Understanding Student Loans

Step-by-step guide

1. 1

   Know the types of loans

   Government loans (OSAP, student aid) usually have lower interest and flexible repayment. Private loans have higher rates but fewer restrictions.

2. 2

   Borrow only what you need

   Calculate tuition, books, rent, and essential living costs. Don't borrow extra for lifestyle expenses—you'll pay interest on every dollar.

3. 3

   Understand grace periods

   Most student loans have a 6-month grace period after graduation before payments start. Interest may still accrue during this time.

4. 4

   Plan for repayment

   Use loan calculators to estimate monthly payments. Look into Repayment Assistance Plans (RAP) if you're struggling after graduation.