Yukon MSFAA terms and conditions 2018
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Notice of collection of personal information
The personal information is collected and used for the administration of the Canada Student Loans Program (CSLP) under the authority of the Canada Student Financial Assistance Act (CSFAA) and the Canada Student Loans Act (CSLA), and in accordance with the Privacy Act and Part 4 of The Department of Employment and Social Development Act.
Administration and enforcement of the CSLP means development and operation of the program, including investigations into allegations of wrongdoing, audits, and policy analysis, research and evaluation. The information you provide may also be disclosed to Statistics Canada for statistical and research purposes. These activities may involve the matching of various sources of data that are under control of the Government of Canada.
The Social Insurance Number (SIN) is collected by the Minister of Employment and Social Development under the express authority of the CSFAA and in accordance with the Treasury Board Secretariat Directive on Social Insurance Number. The SIN will be used for the administration of the CSLP under the CSFAA. The SIN will be used as a file identifier and, along with the other information you provide, will also be used to validate your application, and to administer and enforce the CSLP. You must provide your SIN and the other personal information requested on this MSFAA to be considered for the CSLP.
You have the right to the protection of and access to your personal information. It will be retained in Personal Information Bank HRSDC PPU 030. Instructions for obtaining this information are outlined in the government publication entitled Info Source. Info Source may also be accessed on-line at any Service Canada Centre.
You have the right to file a complaint with the Privacy Commissioner of Canada regarding the institution’s handling of your personal information at: File a formal privacy complaint.
Terms and conditions
Part A: Terms and conditions
This Master Student Financial Assistance Agreement is between you (“you” or “your”), and Her Majesty the Queen in Right of Canada, as represented by the Minister of Employment and Social Development Canada (“Canada”), made pursuant to the CSFAA and called the Master Student Financial Assistance Agreement for Canada (“MSFAA-Canada).
This MSFAA-Canada is a legal document that outlines your responsibilities related to your Canada Student Loan. This MSFAA-Canada does not specify the actual amount(s) that will be disbursed to you or the amount(s) you will be required to repay. The amount(s) that will be disbursed to you under this MSFAA- Canada will be determined based on a needs assessment(s) of your application(s) for Financial Assistance in accordance with federal and territorial legislation and policies. You will be responsible under this MSFAA-Canada for paying your Outstanding Loan Balance.
You understand that if you do not agree to the MSFAA-Canada, you will not receive Financial Assistance.
In consideration of Canada providing Financial Assistance under this MSFAA-Canada, and by clicking the “I accept” button at the end of this MSFAA-Canada below, you agree to the Terms and Conditions of this MSFAA-Canada.
This MSFAA-Canada is comprised of:
- Part A: Terms and conditions
- Part B: Electronic funds transfer
- Part C: Definitions
- Part D: Additional terms and conditions
2. Agreement to repay
You promise to pay your total Outstanding Loan Balance in accordance with the Terms and Conditions of this MSFAA- Canada.
Where required by law, you authorize Canada to collect, use and disclose information related to any of your Canada Student Loan(s) or Student Grant(s), as applicable, (i) for the purposes of carrying out the administration and enforcement of the CSFAA or CSLA, or (ii) in accordance with sections D.9(c) and D.9(d) of this MSFAA-Canada.
4. Ratification of terms and conditions
At any time, Canada may amend the Terms and Conditions of the MSFAA-Canada. You should review the Terms and Conditions on the MSFAA page upon each application for Financial Assistance. You acknowledge that your acceptance of any disbursement made under this MSFAA-Canada will ratify your acceptance of any revised Terms and Conditions.
Part B: Electronic funds transfer
The approved amount of any Financial Assistance disbursed under this MSFAA-Canada will be electronically deposited into your bank account as previously provided which must be held in your name, solely or jointly. Electronic withdrawals may also be made from this bank account when payment is triggered, as per section D.6(c) (iii), subject to your right of revocation, as per section D.6 (e). If you fail to provide your bank account information, disbursement of your Financial Assistance will be delayed.
