To help more students prepare for good jobs while taking on less debt, we will move forward with more generous Canada Student Grants and more affordable and flexible student loans.
We will give full- and part-time students up to $1,200 more per year, through increased Canada Student Grants, and will give students two years after graduation to get started in their career before they need to begin paying off their student loans, interest-free. We will also change the rules so that graduates won’t have to start repaying their loans until they make at least $35,000, and if their income ever falls below this level, their payments will be put on hold.
To make it easier for parents to focus on their families rather than their debt, we will allow new parents to pause their student loan repayments, interest-free, until their youngest child reaches the age of five. New parents who have graduated but haven’t yet finished paying off their student loans will also get to hit pause until their child turns five.
Additional compensation will be offered to provinces and territories that do not participate in the Canada Student Loan Program.