How to Ease the Stress of Student Loans by Madeline Santos by https://padlet.com/madeline_santos/kqczos1kbrkk Everything you need to know about student loans, lessening them, avoiding them, and paying them off as soon as possible. en-us 2017-03-30 23:38:44 UTC 2023-01-23 21:11:43 UTC hello@padlet.com WELCOME madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164069050 The cost of post-secondary education has risen exponentially over the past few decades. According to the Canadian Federation of Students, from 1990 to 2014, the national average for tuition fees has seen an increase of over 155% (Burley and Awad, 2014). Hundreds of thousands of students in Canada take on loans to afford the high cost of post-secondary education, and they graduate with varying amounts of debt. 

In today’s society, many graduates do not find a job in their field of study upon graduation, causing immense pressure on new graduates who must repay their student loans in addition to their other living expenses. Many graduates spend their first year post-graduation being unemployed, doing unpaid internships, or taking on multiple low-income jobs. While post-secondary education is a requirement to succeed in today’s labour market, public funding has failed to keep up with the rising demand for higher education.  

In this webpage, I will be providing videos, images, and websites which offer useful strategies to pay off student debt and how to avoid student loans in the first place. Each link offers a different perspective in dealing with student loans. I hope that you learn something new and that you pass on this new knowledge and wisdom to current students who have school debt and students who are about to embark on their journey to post-secondary education. 
]]> 2017-03-31 21:08:40 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164069050 VIDEO #1: Canadian Student Loan Tips on Breakfast TV (https://www.youtube.com/watch?v=7BO1fT0wcq8) madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164069132 In this video, Dan Chometa, Community Outreach Manager at Consolidated Credit Counseling Services of Canada, provides helpful tips for students dealing with loans. I chose this video because I wanted to emphasize that there are many ways to avoid and lessen student debt. Some tips mentioned in the video include paying back the loan before the grace period ends to avoid high interest, working a job that is not in their educated field or working multiple jobs to pay back the loan, and utilizing some of the government assistance services. The most useful advice mentioned in the video was taking out a loan before each year of school, and not a big loan for the full two or four years. That way, after each year, a student can work over the summer to pay off as much of each year’s loan before applying for another loan for the next year. As a result, a student will accrue a smaller debt to be paid back once their education is completed. The sooner the debt is paid, the less it affects a credit score, which is necessary for large future purchases, such as a home. ]]> 2017-03-31 21:09:38 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164069132 VIDEO #2: OSAP Repayment Video (https://www.youtube.com/watch?v=1aMkEFRPeSA&t=7s) madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164069364 This video simply explains the various ways to pay back OSAP once studies are complete. I chose this video because it is a great “Repayment 101” video that offers tools, such as a link to a loan repayment calculator, as well as services and other assistance to help the many students with OSAP. For graduating students worried about their loan, they can seek help with their payment plan by extending the plan and lowering their monthly payments. An interesting piece of advice given in the video is that students can extend their grace period to one year if they work or volunteer in the not-for-profit sector, or start their own business in Ontario. Young generations are more inclined to help not-for-profit organizations, and they are also more intelligent and innovative to start new business ventures. There are thousands of students on OSAP who need to watch videos like this to know how to pay back their student loans and to be aware of the assistance available to ease the stress. ]]> 2017-03-31 21:11:39 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164069364 VIDEO #3: Ontario Mortgage Broker reveals 5 Ways to Avoid Student Loan Debt (https://www.youtube.com/watch?v=zWQMzgtLMpk) madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164069424 In this video, Dan Cimbron, an Ontario mortgage broker at Mortgage Edge, explains a few ways to avoid student loan debt. I chose this video because he offers a different perspective in avoiding debt and funding education that other videos did not mention. His advice included avoiding non-government loans with higher interest rates and less repayment flexibility, using your mortgage your fund education, and finding schools who are looking for select students based on background, talents, etc. that will offer reduced fees. The most useful advice from this video is to think of the return on investment when choosing a school and program of study. While students should be choosing a program and school that interest them, it is also important to know the job prospects and average pay. There is no sense in investing two or four years in school in a diminishing field where there will be few jobs left or to have a job that earns slightly above minimum wage. ]]> 2017-03-31 21:12:14 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164069424 IMAGE #3: How Canadian university students are paying their bills (http://www.macleans.ca/news/canada/infographic-how-canadian-university-students-are-paying-their-bills/) madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164069598 This infographic comes from the Canadian University Survey Consortium 2012 study of over 15,000 graduating students. I chose this image because there are interesting facts that every student can either relate to or learn from. Some highlights include two-thirds of students graduating with some debt, one-third of graduates having more than $20,000 in debt, and six in 10 graduates are working. What is most interesting is how students fund their education, which is through multiple ways, including working summer or ongoing jobs, having government assistance, and getting help from family. However, it surprised me to know that 28% of respondents funded their education through scholarships and awards. This is a useful way to avoid or lessen student debt because there are thousands of scholarships, bursaries, and awards to apply to every year. In fact, a survey from Scholarships Canada found that $5 million worth of private and public scholarships go unclaimed every year, which is equivalent to paying tuition for almost 700 University students. Students should be applying to any scholarships, bursaries, grants, and awards they qualify for because it is possible that they will receive at least some help funding their education (Lalani, 2015).

