Students welcome increase in income threshold for loan repayment
Posted Oct 26, 2016 07:36:56 AM.
Last Updated Oct 26, 2016 07:39:10 AM.
This article is more than 5 years old.
A student organization is applauding Nova Scotia’s decision to increase the minimum income required before having to repay their provincial loans.
The Liberals announced Tuesday, as of next week, students won’t be expected to begin repaying their debt until making an annual income of $25,000
Labour and Advanced Education Minister Kelly Regan told NEWS 95.7 the existing salary threshold is $20,210, so this adds about $5000 in income a student can make before having to pay back their loans.
“It just gives them a little extra room to get started on their careers and lives after they’ve graduated,” she explained.
Regan said she hopes the changes will encourage young adults say in the province.
Sophie Helpard with Students Nova Scotia said the move will help some students who have recently wrapped up their post-secondary education and are struggling to pay off their student debt.
“It’s still difficult for students to pay back money when only making $25,000 a year but it’s certainly a step in the right direction in making education more affordable for students, especially when they first graduate and are making that difficult transition into the work force,” she said.
The changes come into effect on November 1st and to be eligible, people have to apply after that date to the province’s Repayment Assistance Program.