Part C: Definitions
“Canada Student Grant” means a grant made under the CSFAA.
“Canada Student Loan” means a Direct Loan made under the CSFAA or Student Loan made under the CSFAA or CSLA.
“CSFAA” means the Canada Student Financial Assistance Act and the Canada Student Financial Assistance Regulations, as in effect at any given time.
“CSLA” means the Canada Student Loans Act and the Canada Student Loans Regulations, as in effect at any given time.
“Direct Loan” means any loan made by Canada under section 6.1 of the CSFAA on or after August 1, 2000.
“Financial Assistance” means Direct Loans, Canada Student Grants, repayment assistance, interest-free periods and any other form of financial assistance provided under the CSFAA, directly or indirectly to you.
“Full-Time Student” status is maintained for a person, (a) (i) who is enrolled in a minimum 60 percent full course load; or (ii) who has a permanent disability, is enrolled in courses that constitute between 40 percent and 60 percent of a full course load and applies to be considered as a Full- Time Student; (b) whose primary occupation is the pursuit of studies in those courses; and (c) who otherwise complies with the requirements of the CSFAA.
“Lender” means a financial institution that is a party to an agreement with Canada, entered into under the CSFAA or the CSLA.
“NSLSC” means the National Student Loans Service Centre which administers parts of the Financial Assistance programs on behalf of Canada.
“Outstanding Loan Balance” means the principal amount of your full-time Direct Loans outstanding at any time, including any Canada Student Grant amount(s) converted to a Direct Loan, together with all interest on those amounts.
“Prime Rate” means the variable reference rate of interest as calculated by Canada, based on the average of the middle three of the largest five Canadian financial institutions’ prime rate.
“Student Loan” when used in the MSFAA-Canada and in the definition of Canada Student Loan, means any loan made to you by a Lender under the CSFAA or the CSLA, prior to August 1, 2000.
“Terms and Conditions” when used in the MSFAA-Canada, means the terms and conditions of this MSFAA-Canada.
Part D: Additional terms and conditions
5. General principles
Subject to the Terms and Conditions of this MSFAA-Canada and the requirements of the CSFAA, you may be eligible for Financial Assistance (with limits on amount and time), and you are not required to make payments nor will interest accrue on the principal amount of your Outstanding Loan Balance while you are a Full-Time Student.
6. Return of money
- Refund of Loan Proceeds: You authorize your educational institution to refund to Canada any fees that have been paid with the proceeds of your Canada Student Loan or Student Grant for credit against any Outstanding Loan Balance you may have
- Early Payment: You may pay all or any part of your Outstanding Loan Balance at any time without notice, penalty or bonus
- Payment Terms: Unless you enter into an agreement to alter payment terms, you agree to pay your Outstanding Loan Balance according to the standard payment terms, which are as follows:
- Interest and Fees: your Outstanding Loan Balance
- Interest Rate: simple interest will accrue on the principal amount of your Outstanding Loan Balance at a floating rate equal to the Prime Rate plus two and one-half (2½) percent, accruing daily and calculated monthly, unless you enter into an agreement with a fixed interest rate equal to the Prime Rate plus five (5) percent
- Payment Trigger Date: is the first day of the seventh month following the month in which you cease to be a Full-Time Student
- Loan Payment Due Date: is, at the latest, the last day of each month, starting on the seventh month following the month in which you cease to be a Full- Time Student
- Loan Payment Amount: is the monthly payment amount calculated using these payment terms (minimum monthly loan payment amount of $25)
- Amortization Period: nine and one-half (9½) years or such lesser period of time as is required to support a minimum monthly loan payment amount of $25
- Payment Allocation: payment amounts may be applied first to interest and then to principal
- Final Lump Sum Payment: any amount of your Outstanding Loan Balance that remains at the end of your Amortization Period; and
