Borrower Rights

• You have a right to a copy of all of the paperwork surrounding your loan. Be sure to get a copy of the contract.
• You have a right to choose not to borrow all of the funds offered to you.
• You might qualify for various payment plans including need-based and graduate payment plans.
• For federally funded loans (and most private loans) you can pay off your loan faster than expected without penalty.

Borrower Responsibilities

• If you choose not to borrow the entire amount, you must let your school, government, and/or banking institution know.
• You must make your monthly payments each month and on time, regardless of if you get a notice.
• You must repay your loan even if you do not finish school
• You must repay your loan even if you are not employed
• You must notify your lender of any changes to your personal information (name, address, social security number/social insurance number) immediately.

1. Begin with the Government

In the United States, your first step will be to complete a FAFSA : a Free Application for Federal Student Aid. In Canada, your first step will be to visit CanLearn . You want to apply for government aid first because it is often the cheapest and best way to fund your education.

2. Do the Calculations

Using your government website and your family budget, estimate how much you and your family will be able to contribute to your education. In the States, this is known as the EFC, the Expected Family Contributions. The amount you are eligible to borrow depends on your expected family contributions.

3. Confirm with the Government

Once you have filled out your FAFSA, the government will send you (electronically or by hard copy, depending on how you submitted it) a Student Aid Report (SAR). Check your SAR carefully to see that the figures are correct: this will determine your eligibility for funding.

4. Tally your Awards

Find out how much money you are being offered in awards and scholarships, and how much financial aid your school is offering you.

5. Complete your Loan Application

Now that you have all of the numbers you need, you can file for your loan. Your loan price is calculated as follows:

Cost of Education & Living

- Expected Family Contributions

- School funding
-----------------------
= Amount for Loan

6. Collecting your Loan

Depending on the type of loan you are receiving, it might be administered through your bank or through your school. Determine where and when the fund will arrive. If necessary, defer your tuition payment until your loan comes through. Often, completing one simple tuition deferment form will save you money because you will not be charged interest on a late payment of tuition.

You are only allowed to consolidate your student loans once in the United States, so shop around and make an educated decision before committing yourself. 

Your school can help you by offering debt or credit counseling.  They can also offer loan consolidation counseling.  It is also your school’s job to help you obtain any needed paperwork.  Your school can help you assess your account and solve any accounting errors there might have been.

American Students
In the United States, there is a Federal Loan Consolidation program for students.    There also many private firms that offer Student Loan Consolidation through the federally sanctioned program, such as banks and credit unions.

Canadian Students
Some resources for Canadian students to explore include National Credit Counselling and the National Student Loans Service Centre.  Canadian student can similarly choose to consolidate their loans at a bank or credit union.

This site will help you explore your options for funding your undergrad expenses.

As an undergraduate, you might need a help creating a viable budget . Knowing how much money you will need is important when you go choose a loan.

There are two main loan types, federal and private. Check out the advantages and disadvantages of a bank loan or an American Government loan or a Canadian Government Loan . You can even get your parents to help with a Parent education loan .

Before you begin getting yourself too far in debt, you might also want to consider alternatives to loans as ways to fund your education.

As an undergraduate, you are still eligible to consolidate your loans, though you might want to wait until you have finished your education to begin consolidation.

As an American citizen, you are still eligible for a Federal Stafford Loan . You will have to ensure that the school which you are planning to attend is registered. Your prospective school can give you a school code which you can check at the FAFSA website. Parent Plus loans and Graduate Plus loans are also available to students studying abroad.

As an international student, you will also want to research funding options at your destination country. Because you are choosing to study abroad, you may be eligible for scholarships which you will not have to repay. The Rotary Club offers international student scholarships, and in Canada, J. Armand Bombardier International Fellowships offer Canadians studying abroad a stipend.

If you are an American study health or a health related subject, you can qualify for the Global Health Education Loan Program (GHELP). Ask your bank what options they have for your study abroad.

Non-US citizens do not qualify for government aid; however, there are lots of funding options available to you.

Certain scholarships foster internationalism and are only offered to international students. Consider applying for these grants and scholarships so that you won't have to pay money back.

Some American schools have partner schools in other countries. You might be able to find a way to pay only domestic tuition if you make your arrangement to study through partnered institutions.

Graduate students can apply for a range of scholarships and grants to fund their further education. Many colleges and universities offer specific graduate funding. Speak to your department's Director of Graduate Studies, your school's Office of Student Awards, and your school's Graduate Studies Department (these are going to be three separate people often in three separate buildings). They can help you find ways to fund your education.

Graduate students are much more employable on campus. There are many jobs that you can do, such as Research Assistant, Teaching Assistant, or Grading Assistant. These positions will not only earn you extra money but also look great on your CV later on.

Even with your savings, your part-time job, and your scholarships, you might not be able to make ends meet. Then you should consider a specific graduate loan. If you are in Law, an MBA, medicine, or another professionalized program, you will find that of the loans discussed below, you are often offered one tailored specifically to your needs in that program, such as the MBA Stafford Loan, a MEDLOAN, or GHELP Stafford Loans.

The American government offers a Federal Graduate Plus loan. This loan is fixed at an 8.5% interest rate, though you might be able to get it down to as low as 7% at varying financial institutions. As with all federal loans, you will have to complete a FAFSA : a Free Application for Federal Student Aid.

As a graduate student, you can also qualify for a Stafford loan from the American government. For graduate students, the Stafford loan has a maximum annual value of $18,500. It is the most common school loan, because it is fixed-rate and low-interest.

