Guest thesaug Posted July 25, 2004 Report Share Posted July 25, 2004 Hi there, This will be the first time Im applying for OSAP. I just had a question about repayment. Is there a certain limit imposed by the government to how much I will be able to payback within a certain time frame? Or can I pay back right at the end of my last class? Thanks for your help! thesaug Link to comment Share on other sites More sharing options...
Guest aneliz Posted July 25, 2004 Report Share Posted July 25, 2004 As far as I know, you can payback as much as you want as fast as you want... however you must start paying 6 months after you graduate... Beware that you can only claim student loan interest on your tax returns while you are still paying the government back... ie you can't use your LOC to pay off the whole amount and then claim your LOC interest on your income tax. Link to comment Share on other sites More sharing options...
Guest DrSahsi Posted July 25, 2004 Report Share Posted July 25, 2004 aneliz: You can, in fact, use a line of credit to refinance your student loan, and continue to claim the interest accrued on that part of your credit line... but only if the paper trail is pristine. You have to demonstrate the amount of LOC money used to pay off the student loan, and a reasonable rate of repayment of that LOC money. This amount has to be discrete (at least, on paper) from any ins and outs you might otherwise have in your LOC account. You can't claim the interest on your entire LOC. It can rapidly turn into an accounting nightmare if you're not careful. - Rupinder Link to comment Share on other sites More sharing options...
Guest aneliz Posted July 26, 2004 Report Share Posted July 26, 2004 Intresting... we had heard that this was not possible... although I guess with a clean enough paper trail, anything could be possible! I will have to keep this in mind for the future. Thanks! Link to comment Share on other sites More sharing options...
Guest Ian Wong Posted August 7, 2005 Report Share Posted August 7, 2005 Floating back to the top. Ian Link to comment Share on other sites More sharing options...
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