Apprentice Loans Regulations

Marginal note:Conditions

• 12 (1) Subject to section 6 of these Regulations and section 15 of the Canada Student Financial Assistance Regulations, the Minister must on application in the form determined by the Minister — including the borrower’s social insurance number — provide the second stage of a repayment assistance plan to a borrower for a period of six months if

  • (a) the borrower resides in Canada;

  • (b) at least one of the following conditions is met:

    • (i) the borrower has either a permanent disability or a persistent or prolonged disability, and

    • (ii) the borrower has benefited from a total of 60 months of repayment assistance referred to in section 10 or at least 114 months have passed since the applicable day referred to in paragraph 10(1)(b) in respect of any apprentice loan made to the borrower; and

  • (c) the borrower’s monthly affordable payment calculated in accordance with subsection (2) is less than their monthly required payment calculated in accordance with subsection (3).

• Marginal note:Monthly affordable payment

  (2) The monthly affordable payment is equal to

  • (a) in the case of a borrower who has either a permanent disability or a persistent or prolonged disability

    • (i) $0, if the borrower’s monthly family income, less their monthly disability-related expenses not covered by their provincial health care or private insurance plan, is no more than the monthly income threshold for their family size determined in accordance with the table set out in Schedule 2, or

    • (ii) otherwise, the borrower’s monthly family income multiplied by the lesser of the amounts determined by the following formulae:

      0.2A

      1.5[((W – Y)) ÷ 100Z+0.01]A

      where

      A

      is, in relation to apprentice loans, student loans, guaranteed student loans and provincial loans, the ratio of the borrower’s outstanding principal for which instalments are due to the sum of that amount and the outstanding principal for which instalments are due for any loan of the same type to a spouse or common-law partner of the borrower,

      W

      is the borrower’s monthly family income less their monthly disability-related expenses not covered by their provincial health care or private insurance plan,

      Y

      is the monthly income threshold for the borrower’s family size determined in accordance with the table set out in Schedule 2, and

      Z

      is the monthly increment for the borrower’s family size determined in accordance with the table set out in Schedule 2; or

  • (b) in any other case, the amount determined in accordance with subsection 10(2).

• Marginal note:Monthly required payment

  (3) The monthly required payment is equal to the sum of

  • (a) the outstanding principal of the apprentice loans made to the borrower for which instalments are due, amortized over a period of the greater of six months and

    • (i) in the case of a borrower who has either a permanent disability or a persistent or prolonged disability, 114 months minus the number of months that have passed since the applicable day referred to in paragraph 10(1)(b), and

    • (ii) in any other case, 174 months minus the number of months that have passed since the applicable day referred to in paragraph 10(1)(b); and

  • (b) the monthly required payment calculated under

    • (i) paragraphs 19(3)(a) and (b) of the Canada Student Financial Assistance Regulations, or

    • (ii) paragraphs 20(3)(a) and (b) of those Regulations.