Graduate students can also get bank loans and alternative loans to help pay for the costs of graduate school.

s a graduate student, you might have other student loans from your undergraduate degree. Consider consolidating your loans to save you money.

The American government offers a federally funded Parent Plus loan for parents whose children are undertaking college or university. With this loan, you can borrow money to cover all of the costs of your child's education. (If your child is also getting a school loan, this loan will cover the remaining expenses of school, including living expenses, books, tuition, transportation, and other costs.) This loan is generally paid back within a ten-year period. You can choose to make equal monthly payments or graduated payments, where you increase your payments later in the loan period to complete paying the loan (often still within the ten-year period).

As with many other types of student loans, payments for this loan can be deferred until your child has completed his/her degree. The Federal Parent Plus loans are available through a variety of lending institutions. They are available to US citizens who have dependent children working toward an undergraduate degree.

Parents can also get loans for their children who are attending private schools between the ages of kindergarten and grade twelve. Parents might also be able to help their children with scholarships if their workplace offers scholarships and bursaries to employees and family.

The Canada Student Loans Program offers government funding for students. Because funding practices vary from province to province, visit the National Student Loans Services Centre . Be sure to also check out provincial funding for your school, such as Ontario's OSAP .

If you are a part-time student, there are often different funding options (and different scholarship options!) This is unlike full-time student loans, because you must pay the interest on your loan as you study.

If you are a dependent of someone in the Canadian military, visit the Canadian Forces Personnel Assistance Fund to determine your eligibility.

You can also get a bank loan as a Canadian student.

Check out our page on student loan consolidation for more information on saving you money.

Visit Scholarships Canada for more information on Canada-specific scholarships.

Federal loans often offer better interest rates than independent loans. There are many different types of Federal loans. For all federal loans, you must complete a FAFSA : a Free Application for Federal Student Aid.

There are two types of Stafford Loans, subsidized and unsubsidized. The government will pay the interest on subsidized loans while you complete your education, whereas you are responsible for the interest on an unsubsidized loan. Stafford loans offer more money if you are independent of your parents. These loans increase in value as you progress to higher years of university. These low-interest, fixed-rate loans are the most common type of student loan. These loans are available to American citizens who register for more than half-time classes.

Perkins Loans are low-interest loans (5%) that are offered to students who can demonstrate exceptional financial need. You must be an American citizen, taking more than half-time classes who is in good financial standing to qualify. These loans offer no fees and a longer grace period than the Stafford Loans.

Even if you may not be eligible for federal funding, you might be eligible for aid from you state. Visit your state's website to determine if they have a loan (or better yet, a scholarship program) that you can apply for.

Ask at your bank to find the appropriate student savings account. There are many types of education accounts that are not taxed. Take advantage of these tax breaks today!

If one of your parents has been in the military, check out the Department of Veteran Affairs . You might also consider undertaking military service to pay for your studies. Research funding your school tuition by promising future military service in the armed forces .

If the military life does not appeal to you, but you still want to work for your studies, AmeriCorps offers opportunities to receive money in exchange for one year of community service.

You can also get a bank loan as an American Student.

Check out our page on student loan consolidation to save you money.

The Benefits of Bank Loans

• Many students can earn a bank loan even if they do not qualify for government funding.
• You can often take out a personal line of credit
• With a personal line of credit you will only have to pay back the money that you actually spend.
• Banks are often easier to deal with than government organizations

Drawbacks of Bank Loans

• Sometimes bank interest rates are higher than government interest rates
• You might not get a one or two year grace period after finishing university before having to begin repaying your loan

• student bank loan
• government loans, see American government student loan and Canadian government student loan
• alternative loans

You can get alternative loans from alumni organizations, corporations, or organizations.

You can often get loaned money for specific purposes: in Quebec, you can get money to purchase a computer. See if your state or province offers specialized loans for student equipment, or if they offer grant money. If you are doing a semester abroad, there will be different funds to which you can apply for bursaries or loans.

If you already have a student loan, you will want to consolidate your student loan .

Remember: no matter where you get a student loan from, you will still have to pay it back, generally with interest. Spend your money wisely now to prevent panic surrounding repayment later.

A scholarship is an amount of money awarded to students for outstanding achievements; they are merit-based. These are typically earned by high academic standing, but can also be earned for athletics, volunteering, and many other areas. You are probably eligible for some scholarships that you do not even know about: if your father was a nurse, or if you mom is from a certain school board, then there might be money out there for you. Hundreds of thousands of dollars from scholarships goes unclaimed every year simply because nobody knew to apply.

A bursary is an amount of money awarded to students who can prove financial need. Check with your school financial aid office to see what bursaries you are eligible for.

You might also be eligible for grants , depending on your field of study. Grants are generally given to graduate students. You need to fill in a lengthy grant application, but the hours of paperwork can be worth it when you get the payment. Ask at your financial aid office what grants are available to you. It is also worthwhile to ask a professor in your field, because s/he might know of other specific grants that you should apply for.

Many campuses have a student employment program , where you can work for 10 or 15 hours a week on campus. See what part-time, flexible employment your school offers.

estimated total cost of one year of school in Toronto $21,800 CAD

This estimate is a conservative one. Queen's University in Kingston, Ontario, estimates that it costs a student living away from home $17,000 for only 8 months of school. Remember that if you are an international student, you will have to pay higher fees.

Your costs might be different than those listed above. You might choose to live in residence, in which case you will forgo buying groceries and opt into a meal plan. You might pay higher rent, but you won't have to worry about utilities and travel to and from campus. However you decide to organize your living arrangements, take these expenses into account.