Maintaining your “interest-free status” means that you do not have to repay your OSAP loan while you are in school, and that the Government of Canada and/or the Province of Ontario will continue to pay the interest on your loan.
If you do not keep your loans in interest-free status, you will be required to start repaying your loan(s) within six months of the end of your last study period.
How do I maintain interest free status?
You need to complete the electronic Continuation of Interest-Free Status form.
Who can maintain interest free status?
- Students who are beginning a co-op work term.
- Students who have previous OSAP loans and who plan to continue their full-time studies without receiving OSAP.
Note: Students with an OSAP loan who are enrolled in a program, or who are continuing full-time studies with a new OSAP loan, will automatically maintain interest free status.