- Prime Rate Variance: if the Prime Rate changes significantly it may result in: (1) your loan being paid in full early; (2) the lengthening of your Amortization Period (to a maximum of fourteen and one-half (14½) years); or (3) you being required to pay a Final Lump Sum Payment
- Interest up to Payment Trigger Date: Unless you pay the interest that accrues between the end of your Full-Time Student status and the Payment Trigger Date, that interest will be added to the principal amount of your Outstanding Loan Balance
- Personal Pre-Authorized Debit: Unless you otherwise authorize in writing, upon the Payment Trigger Date, you authorize Canada to debit your bank account as entered or such other bank account as authorized in writing in order to collect your Outstanding Loan Balance as follows:
You grant your revocable authority and direction to Canada, and any financial institution which holds such a bank account, to:
- exchange the financial information necessary to facilitate such Personal Pre-Authorized Debits according to the Canadian Payments Association Rule H1; and
- debit the bank account on each Loan Payment Due Date, for the Loan Payment Amount in accordance with the payment terms of the MSFAA-Canada, and to remit that as payment to Canada
You waive any requirement to receive any pre-notification of Personal Pre-Authorized Debits. You may revoke your authorization at any time, subject to providing 30 days’ notice. You have certain recourse and reimbursement rights if any debit does not comply with the terms of this section. To obtain a sample cancellation form, or for more information on your right to revoke this authorization and your recourse rights to dispute or receive reimbursement for any debit that is not authorized or is not consistent with the terms of this section, you may contact your financial institution or visit the Canadian Payments Association website. Revocation of your authorization does not terminate your responsibility to pay your Outstanding Loan Balance; it only terminates the method of payment
- Return of Money to You: Subject to any right of set-off, if you have overpaid $10 or more than your Outstanding Loan Balance, you will be issued a refund. Refunds of less than $10 will only be issued on your request
7. Interest-free period
Subject to sections D.7(c), D.7 (d), D.7 (e), and D.10, and the requirements of the CSFAA :
- Interest-Free Period: Interest will not accrue while you are a Full-Time Student
- Interest-Free Period Ends: Interest will start to accrue on the principal amount of your Outstanding Loan Balance on the first day of the month following the month in which you cease to be a Full-Time Student
- Interest-Free Period Upon Return to Full-Time Studies: If you return to Full-Time Student status, and you confirm your enrolment as required by the CSFAA :
- you may be returned to interest-free status
- any obligations you have in respect of your Outstanding Loan Balance up to your confirmation of enrolment may be suspended; and
- if you are returned to interest-free status, you will not be required to make payments nor will interest accrue on the principal amount of your Outstanding Loan Balance while you remain a Full-Time Student, all as specified under the CSFAA
- Maximum Number of Weeks of Interest-Free Status: You are entitled to no more than the maximum number of weeks of interest-free status, as prescribed by the CSFAA. If you return to Full-Time Student status after you have reached the maximum number of weeks, interest will accrue, but you will not be required to start making payments on your Outstanding Loan Balance until the Payment Trigger Date, and you may not be eligible for certain Financial Assistance
- Interest-Free Period Terminated or Denied: Interest will accrue while you are a Full-Time Student if your interest-free period is terminated or denied. Termination or denial of an interest-free period can result if you do not meet the requirements for interest-free status under the CSFAA
8. Conversion of Canada Student Grant to loan
You acknowledge that all or a portion of your Canada Student Grant(s), may be converted into a Direct Loan if you withdraw from full-time studies within 30 days after the first day of classes or if you receive a Canada Student Grant disbursement that exceeds your eligibility for that grant, and will be added to your Outstanding Loan Balance which you agree to repay in accordance with all applicable Terms and Conditions of the MSFAA-Canada.
