When your studies end, you must arrange to make repayments of OSAP loan aid. Read more about loan repayment and relief on the Government of Ontario website.
OSAP loan repayments, grace periods and continuation of interest-free status
OSAP loan borrowers are not required to make loan payments for the first six months after leaving their post-secondary studies. These six months are known as the grace period. When the grace period ends, your OSAP loans become repayable.
For example, if you were to finish full-time studies in April, then your six-month grace period would conclude on October 31 of that year and loan payments would begin in November.
During the grace period interest will accumulate on your Canada Student Loan, but not on your Ontario student loan.
To keep your previous student loans interest-free while you continue your studies you must inform the National Student Loans Service Centre (NSLSC) or any other previous lender that you are a still registered as a full-time student.
To make your full-time status known to the NSLSC, on or after the first day of classes:
- Download and print this Continuation of Interest-Free Status / Confirmation of Enrolment (Schedule 2) form.
- Complete Section 1 of the form. Sign and date it.
- Submit your document to Glendon Student Financial Services at YH C138. You can also fax it to 416-736-5386.
York University then checks your registration status and posts the update to your OSAP record. The information is sent electronically to the NSLSC and/or previous lenders.
The Continuation of Interest-Free Status form cannot be submitted or posted to your OSAP record before the first day or after the last day of your study period.