Almost every student’s plan is to further their education in post-secondary school level. However, somewhere along the line, that dream gets cut short due to financial problems. Many people end up not going to college after their parents pass away or when their families cannot support them financially. They know the financial demands college brings, and so they forget about their college dreams. In Canada for instance, a student can spend more than $80,000 on tuition and other related expenses.
You should have strong financial support once you get to post-secondary school level of your educational pursuit. Your tuition needs to be paid at the right time before you are allowed, graduate. Feeding, accommodation and learning material are some of the demands you must meet.
However, one interesting thing is that students without that solid financial background are pursuing their post-secondary school education. So how is that possible? In Canada, Nova Scotia to be precise, students acquire loans to solve their financial problems in school.
What are Student Loans?
Student loans are financial assistance given to students from a lending house, by the government or private institutions. The private organization comprises of banks, as well as other financial institutions that offer student loans. However, Nova Scotia Student loan are available to students to pay off their course fees, which are mandatory fees requested by the education provider or institution. In addition to the fees usually required by the school, they also need books, study materials, computers, and other living costs. Also, Nova Scotia Student loan are sufficient to take care of the financial needs of students. These loans are also paid back with interest.
The History of Student Loans in Canada
Student loans in Canada have a robust history. Before the year 1964, what is known as the national student loan program was at that time called Dominion-Provincial Student Loan Program. This program began in the year 1939 but ended when the Canada student loan program started full operation in 1964. Then, it was operated as a matching grant partnership program between provincial and federal governments.
Student loans in Canada kicked-off completely in 1964. And since it started, the financial resources which were set aside for students had been supplemented, so it would be enough to assist individuals who need Nova Scotia Student loan to pursue their post-secondary education dreams. Though Nova Scotia Student loan were only awarded to eligible students, which includes students who meet the criteria set up by the regulatory body.
Financial institutions in Canada took over the disbursement of Student loans to students, between the periods of 1964 to 1995. They are also in charge of the loan repayment process. The Government also often compensated these financial institutions by reimbursing them with the entire amount of loans that got into default.
The Canada student loans had some changes in 1995. During that time, the Canada Student Assistance Act replaced the Canada Student Loans Act that was in existence. The changes made were to accommodate the needs of both parties involved in the loan process, which on one side includes the responsibility that was placed on banks to collect defaulted loans. The government also had an agreement with several financial institutions to share the risk. The idea was to make these schools take responsibility for the risk associated with defaulted loans. However, the risk-shared agreement between the government and other financial institutions involved ended on July 31, 2000. Issuance and management of student loans took a different toll at the end of the agreement. The Government took http://novascotiastudentloan.ca/ over everything and started financing all new loans issued after or on August 1, 2000.
The risk-shared agreement that existed between the Government and other financial institution that participated ended on July 31, 2000, and after that, then the Government took full responsibility and started financing all new loans that were given after or on August 1, 2000. The National Student Loan Service Center is responsible for administering student loans to students in Canada.