P.E.I. student loan program undergoing multiple changes

The P.E.I. government is implementing changes to its student loan program that will see the maximum amount of money available increase on a weekly basis and lengthen the grace period students have before they must repay their loans.

Changes will give students more flexibility and improve access to higher education, says province

One of the changes to the student loan program will see the weekly maximum amount loans increase tied to inflation. (Getty)

The P.E.I. government is implementing changes to its student loan program that will see the maximum amount of money available increase on a weekly basis and lengthen the grace period students have before they must repay their loans.

Beginning in the 2016-2017 academic year, the weekly maximum student loan available will be increased from $165 to $175 per week.

In addition, from 2017-2018 onward, the maximum weekly loan will increase according to inflation and will be indexed to the consumer price index.

Changes to the grace period are also underway, which will provide an extension from six months to one year before students are required to begin repaying their student loans after they complete their studies. This change is expected to come into effect in the near future.

The province has also introduced The P.E.I. Student Loan Rehabilitation Program. It's a a six-month rehabilitation schedule that provides students with a way to bring their defaulted P.E.I. student loan back into good standing. 

The changes will give students more flexibility and improve access to higher education, says Workforce and Advanced Learning Minister Richard Brown.

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