What did the federal government do about student loans?
On March 19, Finance Minister Bill Morneau presented the 2019-2020 federal budget. Many organizations have been lobbying the federal government to eliminate interest on student loans in the federal budget. One of these organizations is BCFS, who have recently been involved in successfully lobbying the British Columbian provincial government to eliminate interest on student loans from the provincial budget.
However, while the federal government has not eliminated interest on student loans in their most recent budget, they did address the issue more broadly. Specifically, the budget outlined that the federal government plans to lower the interest rate of student loans to 2.5%, and also freeze interest on student loans for six-months after students graduate. According to BCFS, most Canadian students end up paying an extra $5,000 in student loan interest.
BCFS is running a campaign to try and get student loan interest eliminated on the federal level through a letter writing campaign to Prime Minister Justin Trudeau. On their website, they have a pre-written letter expressing concerns regarding the continuation of interest on student loans that only require a name and postal code to be sent. There is also an option for people to add their own personal story, should they want to extend past the pre-written version.