Student Loans/Repayment Assistance/LTD

[macduffy]

I know I'm not posting this in the right place so I apologize in advance. SORRY!!!!

I'm applying for Repayment Assistance for my student loan. I'm currently on LTD for my Bipolar/Anxiety disorder. They are asking for my income and I don't think I should have to include my LTD income since I don't have to include it in my taxes but the NSLC is saying I have to (well the one person I spoke to said I had to).

has anyone has experience with this?

Again, my apologies for posting in the wrong section :/

[sep]

Hi, I have all too much experience fighting with National Student Loans and quite frankly there isn't much in life I hate more. I don't know specifically about your question, but would assume you have to include your income (regardless of how that would be treated in your taxes). It is the govt after all, and lots of their rules about income make no real sense. Does the application have information about types of income to include like the OSAP application does? I would call and ask to speak to Canada Student Loans, they tend to be much more knowledgeable but may or may not be able to answer your question if it's not in their jurisdiction. You will have to call NSLSC and request to be transfered because there is no direct number (and it's sooooooo annoying they will bother you about why you want to be transfered, almost as if you shouldn't be talking to Canada Student Loans, but if you persist they should transfer you).

You mentioned Repayment Assistance, are you applying for the regular assistance or those for people with permanent disabilties? If you are already approved for PD, disregard the following. The difference is that under normal repayment assistance (if approved based upon income) the govt will pay your INTEREST portion of the payment for 6 months intervals which can be renewed. That happens for the first 5 years after entering repayment, after that the govt will pay INTEREST and PRINCIPLE if your income is low. Also loans are forgiven after 15 years. Repayment Assistance for Permanent Disabilities means that as soon as your are approved the govt will pay interest and principle (you don't have to be more than 5 years into repayment). Loans are forgiven after 10 years. To apply, you need Canada Student Loans to send you an application for your doctor to fill out confirming PD status. If you ask NSLSC about it, be prepared for them to become extremely confused, tell you that only those with severe permanent disabilities can apply (not true, their loans get forgiven outright under a separate program) etc. I found Canada Student Loans especially helpful when it came to this.

Best of luck. I had the most frustrating experiences with NSLSC when I was first diagnosed because I had left school and it triggered repayment of my loans before the next school year. I was told inaccurate information so many times and once in particular even AFTER my financial aid officer had gotten a response from the ministry, the NSLSC (even supervisors) refused to comply with the ministry's guidelines even after I read the ministry response, and release information to my school that they needed to process my loans (I ended up getting them in mid-Nov). End of story, they are very difficult to trust!

[paul m]

Hello MacDuffy. Sep has wrote an excellent post on the in's and out's of dealing with a student loan.

If I were a betting man, I would bet that you have to include the income that you are receiving whether it is taxable or not. Student loans are required to be repaid if the person is able to repay them. Whether the source of repayment is an inheritance, non taxable annuity or some other form of income. As far as I know, total poverty is about the only thing that allows a student loan not to be repaid.

However Sep has the best advice and if you feel that you are unable to repay the loan(which is different than being unwilling to repay the loan) than I suggest that you follow Sep's advice. Take Care. paul m

P.S. Please note that I'm not making a judgement here. I have no idea what your circumstances are and like Sep I realize that there are some major problems with the student loan system.