This website is a testimony to the problems Canadian Student Loan borrowers experienced from approximately 1996 to 2008 and until their loans were paid off.

The privatization of the Student Loans system by the Chretien and Martin Liberal governments broke the system and defaulted thousands of borrowers who were trying to pay their loans. There were even stories of suicide due to the harassment of borrowers.

Read the report that I prepared back in 2007 here. Canada Student Loans-The Need for Change Fortunately the new Conservative government at the time revamped the program and fixed the system for new borrowers, but borrowers under the previous program were left with ruined credit and continued harassment from debt collectors.

I call on the Canadian Government to apologize to the borrowers affected by this fiasco and make amends.

Unfortunately the Liberal government is again clobbering the Education system with their upcoming changes to International Student Visas. Yes, there's a problem, but instead of a well thought out plan, they have pulled the emergency brake on the train causing a derailment. This has introduced unprecedented instability for both private and public education institutions who serve both international and local students.

Universities can't plan. I've heard of courses being cut because the government has no process in place for universities to send the newly required acceptance letters to the government.

This means that students who have been accepted can not attend courses that start in the summer 2024 semester. With cut sections, current Canadian students will have trouble getting courses, and may have to switch to part-time which changes their enrollment status and might trigger repayment of their loans or ineligibility for funding. I've seen this before. It wreaks havoc on the student loan borrowers.

Again, the Liberal government has messed up the education environment. Will the new system needed in a rush for the acceptance letters be the new Arrivecan scandal?

I call on the government to implement a slower phased in approach and delay the requirement of the acceptance letters until a process is in place to submit these letters.


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Forum LockedCan the CRA Freeze Bank Account if I'm paying?

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kayrock View Drop Down
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    Posted: 26/April/2017 at 8:58am
Hi there, I NEED ADVICE!

I have been making payments of what I can a month on my $9300 student loan.  Usually in the amount of $200 a month if I have it.  They are calling my work and hounding me telling me this amount is unacceptable and I need to pay up more. 
I have explained to them that I can not have the conversations at my office, and I am at least paying what I can which is around $200 a month, which is better than nothing.  I am a single mother who makes less than $28,000 a year.  In fact last year I made less than $22,000 and same the year before, because  I was on Mat leave for 6 months of each previous year.  in 2015/2016 I had an arrangement where I payed $100/month because I was on mat leave and had no money, and even then that was too much considering how little I was bringing in and the full costs of my expenses. 

I'm terrified they will freeze my bank account and take my money or garnish my wages, since I haven't been able to reach them during business hours to try and discuss this matter.  If I am paying SOMETHING, can they do this?

I live in constant fear of having my account frozen, drained and then not being able to pay for rent, daycare, food, transportation, becoming homeless and losing my job. 

Any advice would be amazing!
Thanks!
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Post Options Post Options   Thanks (0) Thanks(0)   Quote SolveStudentDebt Quote  Post ReplyReply Direct Link To This Post Posted: 26/April/2017 at 1:19pm
They won't freeze your bank account unless they have a judgment, and issue a  requirement to pay to your bank.  So if you haven't been sued by them then it won't happen.

This information is based on you owing the government of Canada for a student loan.  


Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

solvestudentdebt.com
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kayrock View Drop Down
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Post Options Post Options   Thanks (0) Thanks(0)   Quote kayrock Quote  Post ReplyReply Direct Link To This Post Posted: 26/April/2017 at 1:42pm
Hli was under the impression you don't know when this happens. It just does. Am I wrong?
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Post Options Post Options   Thanks (0) Thanks(0)   Quote SolveStudentDebt Quote  Post ReplyReply Direct Link To This Post Posted: 27/April/2017 at 1:02pm
Student loans require a judgment, and execution order that allows them to issue an RTP on a bacnk account. Same as a wage attachment and garnish. 
Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

solvestudentdebt.com
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Post Options Post Options   Thanks (0) Thanks(0)   Quote kayrock Quote  Post ReplyReply Direct Link To This Post Posted: 28/April/2017 at 6:15am
Okay, I see.  

But will I be notified this is happening before it happens, or will I go to buy groceries one day and all of a sudden my bank account is frozen?  I guess that is what I'm asking.. Will I know this is about to happen, or will it just happen?

And will they do this even though I am already paying them money every month?
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Post Options Post Options   Thanks (0) Thanks(0)   Quote SolveStudentDebt Quote  Post ReplyReply Direct Link To This Post Posted: 28/April/2017 at 4:56pm
If it is a Canada student loan direct with the feds, and you are not a federal government employee,then you will have lots of notice. They have to file a statement of claim and serve you with it, and then obtain a judgment first before any execution order can be filed. 

If you are federal government employee, then they (CRA Legal Services and SDC) can impose a wage attachment under the Financial Administration Act (FAA) and apply that money to unpaid crown debt. 
Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting.

solvestudentdebt.com
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