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 LockedUS student loans and CP

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OD123 View Drop Down
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Joined: 16/March/2013
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Post Options Post Options   Thanks (0) Thanks(0)   Quote OD123 Quote  Post ReplyReply Direct Link To This Post Topic: US student loans and CP
    Posted: 16/March/2013 at 5:06am
I have been reading this forum for a while, and even though I've been scraping by on my payments I have recently had to borrow $ to cover a payment.  I am considering a CP but am terrified of the consequences.
I generated the bulk of my loans in the US where I did my post grad studies.  At graduation (2007) I had $110K at Sally Mae (14% interest), and another 40000 at Teri loans (9% interest).  Plus about 22000 in OSAP and 80K line of credit. The US loan amounts were after the interest was tacked on at the end of study date.

Since the interest at the time was so high and I was worried about the Canadian dollar falling I managed to transfer the Sally Mae loan into a line of credit at Royal.  As of today I have $120K at Royal, about $44K to my parents line of credit, and about 8K to OSAP.  The TERI loan was split up into two, they sold 20k to wells fargo and the now 17k is still at TERI.

Since I make about 120K per year I have been doing my best to pay it back. I have chipped away at it slowly, but I don't see much of it going away. 

This question is to John or anyone else who can help, if it seems that these loans will be with me till I die, should I at least consider a CP and move on with my life in 5 years or keep swimming uphill.
I really don't see an end to this, I am 35 years old, I have about 45k in RRSP (mostly as tax shelter) and I feel I will always be in the hole.

Any help is appreciated.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote mcjupto Quote  Post ReplyReply Direct Link To This Post Posted: 17/March/2013 at 12:24pm
Im so tired of this system.   Even if you have good credit now a days you get scrutinized way to hard(and probobly DENIED), and the home-builders are only building GIGANTIC HOMES now a days, so your FORCED into HUGE mortgages... Its just not worth it anymore...

As far as im concerned SCREW good/bad credit in general.  You can get by in life without EITHER, as long as you have MONEY...

I got denied once for an apartment because of bad-credit, but then they asked me HOW MUCH MONEY I had in my bank account... So what does that tell you?  No matter HOW BAD your credit is.. MONEY TALKS...

Im 37 years old and do construction for a living and make $18 an hour.. I cant even afford to start a family (sorry dad, your family name is dying with me). 

Ive already had one bankruptcy and I'm seriously considering a second bankruptcy to get RID of $30 000 in student loan debt..People try to demonize you for choosing bankrupty, but life is SO SHORT, you can spend it trying to "do the right thing" only to be destroying yourself in the process, whether its psychological, emotional, or financial destruction.  Im SICK of trying to "do the right thing" when NO ONE cares if I do or not, only the people I owe money to care.

Only person you can count on in life is yourself.  No one else really gives a sh*t about you, not even your family.  I'm a shining example of that.
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