lovestruck Posted June 11, 2013 Report Share Posted June 11, 2013 I've heard some things on here about OSAP being forgiven/reduced if you decide to stay in Ontario post-residency? Could anyone clear that up? I've tried Googling it but no luck! Link to comment Share on other sites More sharing options...
future_doc Posted June 11, 2013 Report Share Posted June 11, 2013 I thought I saw a post from rmorelan along the lines that interest is forgiven if you agree to practice in Ontario for 5 years (but I am not from ON and otherrwise know nothing about it). Link to comment Share on other sites More sharing options...
rmorelan Posted June 11, 2013 Report Share Posted June 11, 2013 I thought I saw a post from rmorelan along the lines that interest is forgiven if you agree to practice in Ontario for 5 years (but I am not from ON and otherrwise know nothing about it). Iis a program through the OMA: https://www.oma.org/MedicalStudents/Pages/rlirpfaq.aspx They basically buy out your loan and cover the interest while you do residency and complete your fellowship if any. Then you have to practise in Ontario for 5 years minimum. You can break the contract with a rather heavy cost as well but that does mean it is not iron clad. Link to comment Share on other sites More sharing options...
10wattbulb Posted June 12, 2013 Report Share Posted June 12, 2013 Thnx for the link. I have one question about the RLIRP: I was told that OSAP would be "forgiven" through this program, but from what I've read, it seems more like Ontario gives you a Medical Resident Loan that provides you with "relief from making monthly payments (interest and principal) on Canadian government student loans (provincial and federal) during their residency period." Hence, it doesn't seem like they actually "forgive" OSAP but just allow you to pay your loans later, or do they? Link to comment Share on other sites More sharing options...
holiday1001 Posted June 12, 2013 Report Share Posted June 12, 2013 it keeps the OSAP loan interest-free even after you graduate. however, the MD financial rep pointed out that the penalty may be arbitrary if you manage to score a coveted appointment outside the province, something to consider Link to comment Share on other sites More sharing options...
champ Posted June 12, 2013 Report Share Posted June 12, 2013 Sorry to hijack this thread, but I had a question of my own regarding OSAP. How much taxable income do you need to make in a summer for it to reduce the amount OSAP will give you for your following years tuition? I heard its not worth it to work during your summer for this reason. or is it just for amounts in excess of 5k during a summer? Does anyone know....? Link to comment Share on other sites More sharing options...
WtsupDoc? Posted June 12, 2013 Report Share Posted June 12, 2013 Seems like whatever you make will affect how much OSAP you are given, whether that's 2k or 10k. The trick is whatever you make in the summer reduces the free grant money you get first, then starts cutting into the loan allotment. So unless you are going to make a lot over the summer (significantly more than you could get in grants) it doesn't seem worth it to work. Link to comment Share on other sites More sharing options...
shady Posted June 12, 2013 Report Share Posted June 12, 2013 Sorry to hijack this thread, but I had a question of my own regarding OSAP. How much taxable income do you need to make in a summer for it to reduce the amount OSAP will give you for your following years tuition? I heard its not worth it to work during your summer for this reason. or is it just for amounts in excess of 5k during a summer? Does anyone know....? I hate this fact. Hate it hate it hate it. I'm doing 2 jobs that are taking most of my time. They are fun and pay is okay, but I hate how my OSAP will probably be reduced. The worst part is they reduce the grants before reducing the loans. As a Mac student, OSAP estimates my cost of living/year at 42k. I tried many different values in the calculator, and it seems that 10k is the sweet spot (with 0 savings). Anything above 10k reduces OSAP. If you have savings (or assets), the cutoff gets lower and lower depending on how much you have. If you want an answer that fits your situation best, try different summer income values in the aid estimator Link to comment Share on other sites More sharing options...
champ Posted June 13, 2013 Report Share Posted June 13, 2013 Thanks for the responses guys, Shady; I think ill try looking at the OSAP estimator and see if I can find definitive proof. WtsupDoc?; I mean if that is the case, maybe ill get more bursary money cause I was paid 4 k last summer doing research. Fingers crossed for more money for doing nothing then lol. So I tried working it out on the osap estimator, it seems to be around 6000 summer income plus 1000 in assets before the OSAP estimates started dropping... it seemed pretty reliable when I compared incomes and what I got last year.. Link to comment Share on other sites More sharing options...
