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Fall Economic Statement Implementation Act, 2022 (S.C. 2022, c. 19)

Assented to 2022-12-15

PART 4Various Measures (continued)

DIVISION 5Student Loans and Apprentice Loans

R.S., c. S-23Canada Student Loans Act

 Section 4 of the Canada Student Loans Act and the heading before it are replaced by the following:

Interest and Periods Free of Repayment

Marginal note:No accrual of interest

  • 4 (1) Beginning on April 1, 2023, no interest is payable by a borrower on a guaranteed student loan.

  • Marginal note:Clarification

    (2) For greater certainty, nothing in this section relieves a borrower from liability for interest that accrued before April 1, 2023 on a guaranteed student loan.

 Subsection 5.1(1) of the Act is replaced by the following:

Marginal note:Agreement to pay interest

  • 5.1 (1) The Minister may enter into an agreement with a lender respecting the payment of interest, or a province respecting the payment of interest on provincial student loans, by borrowers who are referred to in a regulation that is made under paragraph 17(s.2).

 Section 5.2 of the Act is replaced by the following:

Marginal note:Personal information

5.2 Personal information, as defined in section 3 of the Privacy Act, that is under the control of a government institution, as defined in that section, shall, on request, be made available to the Minister for the purposes of a regulation that is made under paragraph 17(s.2) or (s.3).

 Subsection 6(1) of the Act is replaced by the following:

Marginal note:Interest payable by Minister

  • 6 (1) The Minister shall pay to a lender, in respect of each guaranteed student loan made by that lender to a full-time student, interest at the prescribed rate in respect of any period or periods before April 1, 2023 described in section 4, as it read from time to time before April 1, 2023, in respect of which no interest was payable by the borrower on the loan.

 Subparagraph 7(f)(i) of the Act is replaced by the following:

  • (i) in the case of a loan made to a full-time student, provisions respecting payment of the principal amount of the loan and interest on the loan by the borrower as described in section 4, as it read at the time that the agreement was entered into, section 5 and any other provisions that may be prescribed, or

 The heading before section 10 and sections 10 and 11 of the Act are repealed.

  •  (1) Subparagraph 16(2)(a)(i) of the Act is replaced by the following:

    • (i) subject to subsection (3), the aggregate of all amounts paid by the Minister in that loan year to lenders under sections 6, 7 and 8, paragraph 10(b), as that paragraph read from time to time before April 1, 2023, and sections 12 and 13, and to collection agencies, in respect of guaranteed student loans made on the basis of certificates of eligibility issued or caused to be issued by the appropriate authorities for participating provinces that issued or caused to be issued such certificates in that loan year, minus all amounts collected by or on behalf of His Majesty in that loan year in respect of those loans,

  • (2) Subsection 16(3) of the Act is replaced by the following:

    • Marginal note:Exception

      (3) The amounts described in subparagraph (2)(a)(i) that were paid or collected in respect of a loan made to a part-time student or that were paid under paragraph 10(b), as it read from time to time before April 1, 2023, shall be included in the calculation set out in subparagraph (2)(a)(i) only if the government of the province satisfies the Minister that the provincial student loan plan includes provisions having substantially the same effect as the provisions of this Act relating to loans to part-time students or to the granting of special interest-free periods to borrowers respectively.

  • (3) Paragraph (a) of the definition net costs in subsection 16(6) of the Act is replaced by the following:

    • (a) the estimated aggregate of all amounts paid by the Minister in that loan year to lenders under sections 6, 7 and 8, paragraph 10(b), as that paragraph read from time to time before April 1, 2023, and sections 12 and 13, and to collection agencies, in respect of guaranteed student loans made on the basis of certificates of eligibility issued or caused to be issued in any loan year by the appropriate authority for that province

  • (4) Paragraph (a) of the definition total program net costs in subsection 16(6) of the Act is replaced by the following:

    • (a) the aggregate of all amounts paid by the Minister in that loan year to lenders under sections 6, 7 and 8, paragraph 10(b), as that paragraph read from time to time before April 1, 2023, and sections 12 and 13, and to collection agencies, in respect of guaranteed student loans made on the basis of certificates of eligibility issued or caused to be issued in any loan year by the appropriate authorities for participating provinces

  • (5) Subsection 16(7) of the Act is replaced by the following:

    • Marginal note:Exception

      (7) The amounts described in paragraphs (a) and (b) of the definition net costs in subsection (6) that were paid or received in respect of a loan made to a part-time student or that were paid under paragraph 10(b), as it read from time to time before April 1, 2023, shall be included in the calculation described in that definition only if the government of the province satisfies the Minister that the provincial student loan plan includes provisions having substantially the same effect as the provisions of this Act relating to loans to part-time students or to the granting of special interest-free periods to borrowers respectively.

