Alberta just changed who can get relief with student loans and its interest rates
It’s welcome news to some cash-strapped Albertans, with the province altering how its student loan repayments work for some.
Those who are still repaying their student loans have received an email from Alberta Student Aid informing them of some alterations, including an interest rate change.
The floating and fixed interest rates on Alberta student loans have been reduced to the prime rate as of July 1, 2023.
Prior to Canada Day, the floating rate was the CIBC prime rate plus 1%, and the fixed rate was the CIBC prime rate plus 2%.
Changes also came to the Repayment Assistance Plan, with the Alberta government increasing income thresholds for the plan from $25,000 to $40,000.
If you are eligible, an affordable payment is calculated based on your family size and income. Depending on your circumstances, that could mean that no payment is required for the six-month approval period.
The Alberta student loan interest-free grace period also doubled from six months to 12 months (including students who completed studies on or after December 1, 2022).
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