Student debt to pay off?

How do I manage my student debt?

You can start repaying your loan as soon as you finish your studies.

You can also choose to have a six-month grace period.

This means you won't have to make any payments for six months, but interest fees will be added to your student debt.

Note that you can decide to pay the interest fees as you go.

If you received a loan as part of the Quebec government's Student Loans and Scholarships Program and have now completed your studies, it's time to inquire about the repayment terms of your loan.

Here are some tips to help you create a repayment plan that fits your capabilities.

• I want to repay faster - that's great! You'll avoid interest fees. But before making arrangements with your financial institution, make sure you've created a budget first.

• This way, you can check how much money you have each month to repay your debts. It's better to set realistic payment goals because if you later encounter difficulties, it could affect your credit score and your ability to obtain other loans or even rent an apartment.

• You can consult your financial institution for advice.

• Do you want to compare different debt repayment scenarios?

I can't pay it back now!

You are entitled to six months' repayment leave after completing your studies.

Interest is added to your debt during this period.

Once this time frame has passed, you will need to make a repayment arrangement with your financial institution.

If your financial situation still does not allow you to start repayments, contact your financial institution to try to find an arrangement.

Also, check if you are eligible for the deferred repayment program to postpone your debt repayment by a few months.

Don't forget that you can claim a tax credit for the interest paid on a student debt.

Finally, consult the Cooperative Association for Family Economics in your region or a popular budget service for assistance.

Source: AMF