  •  (1) Paragraph 17(m) of the Act is repealed.

  • (2) Paragraph 17(s.1) of the Act is repealed.

  •  (1) Paragraph 18.1(1)(a) of the Act is repealed.

  • (2) Subsection 18.1(2) of the Act is replaced by the following:

    • Marginal note:Outstanding student loans

      (2) If, before the day on which this section comes into force, a person knowingly made any false statement or misrepresentation, including by omission, in an application or other document or knowingly provided any false or misleading information, including by omission, in respect of a guaranteed student loan that is outstanding on that day, the Minister may take any measure set out in paragraphs (1)(b) to (f).

 Section 22.1 of the Act is replaced by the following:

Marginal note:Interest-free period — loan made on or after August 1, 1993

  • 22.1 (1) If a borrower ceased to be a full-time student at any time during the six months before the day on which section 323 of the Budget Implementation Act, 2019, No. 1 comes into force, no interest is payable by them on a guaranteed student loan referred to in subsection 4(2), as it read on November 1, 2019, for the period that begins on that day and ends on the last day of the sixth month after the month in which the borrower ceased to be a full-time student.

  • Marginal note:Interest-free period — loan consolidated after August 1, 1993

    (2) If a borrower referred to in subsection 4(4), as it read on November 1, 2019, ceased to be a full-time student at any time during the six months before the day on which section 323 of the Budget Implementation Act, 2019, No. 1 comes into force, no interest is payable by them on a guaranteed student loan referred to in that subsection for the period that begins on that day and ends on the last day of the sixth month after the month in which the borrower ceased to be a full-time student.

1994, c. 28Canada Student Financial Assistance Act

  •  (1) Subparagraphs 5(a)(i) and (ii) of the Canada Student Financial Assistance Act are replaced by the following:

    • (i) amounts equivalent to interest on a student loan made by the lender in respect of the period before April 1, 2023 for which no interest is payable by the borrower under subsection 7(1), as it read from time to time before April 1, 2023,

    • (ii) amounts equivalent to interest on a student loan made by the lender in respect of any period for which no interest is payable by the borrower under regulations made under paragraph 15(1)(n), as that paragraph and those regulations read from time to time before April 1, 2023,

  • (2) Paragraph 5(d) of the Act is repealed.

 Section 7 of the Act and the heading before it are replaced by the following:

Interest and Periods of Deferral

Marginal note:No accrual of interest

  • 7 (1) Beginning on April 1, 2023, no interest is payable by a borrower on a student loan.

  • Marginal note:Clarification

    (1.1) For greater certainty, nothing in this section relieves a borrower from liability for interest that accrued before April 1, 2023 on a student loan.

  • Marginal note:No fees

    (2) No fee of any kind may be charged to a borrower on a student loan in respect of any period of studies during which the borrower is a full-time or part-time student or in respect of any subsequent period ending on

    • (a) in the case of a student loan that is made to a full-time student, the last day of the sixth month after the month in which the borrower ceases to be a full-time student; and

    • (b) in the case of a student loan that is made to a part-time student, the last day of the sixth month after the month in which the borrower ceases to be a student, whether a part-time or full-time student.

 Subsection 9(1) of the Act is replaced by the following:

Marginal note:Agreement to pay interest

  • 9 (1) The Minister may enter into an agreement with a lender respecting the payment of interest, or a province respecting the payment of interest on provincial student loans, by borrowers who are referred to in a regulation that is made under paragraph 15(1)(k.2).

 Section 9.1 of the Act is replaced by the following:

Marginal note:Personal information

9.1 Personal information, as defined in section 3 of the Privacy Act, that is under the control of a government institution, as defined in that section, shall, on request, be made available to the Minister for the purposes of a regulation that is made under paragraph 15(1)(k.1), (k.2) or (k.3).

