The Honourable Christopher Mitchelmore, Minister of Advanced Education, Skills and Labour, today announced the temporary suspension of the repayment of the provincial portion of Canada Student Loans for a period of six months.
Effective March 30, 2020, all Canada Student Loan, Canada Apprentice Loan and Newfoundland and Labrador Student Loan borrowers will automatically have their repayments suspended until September 30, 2020. No payment will be required and interest will not accrue during this time. The Provincial Government does not charge interest on provincial student loans. Students do not need to apply for the repayment suspension. More information can be found in the backgrounder below.
The Provincial Government will continue to monitor and where necessary implement protocols required to contain the COVID-19 virus. For the most up-to-date information related to COVID-19, please visit www.gov.nl.ca/covid-19.
For general inquiries related to government services, please call 1-833-771-0696 from 9:00 a.m. – 5:00 p.m., Monday to Friday or email covid19info@gov.nl.ca any time.
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“Our government is committed to working in partnership with the Federal Government to provide financial relief during the COVID-19 pandemic. To support student loan borrowers, the province will align with the federal initiative and temporarily suspend the repayment of the provincial student loans along with Canada Student Loans and Canada Apprentice Loans for six months. This will mean that students no longer have to worry about payments on their student loans during this time.”
Honourable Christopher Mitchelmore
Minister of Advanced Education, Skills and Labour
– 30 –
Media contact
Tansy Mundon
Advanced Education, Skills and Labour
709-693-1865
BACKGROUNDER
Frequently Asked Questions
Where can I get more information?
For more information, please consult the Canada Student Loans and Grants website.
Borrowers can also consult with the Student Financial Services Division (email – studentaidenquiry@gov.nl.ca) to continue to monitor their online accounts.
What does this new measure mean for my Canada Student Loan, Canada Apprentice Loan or Newfoundland and Labrador Student Loan?
Canada Student Loan, Canada Apprentice Loan and Newfoundland and Labrador Student Loan payments will be suspended between March 30 and September 30, 2020. For borrowers on pre-authorized debit, payments will not be withdrawn from accounts; borrowers making payments through online banking or cheque, are not required to send in payments due during this period. No interest (federal only) will accrue on loans during this period.
Note that a borrower’s National Student Loan Service Centre account may temporarily reflect incorrect interest (federal only) and loan status until corrections are applied retroactively in the system.
A borrower can still make one-time payments via their online account or online banking if they want to repay their loan faster.
How long will the pause on repayment and interest accrual be in effect?
The repayment and interest accrual (federal only) suspension on Canada Student Loan, Canada Apprentice Loan and Newfoundland and Labrador Student Loan will be in effect for six months, from March 30, 2020 to September 30, 2020. It will include a pause on monthly loan repayment, as well as a pause on interest accruing on federal student loans only.
Do I need to do anything to activate this pause on my account?
Canada Student Loan, Canada Apprentice Loan and Newfoundland and Labrador Student Loan borrowers do not need to take any action to activate the repayment pause. Payments will be automatically paused and interest (federal only) will not accrue during this time. However, should a borrower wish to repay their loan faster, they can still make one-time payments via their National Student Loans Service Centre online account or online banking.
What is the impact of this measure for students ending their six-month grace period before September 30, 2020?
If the six-month grace period ends before September 30, 2020, the student’s loan payments would be suspended until September 30, 2020, and no interest would accrue until this date.
Will the National Student Loans Service Centre still be able to process payments on my loan during this suspension if I wish to continue repaying during the pause?
Yes, the National Student Loans Service Centre will still be able to process payments for those wishing to repay their student loans faster. Borrowers can make payments via their National Student Loans Service Centre online account or online banking; their entire payment will go towards loan principal during this period.
Will I still be able to access my account online during this suspension?
Yes, student and apprentice loan borrowers will be able to manage their loans via their National Student Loans Service Centre online account.
Note that a borrower’s National Student Loan Service Centre account may temporarily reflect incorrect interest and loan status until corrections are applied retroactively in the system.
Will National Student Loans Service Centre call centres be open during this suspension?
The National Student Loans Service Centre call centre is currently open; however, callers may experience longer than average wait times.
Borrowers are encouraged to access their student or apprentice loan accounts via the National Student Loans Service Centre or Canada Apprentice Loan Service Centre online portals.
Can I still apply for student financial assistance during the suspension?
Yes. There will no change to the application process. If a borrower wishes to apply for student financial assistance during the suspension, they should apply through the Student Financial Services Division via.