10wattbulb Posted June 13, 2013 Report Share Posted June 13, 2013 What I very much dislike about OSAP is that they discourage you from being smart & responsible and saving money or working to help pay for your studies. I feel that if you have less than $15,000 (i.e. not even enough money to fully pay your tuition fees) they should give you the full OSAP amount. That way, they would still be encouraging students to work a little and accumulate some money during their studies. It would also prevent some of the abuse (i.e. people transferring their excess $$ elsewhere to get as much OSAP as possible). It would be kind of costly to do it this way, though EDIT: Here I'm talking of OSAP awarded to Med students, not OSAP for other undergrads where the tuition fees are considerably lower. Link to comment Share on other sites More sharing options...
rmorelan Posted June 13, 2013 Report Share Posted June 13, 2013 Thnx for the link. I have one question about the RLIRP: I was told that OSAP would be "forgiven" through this program, but from what I've read, it seems more like Ontario gives you a Medical Resident Loan that provides you with "relief from making monthly payments (interest and principal) on Canadian government student loans (provincial and federal) during their residency period." Hence, it doesn't seem like they actually "forgive" OSAP but just allow you to pay your loans later, or do they? that has nothing to do with the Ontario government directly - that is the OMA's plan. OSAP relief that grants you a large part of the loan is available to everyone, not just medical students, capping the rate for a 2 semester period to 7300. Link to comment Share on other sites More sharing options...
rmorelan Posted June 13, 2013 Report Share Posted June 13, 2013 it keeps the OSAP loan interest-free even after you graduate. however, the MD financial rep pointed out that the penalty may be arbitrary if you manage to score a coveted appointment outside the province, something to consider It is 4K max plus the interest on the loan - really not going to stop you from leaving if the golden job shows up. Link to comment Share on other sites More sharing options...
10wattbulb Posted June 13, 2013 Report Share Posted June 13, 2013 it keeps the OSAP loan interest-free even after you graduate. however, the MD financial rep pointed out that the penalty may be arbitrary if you manage to score a coveted appointment outside the province, something to consider It is 4K max plus the interest on the loan - really not going to stop you from leaving if the golden job shows up. So the plan is good because the severance penalty's not too elevated, and it does buy you more time to pay off your OSAP loan debt interest-free. That being said, it's not as good of a plan as it had been originally described to me. I thought that a good chunk of the OSAP loan would be forgiven with this program, but in reality, the program only keeps the OSAP loan interest-free during your residency years, so you have more time to pay back your debt hassle-free. Link to comment Share on other sites More sharing options...
lovestruck Posted June 14, 2013 Author Report Share Posted June 14, 2013 that has nothing to do with the Ontario government directly - that is the OMA's plan. OSAP relief that grants you a large part of the loan is available to everyone, not just medical students, capping the rate for a 2 semester period to 7300. Hmm I don't get this? I've never had OSAP so it's confusing for me. They will forgive $7300? But only once? Or every year? Link to comment Share on other sites More sharing options...
WtsupDoc? Posted June 14, 2013 Report Share Posted June 14, 2013 Hmm I don't get this? I've never had OSAP so it's confusing for me. They will forgive $7300? But only once? Or every year? They will only loan you $7,300 every year. So if they think you need more, based on your assessment, the rest is given to you in grant money. For example: say your assessment indicates you need 10,000 of funding. OSAP will give you $7,300 in loans that you must repay and then $2,700 in the form of a non-repayable grant. Hope that makes sense. Link to comment Share on other sites More sharing options...
lovestruck Posted June 14, 2013 Author Report Share Posted June 14, 2013 They will only loan you $7,300 every year. So if they think you need more, based on your assessment, the rest is given to you in grant money. For example: say your assessment indicates you need 10,000 of funding. OSAP will give you $7,300 in loans that you must repay and then $2,700 in the form of a non-repayable grant. Hope that makes sense. Ahh I see! So this $7300 is the cap so even if you qualify for the max of $20000 you still get the $7300 in grants and the rest is a loan? Link to comment Share on other sites More sharing options...
