More Money for Students
by harry98 on October 22, 2015 - 11:14pm
In early October, the Liberals promised to increase the grant fund that would be provided to post-secondary students. They plan on paying for the grants by scrapping the “targeted education and textbook tax credit.” However, this will only cover the majority of the cost of the grants and not all of it.
The plan is to increase the amount of grants distributed to 750 million dollars annually and then increase it to 850 million annually by 2019-2020. Bilan Arte, the national chairperson for the Canadian Federation of Students, says the grants will benefit students more than the tax cuts. These grants will be available to lower-class and middle-class post-secondary students and not to upper-class students. A full time student may be eligible for a grant between 2,000 dollars and 3,000 dollars annually and a between 1,200 dollars and 1,800 dollars for part time students. The Liberal party also mentioned that graduates will not have the need to pay their debts back until they make 25,000 dollars. For example, a person making 23,000 dollars annually will not be held accountable for not paying their student loans.
In principal, this seems like a very good way to help students get more money in their pockets and help them out financially.
However, CTV news have claimed the Liberal party’s claims surrounding this plan are misleading. The news outlet says that the Liberal party’s website claims an average student has 28,000 dollars of student loans. They say that according to Statistics Canada’s 2013 National Graduates Survey, the average student actually owes 13,000 dollars in student debt.
It will be interesting to see what Justin Trudeau, now Prime Minister designate, will do concerning this plan.