Student loans is a safety net that provides financial supports for domestic and international students. This provides peace of mind for the students as the financial stress attached to high school fees can jeopardize the student studies.
10 Best Options for Funding Your Dream Education in 2024 (Canada Student Loans);
Firstly, when it comes to student loans in Canada, there are three options:
- Government student loans
- Private Student loans
- International student loans
1. Government student loans
a. Canada provides students loan to students through “Canada Student Loans Program” (CSLP). This is to help students afford their education and have less burden paying for education. This program is available to Canadian citizens, permanent residents and protected persons.
However, there are other loan opportunities for international students who are seeking financial support for their studies in Canada.
The Canada Student Loan Program (CSLP) has very low interest rates as compared to private loans, you are not obliged to stary repaying until 6 months after graduation. This is an awesome feature of the Canada Student Loan Program. Also, the interest does not accrue while you’re in school and there’s a high possibility of loan forgiveness or repayment assistance.
To get started on Canada Student Loan Program (CSLP) visit Canada Student Loan Program
Note: As an international student, you are not eligible for CSLP, but don’t worry, there are other options available to you.
b. Provincial Student Loans
Provincial student loans are offered by each Canadian province. This student loan offers work in conjunction with the CSLP to provide a comprehensive funding package for students. The provincial student loans may offer additional grants or bursaries to students who qualify. Often, it is integrated with the federal loan application as its specific to each province.
Note: These are typically for Canadian citizens or permanent residents, but there are international student loan offers just below, keep reading friend.
2. Private Student Loans in Canada
For International students, private student loans are often the go-to option as it’s readily available. Student loan is a way to ease the financial stress attached to paying for education and these private loans institutions exist to make it easier for you. Here are some of the best students loan options for international students in Canada;
a. Royalty Bank of Canada (RBC) Student Line of Credit
Royal bank of Canada student line of credit is one of the most popular and largest banks offering financial supports to students with flexible repayment options.
Royal bank offers up to $150,000 CAD with very competitive interest rates. With Royal bank of Canada student line of credit, you only need to pay the interest that accrues on your loan, not the principal amount you borrowed.
Also, there’s an interest-only payment period for up to 2 years after you’ve graduated.
To get started you can visit Royal Bank of Canada (RBC) Student Line of Credit
b. TD Canada Trust Student Line of Credit
TD bank is a major student line of credit player in Canada, offering the highest borrowing limits for their students. Especially the medical and dental students. With TD Canada Trust you can get up to $120,000 CAD as a student. This offer comes with low interest rates as compared to numerous personal loans which makes it the best for you. Also you will be able to customize your repayment plan to fit your income. Like many companies offering Student Line of Credit, TD Canada Trust has an interest only payments while in school.
To get started visit TD Canada Trust
c. CIBC Education Line of Credit
As a student seeking student loan CIBC education line of credit offers a direct education line of credit for you with a competitive interest rate and flexible repayment terms. With CIBC you can borrow up to $120,000 CAD. They make it easy to manage to your finances by providing you with resources which will help with your finances while your studying.
To get started visit CIBC Education Line of Credit
d. Scotiabak Student Line of Credit
Scotiabank student line of credit offers students up to $150,000 CAD. This loan comes with a highly competitive interest rate and an interest only payment while in school.
With Scotia bank student line of credit you have access to a 6 month graduation grace period which gives you time to make some earnings, settle in and resume repayment.
They also offer a 12 months of interest only payments after graduation.
To get started visit Scotiabank Student Line of Credit
e. BMO Student Line of Credit
Bank of Montreal (BMO) actually rounds out one of “Big Five” Canadian banks and has been in existence since 1817. They offer students up to $120,000 CAD with competitive interest rates. The BMO has solid backing of a major financial institution. The loans offered by BMO has an interest only payment while in school and a flexible repayment option.
To get started visit BMO Student Line of Credit
3. International Student Loans
As an international students seeking loans for your studies here are a couple of options you can explore:
a. MPOWER Financing
MPOWER Financing is a financial institution that has provided loans for international student since 2014. It has fast grown to become one of the largest loan providers for international students.
MPOWER Financing provides loans up to $100,000 USD total, with a maximum of $50,000 per academic period. You can acquire this loan with no cosigner or collateral and it is available to students from 190+ countries.
MPOWER Financing goes beyond providing loans, they offer career support services like, resume reviews, internship placement assistance and job placement support after graduation.
MPOWER Financing loans has a repayment terms of 10 years. And it grants you a a grace period of 6 months after graduation. It interest rates are fixed and varies based on the specific loan product and borrower’s profile.
To get started visit MPOWER Financing
b. Prodigy Finance
Prodigy finance provides students loans up to 100% of the cost of attendance (as defined by the school). This finance institution has been in operation since 2007. Over the years it has provided loans to students to fund their education. Prodigy finance is unique for it competitive interest rates and provision of career support to students. This career supports is in the form of resume reviews, internship placement assistance and job placement support after graduation.
The loan offers provided by prodigy finance are tailored for postgraduate student from over 150 countries. The application doesn’t requite a cosigner or collateral. Also, they put into consideration your future earning potential while offering the loans.
To get started visit Prodigy Finance
Tips for Choosing the Right Student Loan
Before choosing a student loan here are some tips you should consider;
1. Interest Rates: As an international student seeking loan for studies, it is crucial you compare interest rates from various student loan companies. When you shop around, you stand a chance of saving thousands of dollars over the life of your loan. The best choice can just be one more research away. Therefore, compare as many loan offers as you can.
2. Look at repayment terms: Most students loan offers come with a flexible repayment terms of 6 months grace period after graduation. However, not all do. Ensure to thoroughly look at the repayment terms to determine how long you have to fully repay the loan. Also, when does repayment start.
3. Check Eligibility Criteria: Go through the eligibility criteria and be sure you qualify before applying for the loan.
4. Consider the total cost: It is important you look out for any fees or charges attached to the loan while applying. The interest rates might be low but the fees or charges attached to getting the loan might be high. That is a red flag.
5. Read the Terms and Conditions: It is common people accept terms and conditions online without even reading or looking at it. It is very important you read the terms and conditions before agreeing.
6. Think about your future income: As you apply for the loan, take into consideration how to proper manage your repayment with your expected salary after graduation. You need to be sure you can repay the loan.
Conclusion
Getting financial support for your studies in Canada can be challenging but with this, the journey should have been made lots easier. Remember to put to practice the tips and research which loan option will suit your need. Happy studies!
