the day following the end of the year.

• (3) For the purposes of subsection (1), the results of a census of population apply six months after the day on which the census is published by Statistics Canada or on the November 1 following that day, whichever is later.

• (4) The Minister may decide that a borrower who worked fewer than 400 hours but at least one hour during the year still qualifies for loan forgiveness for the year if the Minister is of the opinion that the borrower was unable to work because they

  • (a) had an illness, a disability or a bodily injury or were quarantined;

  • (b) were providing care or support to a family member who had an illness, a disability or a bodily injury or who was quarantined;

  • (c) were pregnant or gave birth; or

  • (d) were caring for their newborn or newly adopted child.

20 [Repealed, SOR/2009-212, s. 13]

21 [Repealed, SOR/2009-212, s. 13]

21.1 [Repealed, SOR/2009-212, s. 13]

21.2 [Repealed, SOR/2009-212, s. 13]

Misrepresentation

22 Where an appropriate authority or a lender has reason to believe that an application for a guaranteed student loan or for a certificate of eligibility or other document in respect of a guaranteed student loan contains a false statement or misrepresentation, the appropriate authority or lender shall forthwith report to the Minister any information in support of its belief.

Transfer or Assignment

• 23 (1) In this section and section 23.1,

  assignee lender

  assignee lender means a lender to which a borrower's outstanding guaranteed student loan agreements are assigned in accordance with this section; (prêteur cessionnaire)

  assignor lender

  assignor lender means a lender that assigns a borrower's outstanding guaranteed student loan agreements in accordance with this section. (prêteur cédant)

• (2) Subject to section 23.1, a borrower may request the assignment of all of the borrower's outstanding guaranteed student loan agreements if the following conditions are met:

  • (a) the borrower completes the prescribed form to request an assignment of guaranteed student loan agreements;

  • (b) the borrower submits the completed form to the assignor lender; and

  • (c) the assignee lender accepts the agreements to be assigned.

• (3) Where subsection (2) is complied with, the assignor lender shall sign the assignment agreement and forthwith send to the assignee lender the borrower's guaranteed student loan agreements and all other documentation in respect of those agreements.

• (4) Subject to subsection 23.1(3), on receipt of the agreements and other documentation referred to in subsection (3) and on verification that subsection 23.1(1) has been complied with, the assignee lender shall pay to the assignor lender an amount equal to the aggregate of the outstanding balance of the principal of the guaranteed student loans as of the day of the payment and any unpaid interest accrued on those loans to that day.

• (5) An assignment made in accordance with this section shall take effect on the day before the day of the payment referred to in subsection (4).

• (6) If the assignor lender cannot produce all or part of a document required by subsection (3) to be sent to the assignee lender, the assignor lender shall complete a summary of the disbursements that have been made under the borrower's guaranteed student loan agreements and shall send the summary to the assignee lender.

• (7) The summary must be completed in prescribed form and must include a statement of accounts.

• (8) The assignee lender shall ask the borrower to acknowledge the total value of the borrower's outstanding loan liability by signing the summary.

• (9) After the summary has been signed by the borrower, the summary shall, for the purposes of these Regulations, be treated as if it were the missing document or the missing part of the document.

• 23.1 (1) No assignment of guaranteed student loan agreements shall be made unless the borrower has

  • (a) complied with paragraphs 3(1)(d) and (e), if applicable to the borrower; or

  • (b) paid to the assignor lender all instalments required from the borrower in accordance with the borrower's guaranteed student loan agreements to the date of the request to assign, where none of the provisions referred to in paragraph (a) apply to the borrower.

• (2) Where a borrower has both outstanding guaranteed student loan agreements for which the Minister has not paid a claim for loss and outstanding risk-shared loan agreements, those agreements must be held by the same lender.

• (3) A lender that is not a lender under the Canada Student Financial Assistance Act may refuse to accept an assignment of a borrower's guaranteed loan agreements.