The following programs allow eligible students to reduce their provincial student loan debt.
Newfoundland and Labrador Debt Reduction Grants
StudentAidNL may convert up to the full amount of provincial student loans into non-repayable grants for students graduating from eligible programs through the Newfoundland and Labrador Debt Reduction Grant Program.
Responsibility for finalizing eligibility for the Newfoundland and Labrador Debt Reduction Grant Program rests with graduating students. There is no separate or designated application form. StudentAidNL does not know when or if students graduate and therefore, it is the explicit and direct responsibility of students to notify StudentAidNL when graduation occurs.
IMPORTANT TIME LIMITATIONS
Graduating students are required to provide proof of graduation to StudentAidNL (email; mail; in-person), within two years of graduating from eligible programs of study. Failure to do so will result in the student no longer being eligible for the Newfoundland and Labrador Debt Reduction Grant Program.
Additionally, students have 10 years from the date they begin a program of study to graduate from that program to qualify for the Newfoundland and Labrador Debt Reduction Grant Program.
These time limitations are in accordance with the Student Financial Assistance Regulations, section 6(4):
Where:
(a) 10 or more years have elapsed since a borrower commenced the borrower’s program of study; or
(b) 2 or more years have elapsed since a borrower graduated from the borrower’s program of study, that borrower no longer qualifies.
StudentAidNL recipients enrolled in eligible programs of study will receive periodic reminder notices regarding the Newfoundland and Labrador Debt Reduction Grant Program and the requirement to notify StudentAidNL once they graduate.
ELIGIBILITY
Students may be eligible if they meet each of the following criteria.
- Graduate from a program of study within Newfoundland and Labrador that is not fewer than 80 weeks in duration.
- Borrow more than $165 per week for each period of study.
- In accordance with the standards of the educational institution attended, pass 80% of a full course load in each period of study.
- Apply for and be considered eligible to receive financial assistance for at least 50% of the required length of their program of study. This does not include the time spent in a work term during which the student did not receive financial assistance.
EXCEPTIONS
Course Load
In certain situations, students may be eligible if they are enrolled in 80% or less of a full course load. For example:
- Students with eligible disabilities enrolled in at least 40% of a full course load.
- Single parents enrolled in 80% of a full course load with a child under the age of 12.
- Single parents enrolled in 60% of a full course load with at least one university credit course which includes laboratory time in addition to classroom time.
- Single parents enrolled in 60% of a full course load with a child who has special needs and is under the age of 12.
Note: To be eligible, students must successfully complete 100% of the courses enrolled for each period of study.
Students Studying Outside the Province
Students studying outside of Newfoundland and Labrador may also be eligible if they studied outside the Province for one of the following reasons:
- The program was not offered in the Province or was substantially different from any program in the Province;
- The program was at the graduate level;
- They were not admitted to the program in the Province due to limited enrolment;
- They did not meet the entrance requirements of the school in the Province, but did for the same program in another jurisdiction;
- They received transfer credits toward, or advanced standing into the program, which significantly reduced the program length; or
- Their spouse went out of the Province to attend a program of study that is eligible for the Newfoundland and Labrador Debt Reduction Grant Program.
Students must provide acceptable documentation to support their reason for studying outside the Province.
Students are encouraged to have eligibility confirmed at the start of their program of study.
Note: Students attending a designated school outside the Province for reasons other than those listed above should contact StudentAidNL to determine if their situation may warrant eligibility for the Newfoundland and Labrador Debt Reduction Grant Program.
HOW DEBT REDUCTION IS CALCULATED
The value of a Debt Reduction Grant is dependent upon the level of success a student achieves for each period of study in which they receive provincial student loans.
- Students successfully completing 100% of a full course load in a period of study may qualify to receive a Debt Reduction Grant equal to 100% of their provincial student loans for that period of study.
- Students successfully completing 80% of a full course load in a period of study may qualify to receive a Debt Reduction Grant equal to 50% of their provincial student loans for that period of study.
- Students who do not successfully complete at least 80% of a full course load in a period of study will not qualify for any Debt Reduction Grant for that period of study.
- Students who fall under the exception category for eligibility above who successfully complete 100% of the courses enrolled for that period of study may qualify to receive a Debt Reduction Grant equal to 100% of their provincial student loans for that period of study. If they do not successfully complete 100% of the courses enrolled for that period of study, they will not qualify for any Debt Reduction Grant for that period of study.
REQUIRED DOCUMENTATION
StudentAidNL requires the following information to determine a student’s eligibility:
- Confirmation of graduation and the date of graduation (this can be a copy of the relevant degree, certificate or diploma);
- Official transcript of marks; and,
- Percentage of a full course load attempted and passed in each study period.
RECEIVING DEBT REDUCTION GRANTS
Once eligibility has been confirmed, StudentAidNL will calculate the value of the Newfoundland and Labrador Debt Reduction Grant and notify eligible graduates.
StudentAidNL will instruct the National Student Loan Service Centre to reduce the outstanding provincial student loan balance by the assessed value of Newfoundland and Labrador Debt Reduction Grant.
The National Student Loan Service Centre will inform StudentAidNL of cases where students have paid all or a portion of their provincial student loan balance before the assessed value of the Newfoundland and Labrador Debt Reduction Grant is applied. In these cases, StudentAidNL will issue the remaining balance directly to the student in the form of cash through direct deposit. Please see Provincial Grant Disbursement for full details on setting up direct deposit.
Early Childhood Education Grants
StudentAidNL will notify students if they meet the eligibility requirements. If a student qualifies, StudentAidNL will forgive the outstanding balance of the provincial loan borrowed while they were studying Early Childhood Education by converting it into a non-repayable grant upon confirmation that the student has met all requirements.
Students qualify if:
- they graduate from an approved Early Childhood Education program within the province;
- they have applied and been deemed eligible for assistance for at least half of the required length of the program;
- they borrow more than $165 per week of study during a given semester;
- they completed the program within the normal length of the program plus a grace period of up to one academic year (two semesters); and
- they obtain full-time employment (at least 30 hours per week) in a licensed family home or child-care centre within the province for a period of at least 24 months.
No application is required. However, if you believe you qualify and you were not assessed, you can submit an application to be reviewed directly – ECE Bursary Application.
Note: In cases where the student has paid the provincial portion of the loan in full, StudentAidNL will contact the student to arrange to issue the remaining balance of the grant through direct deposit into their bank account.