Interest-Free Status and CIFS
Interest-free status means that although you are currently enrolled in postsecondary studies on a full-time basis and you have previous student loans, you do not have to start repaying your previous student loans during your current period of studies. The Government of Canada and/or the Province of Ontario will pay the interest on your loan(s) on your behalf. When you are no longer studying on a full-time basis, however, you will be required to start repaying your loan(s) beginning on the first day of the 7th month after the end of your last period of study.
To qualify for Interest-Free Status you must:
- Have negotiated (cashed) student loans prior to your current academic year, and
- Be currently enrolled on a full time basis (60% course load, or 40% if you are a student with a permanent disability), and
- Be a qualifying student (you have not defaulted on any previous student loans, and
- Submitted the required form by the deadline date.
Students participating in medical internship/residency programs are not eligible for interest-free status.
OSAP Recipients Cashing a Loan for the Current Study Period
You need to pick up your new loan and sign your Confirmation of Enrolment (C/E) as early in the study period as you can. The C/E informs the lender (NSLSC) that you are in full time studies. They will update your file and place your previous loans in interest free status.
If your loans are delayed (i.e. you will not receive your loan until mid-October), we recommend that you complete the Continuation of Interest Free Status (CIFS) form. If you do not complete the Confirmation of Enrollment or the CIFS form the (NSLSC) will not be informed of your status and your previous loans will be go into repayment status.
OSAP Recipients who are NOT Applying for, or Cashing a Loan for the Current Study Period
If you are continuing your studies on a full time basis and you are not applying for assistance or you decide not to cash your funding, you need to take action to keep your previous loans in interest free status. You must complete a Continuation of Interest Free Status (CIFS) form to ensure that all your previous loans (including Canada, Ontario and/or Canada-Ontario Integrated Student Loans) are kept in interest-free status.
Complete Section 1 of the form and the FAO will complete Section 2. You should complete this form within 6 months of your previous study period end date and you must do it during the current study period.
These forms cannot be backdated. These forms can be downloaded from the OSAP Website (follow the link above) or picked up from the Registrar's Office (AA142).OUT-OF-PROVINCE Student Loan Recipients
We recommend that you double check with your home province for the policy and the correct procedure to follow. Click here for links to other provincial student loan websites.
Cashing a Loan for the Current Study Period
You need to pick up your new loan and sign your Confirmation of Enrolment (C/E) as early in the study period as you can. The C/E informs the lender (NSLSC) that you are in full time studies. They will update your file and place your previous loans in interest free status.
If your loans are delayed (i.e. you will not receive your loan until mid-October), we recommend that you complete the Continuation of Interest Free Status (CIFS) form. If you do not complete the Confirmation of Enrollment or the CIFS form the (NSLSC) will not be informed of your status and your previous loans will be go into repayment status.
You who are NOT Applying for, or Cashing, a Loan for the Current Study Period
If you are continuing your studies on a full time basis and you are not applying for assistance or you decide not to cash your funding, you need to take action to keep your previous loans in interest free status. You must complete a Continuation of Interest Free Status form to ensure that all your previous loans (including Canada, Ontario and/or Canada-Ontario Integrated Student Loans) are kept in interest-free status.
The CIFS form can be obtained from your provincial student aid office or you may be able to download it from your provincial student loan program website.
Please note, the FAO at UTSC must confirm your enrollment in full-time studies by completing the relevant section of this form.
Summer & Co-op Work Terms
Since the student loans program allows you a six-month grace period before expecting repayment, you will not be charged interest over this time period as long as you return to full time studies after four months, and notify your lender (see above).
Students participating in a co-op work term (part of their academic degree) are eligible to complete a CIFS form. Make sure you complete and submit the form in the first week of your co-op work term.
These forms can be downloaded from the OSAP Website or picked up from the Registrar's Office (AA142). Complete Section 1 of the form and the FAO will complete Section 2. These forms cannot be backdated.
Government Aid, Student Loans & Grants