Student Loans 101

DO YOU NEED ALBERTA STUDENT LOANS?

APPLYING FOR A STUDENT LOAN

1)​ Before you begin the application process, you will need the following: ●​ Social Insurance Number ●​ Alberta Student Number (you can look it up if needed at

https://learnerregistry.ae.alberta.ca/Home/StartLookup) ●​ Most recent Notice of Assessment from your income taxes showing your line 15000 (total income).

●​ Verified Alberta.ca account. To check that it is active, please log in as a Returning User on studentaid.alberta.ca If you are common law or married, you will need your spouse/partner’s SIN and most recent income taxes (line 15000).

If you are a dependent student (still living at home, under age 22, just completed high school) you will need your parent(s) full name and most recent income taxes (line 15000).

2)​ To ensure accuracy of your application, please book an appointment with one of our Student Advisors to assist

you either in person, via telephone or by virtual appointment. We have 2 locations to serve you.

South Campus - 4110, 7005 Fairmount Drive SE, Calgary

North Campus - 1351, 32 Ave NE, Calgary

Andreea Balo-Tomic Student Advisor advisor@estheticinstitute.ca 403.263.2204 ext. 232

Jancis Morales Admissions & Student Financial Advisor jancis@estheticinstitute.ca 403.263.2204 ext. 202

Shima Hanafian Admin Assistant shima@estheticinstitute.ca 403.263.2204 ext. 230

Shima Hanafian Admin Assistant shima@estheticinstitute.ca 403.263.2204 ext. 130

THE LIFE CYCLE OF STUDENT LOANS Step 1:​

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Apply for a student loan

Step 2​

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Complete documents to accept loan

Step 3:​

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Attend school and graduate

Step 4:​

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Grace period (period of time where you do not need to make payments on your loans while you are searching for employment)

Step 5:​

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Grace period ends, monthly student loan payments begin

Step 6:​

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Apply for the Repayment Assistance Program (RAP) if you are unable to make your monthly payments.

You’re Approved!

What are the next steps?

1.​ Review your Award letter Your award letter will tell you what loans and grants you qualify for. Please note the full amount you are qualified for and subtract the tuition for your program. The difference left over is what you have to put towards your living expenses. Note: tuition funds will go directly to the school, the remainder will go to you.

Grants are separate from loans and are based on your personal circumstances. Grants do not need to be repaid unless you withdraw from a program which can result in all or a portion of grant amounts being converted to loans requiring repayment.

2.​ Complete your student aid agreements Student aid agreements are legal agreements between you and the loan provider. They are also called “Master Student Financial Assistance Agreements” (MSFAAs).

Full-time students may have two student aid agreements if receiving funds from the province of Alberta and also Federal loans from Canada loans.

Full-time students that are in common-law or married are required to have their spouse/partner sign the ‘Consent and Declaration’ form. You can print this form from your Alberta Student Aid account’s inbox.

It is crucial to submit all required forms and agreements in a timely manner for Student Aid to release your funding.

Alberta Student Aid Agreement To complete your Alberta Student Aid agreement, sign in to your Student Aid loan account. You must agree to the terms and conditions and provide your bank account information.

Canada Master Student Financial Assistance Agreement (MSFAA) You will receive instructions via email to complete your Canada student aid agreement. You will also be prompted to complete this agreement when you sign in to your Alberta Student Aid account. You must create a National Student Loans account to receive your Canada loans and/or grants - this is a separate account from your Alberta one.

Create your National Student Loan account here: https://www.csnpe-nslsc.canada.ca/en/nslsc-access-updates

When do I receive my money?

Money is released in two stages: Stage 1: 50% of the entire amount is released at the start of your program Stage 2: 50% of the entire amount released half way through your program Tuition is paid directly to the school and Living allowances and book/supplies fees are paid directly into your bank account.

What if I need more money that I was approved for?

Request a review of your account You can request Student Aid to review your account if there are changes to your personal information or you need more money. Note: there is a limit on the amount of funds you can qualify for based on the length of a program and your own financial situation. https://studentaid.alberta.ca/while-you-study/request-a-review-of-your-account/

How to request a review The basic request is called a Request for Reconsideration, which can be submitted online. Your request will take approximately 30 days to process. It must be submitted at least 30 days before the study end date.

You can check the status of your request at any time through your Student Aid account.

1.​ Login to your https://studentaid.alberta.ca/ 2.​ Choose “Request for Review” on the right-hand menu.

3.​ Select your reason for submitting a request and complete the online form. You’ll be notified if you need to submit additional documents.

I have completed my studies.

What happens now?

During your time of study, your loans are interest free and no payments are required.

When you have completed your studies, you enter what is called the GRACE PERIOD.

The GRACE PERIOD is a specified time period after graduation where you do not have to make any payments on your student loans so that you can focus on finding a job.

Alberta Student Loans grace period is 12 months.

Canada Student Loans grace period is 6 months.

LOAN REPAYMENT When the grace period ends, you will be required to begin making monthly payments on your student loans.

Most students will have an Alberta student loan and a Canada student loan. This means you will have two payments, two payment schedules and two loan accounts: 1.​ Your Alberta loan is managed through MyLoan and your 2.​ Canada loan is managed through the National Student Loans Service Centre (NSLSC) Online Services.

You must create individual accounts through these websites and handle your repayments separately.

When the grace period is approaching the end, you will begin receiving notifications that monthly repayments are about to start.

For more information on loan repayment and to review up to date interest rates, click on or enter the link below: https://studentaid.alberta.ca/repayment/repaying-your-student-loan/

I can’t make my Payments!

What are my options?

Student loans must be repaid. Monthly payments for student loans will begin 12 months after graduation for Alberta loans, and 6 months after graduation for Canada loans.

FREQUENTLY ASKED QUESTIONS

ANSWERS

Do Student Loans affect my credit score?

YES. Student Loans report to the credit bureau (Equifax.ca) which keeps track of on-time payments, late or missed payments and loans in default.

This demonstrates how responsible you are with your money.

Maintaining a high credit rating will make it easier to obtain car loans, cell phones, credit cards, additional student loans, apartment/house rentals or purchase.

What happens if I miss a payment?

Missing payments on your student loans harms your credit score. This affects your ability to qualify for things you may want including future student loans. Your credit score can be negatively affected for 7+ years from a single missed payment.

What if I do not have a job yet and cannot afford the monthly payments?

If you are not able to make the monthly payments you have TWO great options easily available to assist you while protecting your credit score at the same time.

OPTION #1: CHANGE YOUR MONTHLY PAYMENTS OPTION #2: APPLY FOR THE

➢​ Lower the monthly payment and extend the length of your loan (note: there is a minimum payment amount that must be made) ➢​ Request interest only payments for 6 month periods

Depending on your income and approval, you may qualify for reduced payments or no payments at all.

If approved for RAP, the Government of Canada will:

REPAYMENT ASSISTANCE PLAN (RAP)

➢​ Pay any interest owing on the federal part of your loan that your reduced payment does not cover, and ➢​ Start to pay down both the principal and any remaining interest after 60 months of RAP or 10 years after you finish school

For more information visit: https://studentaid.alberta.ca/repayment/ and stay up to date on your loans!