Manitoba

Manitoba suspends student loan repayments until the end of September

The provincial government is allowing students an additional six months to pay back student aid loans.

To ease burden during pandemic, students given an extra 6 months to repay

A closeup shows a person's hands holding cash, including two $20 bills.
Manitoba students are getting a little leeway when it comes to paying back provincial student aid loans. (Peter Scobie/CBC)

Manitoba students are getting an extension on paying back student aid loans amid the COVID-19 pandemic, the province says.

The Manitoba government announced in a news release Tuesday it is suspending repayments for six months to reduce the financial burden on post-secondary students.

"While people, businesses and organizations across our province co-operate to try to flatten the curve on COVID-19 and reduce its spread, it's important that our government also do its part to assist those carrying a heavier financial burden during this public health emergency," Premier Brian Pallister said in the release.

Effective April 1, the temporary halt on repayments follows suit with the federal government's policy about its student loan program three weeks ago.

Manitoba Economic Development and Training, which oversees post-secondary education in the province, said suspending repayments until Sept. 30 will put off the collection of up to $7 million in payments.

Minister Ralph Eichler said it will "significantly lessen" the hardships post-secondary students are already facing.

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Student aid funds, such as tuition and grant payments, will continue to be doled out for the period, and people can still repay loans electronically or by cheque.

The overall impact of the pandemic is still being assessed, the release indicates.

The University of Manitoba Students' Union is applauding the government's decision.

"Students are disproportionately affected by COVID-19 as they are often financially precarious and are at high risk of job loss in the gig economy. This gives such students much needed relief," said Sarah Bonner-Proulx, UMSU's vice-president of student advocacy.

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