Nova Scotia Loan Forgiveness Program
The Nova Scotia Loan Forgiveness Program (and Permanent Disabilities Loan Forgiveness) reduces debt for eligible borrowers who study at Nova Scotia universities.
Nova Scotia Loan Forgiveness makes post-secondary education more affordable for students who receive Nova Scotia Loans issued on or after August 1, 2015 by reducing the amount of provincial loan they owe at graduation.
You should be aware of the Loan Forgiveness Program if you are:
- Deciding between a university degree or a diploma program.
- Deciding whether to study here in Nova Scotia or outside the province.
The criteria for the Loan Forgiveness Program are:
- You must have total combined government student loan debt (CSL and NSSL) greater than $28,560.
- You must graduate from an undergraduate, non-professional degree program at a Nova Scotia university.
- If you graduated before August 1, 2017, and took five or more years to complete your degree, you will be assessed for Loan Forgiveness for your first four years of study toward that degree.
- If you graduate(d) after August 1, 2017, and took five or more years to complete your degree, you will be assessed for Loan Forgiveness for your first five years of study toward that degree.
- The entire degree must be completed within eight years of starting it.
- In most cases, the qualifying degree can include credit transfers that are made under inter-institutional agreements (sometimes known as a Letter of Permission).
- It must be your first undergraduate degree program funded with the help of Nova Scotia Student Assistance.
- Loan Forgiveness works differently for students with a Permanent Disability.
How do I apply for Loan Forgiveness? When will my loan be forgiven?
Students are automatically assessed under the NS Loan Forgiveness Program when they graduate. Once we receive notice from your school that you have graduated, we'll assess your Forgiveness amount on any NS Student Loans you have received since August 2015. At the same time, we'll also check to see whether you may qualify for Debt Cap benefit for any Nova Scotia Student Loans you received during the August 2011-July 2015 academic years as well as any other loans that might qualify for reduction under the Debt Reduction Program (for loans issued 2003-2008).
Keep your address & contact information up to date!
If we have trouble obtaining your graduation data from your school, we may need to contact you for proof of graduation in order to complete your assessment.
You will receive a letter by mail that informs you that you've been assessed for the Nova Scotia Loan Forgiveness Program and the amount of your Nova Scotia Student Loan, if any, that will be forgiven.
- If you owe any amount on your Nova Scotia Student Loan, the Program will pay up to 100% of any outstanding Nova Scotia Student Loan amounts.
- If you owe less on your Nova Scotia Student Loan than you receive in Loan Forgiveness (i.e. if you have already paid back some of your Loan) the difference will be paid toward your Canada Student Loan, if any. Any remaining amount will be sent to you in the form of a mailed cheque.