In early 2019, the Ontario Ministry of Colleges, and Universities announced changes to OSAP effective the 2019-2020 academic year and published the Affordability of Postsecondary Education in Ontario.
To help you understand what these changes mean and how they may impact you, please review the following updates.
Lowering Tuition Rates
Tuition for domestic students will be reduced by 10% in 2019-20, followed by a freeze in tuition in the following year.
The Student Choice Initiative will give students the option of opting out of certain fees. Fees used to fund campus-wide services and facilities will remain mandatory. Read more about incidental fees on the Student Financial Services website.
For 2019-20, the OSAP assessment will include the mandatory fees related to the campus-wide services all students must pay.
Student, family, and spousal contributions
The purpose of OSAP is to supplement a student's contribution to their educational costs. The amount that students will be expected to contribute will increase from $3,000 to $3,600 for 2019-20. This expected contribution is automatically factored into a student’s OSAP assessment.
Definition of an “Independent” student
The definition of an “independent” student will change for the Ontario component of OSAP assistance.
In 2019-20, students who are four years out of high school will be considered “independent” for the federal component of OSAP assistance but “dependent” for the provincial component of OSAP assistance.
Please note: Students who are currently four years out of high school who have applied for 2018-19 OSAP assistance, will still be considered “independent” for 2019-2020 OSAP (see OSAP website).
All OSAP applicants will receive a minimum of 10% of their funding as a loan. The percentage of funding that will be a loan will depend on a few factors, including the student’s income (and if applicable, their family’s) and the student’s status (dependent, single independent, married/common-law, or sole-support parent).
Students can still continue to select the “grant only” option.
Students whose families have a household income of $140,000 or more will no longer be eligible for the Ontario Student Grant (compared to $175,000 or more in 2018-19).
Continuation of Interest Free Status
Prior OSAP loans go into repayment six months after the end of the last term in which you received OSAP.
NEW: During the six month grace period, students will accrue interest on the provincial loans while the federal loans are interest free. Previously, federal loans accrued interest while the provincial loans remained interest free.
More information about Interest free status is available on our website.