As my husband was still not working (it took in excess of six months for him to receive his teacher's license from the Nova Scotia Department of Education), he once again applied for interest relief. He was denied, based on my income - apparently, they base their entitlement eligibility guidelines on HOUSEHOLD INCOME (i.e. I should pay my husband's student loan payments), but do not factor in HOUSEHOLD STUDENT LOAN DEBT (i.e. they did not take into account that, out of my $38,000 a year income, student loan payments of close to $400 a month were already being taken out). At the time, his rate of loan repayment was $525 per month. If his individual loans were $915 per month and he earned
$38,000 a year he would qualify for interest relief - but they refused to factor in my student loans when calculating his rate of repayment, despite the fact that they were more than ready to factor in my income. With no alternative, his loan went into default.
[http://members.shaw.ca/frasie/bad.htm]$38,000 a year he would qualify for interest relief - but they refused to factor in my student loans when calculating his rate of repayment, despite the fact that they were more than ready to factor in my income. With no alternative, his loan went into default.
For two years, I have been underfunded by OSAP, and forced to withdraw from my programs at both a university and college level.
Today, we received our statement of student loan interest for income tax purposes. We could cry - after three years of paying these peopole between $360 and $390 per month (depending upon interest rates), I owe them exactly $641 less than I did when I graduated. After two and a half years of paying $270 per month, my husband owes them close to $4000 more than he did when he graduated (since his federal loan is in default, it continues to accumulate interest, and the interest builds at a greater rate than the principal on his provincial loans decreases). We had a long hard look at our situation today - every month, over $600 goes out of our meagre $2400 per month income for student loans, but we
are no closer to paying them off. My god - we've paid them over $17,000 over the past several years, and we actually owe them more today than when we graduated.
Someone asked the question - if you could go back in time, and choose not go to university, would you? To that, we both answer a resounding yes. I was making $38,000 a year in a job that required a Grade 12 education. Now I make $55,000 a year in a job that requires a Grade 12 education. We look at the people we graduated high school with, who are making $12 or $15 an hour, and enjoying a higher standard of living than
we are. And I look at colleauges in the federal government who were hired with a high school diploma, only to be granted Education Leave to attend university (last year a friend of mine was given full tuition and books, plus 70% of her $48,000 salary, to go back to school and get an undergraduate degree).
[^Source]are no closer to paying them off. My god - we've paid them over $17,000 over the past several years, and we actually owe them more today than when we graduated.
Someone asked the question - if you could go back in time, and choose not go to university, would you? To that, we both answer a resounding yes. I was making $38,000 a year in a job that required a Grade 12 education. Now I make $55,000 a year in a job that requires a Grade 12 education. We look at the people we graduated high school with, who are making $12 or $15 an hour, and enjoying a higher standard of living than
we are. And I look at colleauges in the federal government who were hired with a high school diploma, only to be granted Education Leave to attend university (last year a friend of mine was given full tuition and books, plus 70% of her $48,000 salary, to go back to school and get an undergraduate degree).
I currently owe somewhere between $4,000 and $7,000 in student loans, maybe more. If I had continued in university, I would have owed at least $25,000 by the end of my four years. And what would I do with a BA in Political Science anyway? Between finding a job, and paying back my student loan, I would have been in debt for the next ten to fifteen years after graduating.
I have friends who started post-secondary school, and had other opportunities, great opportunities for employment where they are making much more than they would have with their degrees.
Universities are sinkholes. Colleges are only better if you're footing the bill yourself.
Students, ESPECIALLY first generation students and those from low-income families, should be made more aware of the realities of government student loans before they are put into greater debt than their parents.