rmorelan Posted June 14, 2013 Report Share Posted June 14, 2013 Ahh I see! So this $7300 is the cap so even if you qualify for the max of $20000 you still get the $7300 in grants and the rest is a loan? The 7300 is the loan - the rest is the grant. (that is under a two semesters plan - those with 3 semesters, like mac or people on 12 months of clerkship it bumps up to 10500(?) - numbers just off the top of my head here ) that is why structuring things to Max out OSAP is so important. If you earn 1000 in the summer and that 1000 drops your OSAP by a corresponding 1000 as well (this is crude example) then you just completely wasted your time. Since there is an OSAP calculator you can optimize you personal situation if you like find the the optimal configuration. You don't want assets, income etc that reduces your OSAP. It just hurts you. Link to comment Share on other sites More sharing options...
WtsupDoc? Posted June 14, 2013 Report Share Posted June 14, 2013 Ahh I see! So this $7300 is the cap so even if you qualify for the max of $20000 you still get the $7300 in grants and the rest is a loan? Yes, but I think the annual maximum is $14,000 not $20,000. Link to comment Share on other sites More sharing options...
rmorelan Posted June 14, 2013 Report Share Posted June 14, 2013 Yes, but I think the annual maximum is $14,000 not $20,000. For a forty week term that is right (max osap is 350 a week x 40 weeks) but there is usually some grants thrown on top now of course in clerkship that is a full year, add another 12 weeks etc for another ~4K again with grants is about 20K. Link to comment Share on other sites More sharing options...
Leon Posted June 14, 2013 Report Share Posted June 14, 2013 That's pretty much why I chose not to work this summer. If I had, the estimator basically took away my grant money. I didn't see the point in working for free $$$, lol. My friend who has to work had her summer income deducted from her initial estimate - she basically lost grant money while the loan amount naturally remained unchanged. Link to comment Share on other sites More sharing options...
rmorelan Posted June 14, 2013 Report Share Posted June 14, 2013 That's pretty much why I chose not to work this summer. If I had, the estimator basically took away my grant money. I didn't see the point in working for free $$$, lol. My friend who has to work had her summer income deducted from her initial estimate - she basically lost grant money while the loan amount naturally remained unchanged. yeah it is funny - I mean according to the OSAP guildelines they expect you to work full time in the summers. That is wonderful but then they brought in the other policy about for giving a huge part of the loan which renders that approach often quite dumb. You can earn money to a point without having it have an impact (basically covering your summer living expenses) but beyond that there is an impact. OSAP has some significant flaws in it for sure. Of course all forms of social assistance do so that isn't surprising Link to comment Share on other sites More sharing options...
rmorelan Posted June 14, 2013 Report Share Posted June 14, 2013 side note - there is a lot of financial talk this year. Never seen this much activity on it on the forums before. It is quite good in a way - I am just surprised Link to comment Share on other sites More sharing options...
throwaway2014app Posted April 19, 2014 Report Share Posted April 19, 2014 Does BC studentaid have a similar cap on the amount of loans it gives out like OSAP ($7300 over 2 semesters? Link to comment Share on other sites More sharing options...
jmatt1122 Posted April 20, 2014 Report Share Posted April 20, 2014 Just to be sure: I'm an Ontario resident and if I go to UBC I'll still get funding through OSAP, right? Any major financial disadvantages to going OOP besides the $9,000 in 4th year? (anyone know if there's anything similar to that in BC?) Link to comment Share on other sites More sharing options...
rmorelan Posted April 20, 2014 Report Share Posted April 20, 2014 Just to be sure: I'm an Ontario resident and if I go to UBC I'll still get funding through OSAP, right? Any major financial disadvantages to going OOP besides the $9,000 in 4th year? (anyone know if there's anything similar to that in BC?) If I remember correctly it should be covered - ubc is one of the approved schools I believe. Link to comment Share on other sites More sharing options...
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