If you qualify for the Deferred Payment Plan, you will be able to repay your student loan in accordance with your financial capacity and your family situation, whether the loan was taken out under the Loans and Bursaries Program or the Loans Program for Part-Time Studies.
During this period, the government will pay the interest on your loan on your behalf. You will not be required to repay this amount.
If you want to obtain an estimate of your monthly payment under the Deferred Payment Plan based on your financial and family situations, you can use the monthly payment calculation simulator .
The Deferred Payment Plan allows you to repay your student loan despite your financial difficulties.
Important! Your application for the Deferred Payment Plan is a commitment on your part. Should a monthly payment be required of you once Aide financière aux études has analyzed your application, your financial institution will be automatically notified and will withdraw this amount from your account in each of the six months covered by your application.
If you qualify for the Deferred Payment Plan, the time period covered by your application will generally be six months and will be established by taking account of your request to take advantage of the relief measure for repaying your student loan and the information in your file. It could be less than six months if you return to your studies during the period covered by your application or reach the combined 60-month lifetime limit.
You may renew you application to participate in this plan. However, you should note that you need to submit a new application for each six-month period in which you wish to take advantage of the Plan to ensure that you qualify. If this is a renewal application, you must have made all required payments under your previous application to qualify for a new period of deferral.
You may apply for the Plan at any time during the ten years (120 months) that follow the end of your six-month option. Your application can be retroactive but not go back more than six months from the date when you submit it.
The aim of the Deferred Payment Plan is to enable you to be responsible for repaying your student loan, i.e., the amount you owe to your financial institution as of today. This plan is not for individuals who are already repaying their student loan and who have an open file with the Aide financière aux études Collection Department.
What happens then?
Once you no longer qualify for the Plan, you will need to contact your financial institution’s loan centre and begin making the planned monthly payments to retire your student loan.
If you declared bankruptcy, made a consumer proposal or registered for voluntary deposit
Please note that pursuant to the Bankruptcy and Insolvency Act, you cannot qualify for the Plan if you declared bankruptcy, made a consumer proposal or registered for voluntary deposit per the Code of Civil Procedure.
You are disabled
If you purchased a loan disability insurance policy, you need to apply to your insurer for loan repayment. If the insurer accepts your application, you will avoid needlessly using up your qualifying months under the Deferred Payment Plan.
Employment Assistance Allowance: financial assistance paid by Emploi-Québec to individuals that participate in an active employment assistance measure. (Not to be confused with the Solidarity Tax Credit).
Québec Parental Insurance Plan: income replacement benefit paid by the ministère du Travail, de l’Emploi et de la Solidarité sociale to an eligible person who takes maternal, paternal, parental or adoption leave.
Eligibility start date for the Plan: approximately six months after the end of your studies.
Under the Deferred Payment Plan, a child that meets all of the following conditions:
- Is unmarried
- Is not a parent or more than twenty weeks pregnant
- Is either less than 18 years of age or if more than 18 is a full-time student living with you or if not living with you receives a financial contribution from you
Single parent: a person that lives with their child, has custody at least 25% of the time and is unmarried, a widow or widower, legally or de facto divorced or separated or whose spouse cannot be located.
Period covered by the application: period of time for which you apply to benefit from a relief measure for the repayment of your student loan. This may be a past or future time (in this latter case, the start date cannot be more than one month from the date you apply).
The time frame effectively covered by your application will in general last six months but is established by taking account of the period for which you apply to benefit from a relief measure for repayment of your student loan and information in your file.
Social assistance or solidarity benefits: financial assistance from the ministère du Travail, de l’Emploi et de la Solidarité sociale or Last-resort financial assistance received under the social assistance or social solidarity programs. (Not to be confused with the Solidarity Tax Credit).
Income counted in the Plan:
- Social Assistance or Solidarity program benefits
- Employment income
- Self-employment or business income
- Employment Insurance benefits (unemployment insurance)
- Québec Parental Insurance Plan benefits
- Income replacement benefits (Wage insurance, SAAQ or CNESST)
- Employment Assistance Allowance (Emploi-Québec)
- Retirement or disability pensions
- Support payments
- Public or private scholarships and/or bursaries
- Other sources of income except those not counted in the Plan
Income not counted in the Plan:
- Solidarity Tax Credit
- Withdrawals from a Registered Retirement Savings Plan (RRSP)
- Amounts originating in a Registered Education Savings Plan (RESP)
- Inheritance income
For additional information regarding the Deferred Payment Plan, call
- your financial institution
- our Customer Service.