Interest-Free Status for Students with Full or Part-time Government Loans

New Process and Deadlines for Continuation of Interest-Free Status on Full-time Loans

OSAP loans are payment and interest-free while a student attends post-secondary full time.

  • Students must be enrolled in at least 60% of a full course load (1.5 credits) each semester
  • Students with a permanent disability must be enrolled in at least 40% of a full course load (1.0 credit) each semester
  • Graduate students must be registered in a graduate program as a full-time student

If you are on a co-op work term, or in school but not taking OSAP for a semester, you must apply for Interest-Free status on your loans

  • New, beginning in May 2017, students may log into their account on the OSAP website and submit an interest-free form electronically, OR
    • you can download the new paper form from theĀ OSAP web site
    • paper forms printed before April 25, 2017 can no longer be accepted
    • bring the completed form to the Student Financial Services office, 3rd Floor, University Centre
  • Out-of-province students should consult their home province's government aid web site for specific information, and may visit the Financial Aid office for a Schedule 2, interest-free form (please bring your government-issued photo identification)

New Deadlines for Interest-Free Status requests:

  • Submit requests up to 15 days before the start of your study semester and no later than 21 days before the end of your study period
  • Late requests cannot be processed

Repayment after your studies have ended

  • All payments are made to the National Student Loan Service Centre (NSLSC), phone 1-888-815-4514
  • There is a six month grace period after your last full-time study session. You will begin your repayments after the six month period expires
  • During the grace period interest accumulates on the federal portion of your loan, but not on the provincial portion
  • You may start your repayments early, and save interest charges
  • If you cannot afford to start making payments, please contact the NSLSC or follow the Repayment Assistant Program links on the Canlearn or OSAP web sites

Interest Free Status for Part Time Loans

  • You are not required to make loan payments while you are in school
  • Please note that interest will accumulate on your part-time loan while you are in school

How to maintain interest-only status & avoid repayment while in school:

  • If you are taking more part-time loan funding, then the Government is signalled that you are in school when your loan is processed and no further action is required by you
  • If you are not taking any loans, or are taking full-time loans, and have previous part-time loans, it is important to keep your part-time loans in payment-free status
  • To keep your part-time loans payment free, please visit the Financial Aid office and ask for a Canada Student Loans Program Confirmation of Enrolment (Schedule 2)
  • The Schedule 2 can be completed on-line; please visit the web site
University of Guelph
50 Stone Road East
Guelph, Ontario, N1G 2W1