  •  (1) Paragraph 14(7)(a) of the Act is replaced by the following:

    • (a) amounts that are determined as a result of the application of subparagraph 5(a)(viii), section 7, as that section read from time to time before April 1, 2023, or section 10 or 11;

  • (2) Paragraph 14(7)(b) of the Act is replaced by the following:

    • (b) amounts in relation to programs established by regulations made under paragraph 15(1)(l), (m) or (p); and

  • (3) Subsection 14(7) of the Act is amended by striking out “and” at the end of paragraph (c) and by repealing paragraph (d).

  •  (1) Paragraphs 15(1)(i) to (k) of the Act are replaced by the following:

    • (i) prescribing the circumstances under which a loan or a certificate of eligibility may be denied to a student;

    • (j) prescribing student loans to which section 8, 10 or 11 or subsection 12(4) applies;

  • (2) Paragraph 15(1)(n) of the Act is repealed.

  •  (1) Paragraph 17.1(1)(b) of the Act is repealed.

  • (2) Paragraph 17.1(1)(f) of the Act is repealed.

 Section 20.1 of the Act is replaced by the following:

Marginal note:Interest-free period — loan to full-time student

  • 20.1 (1) If a borrower ceased to be a full-time student at any time during the six months before the day on which section 325 of the Budget Implementation Act, 2019, No. 1 comes into force, no interest is payable by them on a student loan referred to in paragraph 7(1)(a), as it read on November 1, 2019, for the period that begins on that day and ends on the last day of the sixth month after the month in which the borrower ceased to be a full-time student.

  • Marginal note:Interest-free period — loan to part-time student

    (2) If a borrower ceased to be a student, whether a part-time or full-time student, at any time during the six months before the day on which section 325 of the Budget Implementation Act, 2019, No. 1 comes into force, no interest is payable by them on a student loan referred to in paragraph 7(1)(b), as it read on November 1, 2019, for the period that begins on that day and ends on the last day of the sixth month after the month in which the borrower ceased to be a student, whether a part-time or full-time student.

2014, c. 20, s. 483Apprentice Loans Act

 The heading before section 8 of the Apprentice Loans Act is replaced by the following:

Interest and Periods of Deferral

 Subsection 8(1) of the Act is replaced by the following:

Marginal note:No accrual of interest

  • 8 (1) Beginning on April 1, 2023, no interest is payable by a borrower on an apprentice loan.

  • Marginal note:Clarification

    (1.1) For greater certainty, nothing in this section relieves a borrower from liability for interest that accrued before April 1, 2023 on an apprentice loan.

 The Act is amended by adding the following after section 8.2:

Marginal note:Payment of principal and interest

8.3 During the period that begins on April 1, 2021 and ends on March 31, 2023, section 4 of the Apprentice Loans Regulations is to be read as follows:

  • 4 (1) The borrower must begin to repay the principal amount of any apprentice loan made to them, and interest, on the last day of the month in which interest started accruing or would have started accruing but for the interest suspension period.

  • (2) For the purposes of subsection (1), interest suspension period means the period that begins on April 1, 2021 and ends on March 31, 2023 during which no interest is payable by a borrower on an apprentice loan.

  •  (1) Paragraphs 12(1)(f) and (g) of the Act are replaced by the following:

    • (g) prescribing the circumstances under which an apprentice loan may be denied to an eligible apprentice;

  • (2) Paragraph 12(1)(k) of the Act is repealed.

Transitional Provisions

Marginal note:Definitions

  •  (1) The following definitions apply in this section.

    apprentice loan

    apprentice loan has the same meaning as in subsection 1(1) of the Apprentice Loans Regulations. (prêt aux apprentis)

    borrower

    borrower has the same meaning as in subsection 1(1) of the Apprentice Loans Regulations. (emprunteur)

    transition period

    transition period means the period beginning on April 1, 2023 and ending on the day on which a regulation amending or repealing section 4 of the Apprentice Loans Regulations comes into force. (période de transition)

  • Marginal note:Repayment of principal and interest

    (2) During the transition period, a borrower must begin to repay the principal amount of an apprentice loan made to them, and any interest, on the last day of the month in which interest would have started accruing under the Apprentice Loans Regulations but for subsection 8(1) of the Apprentice Loans Act, as enacted by section 164.

 

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