Because of the excellent quality of education available, the open and tolerant society, and the opportunities available, Canada is one of the top five destination countries for international study.
Because the bulk of financial aid opportunities, grants, and scholarships at Canadian colleges are geared toward Canadian students, overseas students may have fewer resources. Immigration, Refugees and Citizenship Canada (IRCC) will expect you to be able to fund your studies in Canada on your own as an international student.
Between your own savings and help from family, as well as some financial assistance available in the form of grants or scholarships (which do not have to be repaid), you may only be able to cover a portion of the entire cost of studying in Canada. This is why many international students rely on loans to fund the remaining fees.
IRCC (Immigration, Refugees, and Citizenship Canada) will demand all international students in Canada fund their own education. To be qualified for a Canadian study visa, an international student must demonstrate that he or she has sufficient funds to sustain himself or herself and any family members accompanying them to Canada. As proof of financial security, this might include formal confirmation of scholarships, bursaries, loans, or grants.
In most provinces of Canada, a single student must demonstrate that they have the funds to cover their tuition + $10,000 for the academic year.
An extra $4,000 per year is required for each adult accompanying family member (e.g., husband or partner).
And $3,000 per year for each dependent kid.
The financial requirements for prospective students in Quebec vary, so examine the facts if you plan to study there.
Please keep in mind that these data are intended for illustrative purposes and are valid at the time of this publication, but you should double-check with the relevant authority.
Loan Programs of the Provincial or Federal Government
International students may be ineligible for some types of funding, such as government student loans, and must instead look into private student loans. You could also contact your university’s financial aid office to see what assistance is available.
What Does International Student Loans Entail?
International student loans are private loans made available by education loan providers. They are offered to international students studying at accredited Canadian universities.
A rising number of colleges in Canada allow students to apply for loans without a co-signer. Because the bulk of financial assistance opportunities at Canadian colleges is geared toward Canadian students, overseas students may be unable to take advantage of them.
You may only be able to cover a portion of the cost of studying in Canada using your own savings and family assistance, as well as some financial aid such as grants or scholarships (which do not have to be repaid). As a result, many students rely on student loans to fund the remaining expenditures.
You should only apply for these loans after you have exhausted all other possibilities, such as scholarships and personal finances.
If an international student is enrolled at a Canadian institution that has previously been authorized by a lender, they can apply for a private student loan without a cosigner.
International students from a variety of countries, American students, and even Canadian residents are eligible to apply, and no co-signer is necessary.
Instead, the lender will consider your academic performance and professional plan, rather than your credit history or that of a co-signer. They may also consider your home country, estimated graduation date, and school you are attending.
What Canadian Student Loans are Capable of Covering?
Tuition and other education-related expenditures such as housing, food, health insurance (if necessary), educational supplies, books, and so on.
Who May Apply For An International Student Loan in Canada?
Borrowers who are neither Canadian citizens nor permanent residents and are enrolled in an appropriate university may apply.
Various firms manage private education loans. Each lender will have their own set of qualifying and approval criteria.
It’s critical to look into all of your possibilities and choose a reliable lender that can provide you with a package that fulfills your requirements.
Loan Application Procedure
After your application has been reviewed, you will be provided with loan specifics such as your interest rate and the amount you will be able to borrow, which may vary based on your situation and the lender you are working with.
If your application is approved, the funds are normally transferred to your university to cover your tuition. This typically takes 6 weeks.
How Much Can You Borrow for Private Education Loans?
You may borrow up to the whole cost of attendance at your Canadian university, as estimated by the financial aid office, less any extra money you get in the form of scholarships, prizes, and so on.
How Much Will Your Monthly Repayments Be?
Repayment terms will vary, and the sample used below is provided for informational purposes only. This is not a guarantee of expenses because they will vary depending on your circumstances and the rates offered by your lender.
An international student who borrows $10,000 at a 12.49% (13.63% APR) interest rate should anticipate repaying $100.54 every month while studying and for the first 6 months after graduation. Following that, the monthly payments would rise to $141.62 for a 10-year payback period based on an interest-only in-school repayment plan.
You can get in touch with us if you are in need of a student loan to fund your studies in Canada. Click here to send us a message about your student loan application.