]]> 2017-03-31 21:14:07 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164069598 IMAGE #1: Rising Tuition in Canada (http://cponline.thecanadianpress.com/graphics/2014/static/cp-tuition-increases.png) madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164069930 This chart compares the 2014-2015 average tuition and compulsory fees for full-time undergraduates across Canada with the 2017-2018 projection. I chose this image because it is important to know that the higher the tuition fees are, the higher the student loan will be. Every province will continue to raise tuition fees, but it is important to note the provinces with the lowest fees, including Newfoundland & Labrador and Quebec with fees under $3,000. This is a big difference in comparison to the provinces with the highest tuition fees, including Saskatchewan with a fee of over $7,000, and Ontario with a fee of over $8,000. A smart way for students to avoid or lessen high debt is to consider going to a post-secondary school in another province with low tuition fees. However, it is important to know the rules and requirements when applying to schools outside of the province, because some of these lower tuition fees apply only to in-province residents. Nonetheless, future post-secondary students should be aware of the rising tuition fees and plan ahead to avoid getting a student loan.  ]]> 2017-03-31 21:18:00 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164069930 IMAGE #2: Applying for a Student Loan in Canada is Insanely Difficult (http://www.canadianbusiness.com/wp-content/uploads/2014/07/Canadian-Centre-for-Policy-Alternatives-Interprovincial-Student-Financial-Aid-Comparison.png) madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164070193 This graph shows the complexity of a student loan application everywhere in Canada, based on report by the Canadian Centre for Policy Alternatives (CCPA). I chose this image because I wanted to show how Ontario is putting students in debt by making it difficult to apply for a student loan, despite having the highest tuition fees which force students to seek student aid in the first place. While the Northwest Territories has a 17-step process, most provinces have around 40 steps. However, Ontario has a lengthy 94-step process to be eligible for student aid. The CCPA report also found that Ontario, Nova Scotia, and Newfoundland do not offer a student loan guide. Many students have difficulty understanding, navigating, and completing questions through the system, such as the OSAP application. This shows a need for a proper student loan guide in Ontario, and other provinces. There are also issues with the process because once the application is submitted, no changes can be made. This makes it difficult for unforeseen circumstances, such as a parent suddenly losing his/her job. This image stresses the importance of having a backup plan and other aids in place, just in case you does not qualify for a student loan or grant, or if the loan or grant is not enough to pay for full education.  

]]> 2017-03-31 21:21:19 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164070193 WEBSITE #1: Paying back Student Debt (https://www.canada.ca/en/financial-consumer-agency/services/pay-down-student-debt.html) madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164070329 This website, created by the Financial Consumer Agency of Canada, offers help in paying back student loans. I chose this website because it lists and explains many important things to consider before beginning repayment, including how much you owe, who you owe, how much you will pay each month, and how long it will take to repay The website offers some tips in repaying your student loan, including making lump-sum payments while attending school, increasing your monthly payment amount, and setting up automatic payments with your financial institution so you do not miss any payments. The most useful piece of information from this website is what happens if you cannot repay your student loan. If you miss payments on your student loan for nine months or more, your loan is considered to be “in default,” meaning it will be sent to the Canada Revenue Agency (CRA) for collection. In addition, if you file for bankruptcy within seven years of graduation, you still have to continue paying back your student loan. For students graduating with debt, this website is a great guide to the repayment process, other repayment options, and the consequences of failing to repay. 

]]> 2017-03-31 21:22:42 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164070329 WEBSITE #2: How to Pay off your student loans in a year (http://careers.workopolis.com/advice/strategies-to-pay-off-your-student-loan-now/) madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164070392 This website offers effective strategies to pay off a student loan as soon as possible. According to the National Student Loan Centre, it takes an average of nine years for Canadian students to pay off their student loans. I chose this article because it is was written by someone who paid off $17,000 of a student loan in one year, and is now sharing some of the strategies used to help pay it off. It is a true success story that is worth sharing. Some of the strategies discussed include comparing interest rates among credit lines and loans, using lump sum reimbursements like income tax refunds to put towards the loan, using cash to pay for things instead of mindlessly using a debit or credit card that will increase debt, and cutting costs in other areas like gas, insurance and eating out. An interesting piece of advice given in this website is to sign up for a credit card that offers reasonable rewards with no annual fees, such as Tangerine’s 2% money-back rewards card. The author uses a great example; if you spend $1000 per month on your credit card at 2% cash back, that totals to $240 per year which can be used to help pay your student loan. However, this tip only works if you make regular payments to your credit card. Ultimately, sacrifices must be made in order to pay off your student loan, but you will be happy once the burden is gone. 

]]> 2017-03-31 21:23:34 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164070392 WEBSITE #3: How to Avoid Student Debt (http://www.studentdebtrelief.us/knowledge-base/how-to-avoid-student-debt/) madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164070530 This website provides helpful ways to avoid student debt in the first place. A couple of the tips include opening a savings account, such as a TFSA, before going to post-secondary school to help pay off the loan later, and applying to countless scholarships, bursaries, and grants that do not have to be paid back. Another important piece of advice is not to rush into post-secondary education by taking time off to work to afford some of it, or to take your time by going to school part-time while working full-time. The most useful pieces of information from this website are the tips to avoid increasing student debt while in school. The tips include budgeting and monitoring expenses, purchasing used textbooks, avoiding tempting credit cards, and avoiding eating out as much as possible. Many people use their loan money or new credit card to pay for textbooks and dining out, which consequently increases their debt owed. This website is also helpful because it lists several additional links at the bottom of the page related to dealing with student debt. ]]> 2017-03-31 21:25:19 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164070530 Reflection Questions: Word File Attached madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164070621 2017-03-31 21:26:24 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164070621 madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164076506 2017-03-31 23:39:01 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164076506 madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164076524 2017-03-31 23:39:17 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164076524 madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164076891 2017-03-31 23:45:57 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164076891 madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164077089 2017-03-31 23:53:12 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164077089 madeline_santos https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164077465 2017-04-01 00:07:35 UTC https://padlet.com/madeline_santos/kqczos1kbrkk/wish/164077465