- Notification: You agree to promptly notify Canada of any change to your family status, financial situation or Full-Time Student status, or to information you have provided in your application for Financial Assistance or in this MSFAA-Canada
- Complete Disclosure: You confirm that, to the best of your knowledge, all information that you have disclosed relating to any previous Canada Student Loan(s) or Student Grant(s) is accurate and complete
- Acknowledgment and Consent: You acknowledge that Canada, and any of its contractors or agents, may collect, use, and retain your personal information directly from you, or indirectly from a third party. Your personal information will only be used for the purpose of administering your Financial Assistance under the MSFAA-Canada, and administering and enforcing the CSFAA or CSLA. Your personal information may be exchanged with and disclosed to the Yukon, financial institutions, lenders, educational institutions, employers, credit bureaus and Canada Revenue Agency. The collection, use, exchange and disclosure will be undertaken as required and in compliance with the Privacy Act, and Part 4 of the Department of Employment and Social Development Act. Where your consent is required by law to permit the direct or indirect collection, retention, use or disclosure of personal information, by clicking on the “I accept” button at the end of this MSFAA-Canada, you provide your consent
- Authorization: You authorize any of your current, past or future employers to release to Canada or its contractors or agents information to locate you including your name, SIN, date of birth, banking information, permanent and alternate address, telephone number, employer, and educational institution address for the purpose of enforcing your obligations pursuant to the MSFAA-Canada
10. Denial, termination and immediate repayment
You agree that the following events may result in you being denied further Financial Assistance, interest-free status or you being required to immediately pay all or part of your Outstanding Loan Balance:
- you fail to make a regularly scheduled loan payment by the Loan Payment Due Date in accordance with the payment terms of the MSFAA-Canada, and that failure continues for two consecutive months
- you fail to make any regularly scheduled loan payment(s) by the Loan Payment(s) Due Date in accordance with the payment terms of the MSFAA-Canada, and Canada demands that you make the payment(s) and you demonstrably and unequivocally refuse to do so
- you file for or have filed against you any bankruptcy-related proceeding;
- you seek relief under a provincial law relating to the orderly payment of debts that includes a Canada Student Loan
- you are found guilty of an offence under any Act of Parliament by reason of your conduct in obtaining or repaying a Student Loan or Financial Assistance; or
- you knowingly provided false information or made a misrepresentation related to your application(s) or other document upon which the Minister takes administrative measures under section 17.1(1) or (2) of the CSFAA, and you agree to immediately repay the outstanding amount of your Canada Student Loan(s) and Canada Student Grant(s) obtained on false or misleading information
The MSFAA-Canada will remain in force notwithstanding your entry into or fulfillment of an agreement to alter payment terms or the full payment by you of your Outstanding Loan Balance, subject to the CSFAA.
- Ratification: If you have entered into any Canada Student Loan agreements while you were a minor, by accepting this MSFAA-Canada, you ratify those agreements
- Previous Outstanding Student Loan Amounts:
- You agree that all amounts you owe on previous Direct Loans will be administered and paid under the Terms and Conditions of the MSFAA-Canada and that all such amounts are consolidated into and form part of your Outstanding Loan Balance
- You acknowledge that none of the amounts you owe on any Student Loan will be administered or paid under the Terms and Conditions of the MSFAA- Canada, and that no such amounts form any part of your Outstanding Loan Balance
- Further Funding: If you return to Full-Time Student status after the Payment Trigger Date, and you apply for Financial Assistance, funding may be disbursed to you under this MSFAA-Canada or you may be required to enter into a new MSFAA
- Death: All your rights and obligations under the MSFAA-Canada in respect of your Outstanding Loan Balance will terminate upon your death
- Governing Law: Subject to the CSFAA and the CSLA and any laws of Canada, the MSFAA-Canada will be governed by the laws of the Yukon
- Limitation Period: You acknowledge that the period for the limitation of actions will be six years
- Use of Financial Assistance: You acknowledge that the Financial Assistance provided to you under the MSFAA-Canada is for the purpose of providing necessities for your education and maintenance
- Severability: Any provision that becomes void or unenforceable will be severed from the MSFAA-Canada, and the validity and enforceability of all other provisions will not be affected
- Interest and Costs: You agree to pay all legal fees and disbursements incurred by Canada to collect any amount of your Outstanding Loan Balance owing under the MSFAA-Canada, and you agree to pay interest, as per section D.6(c) (ii), before and after default and delinquency. You agree to pay interest before and after judgment
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