NEWFOUNDLAND AND LABRADOR REGULATION 36/13

NLR 105/03
as amended

1. Subsection 4(1) of the Student Financial Assistance Regulations is repealed and the following substituted:

Amount of
financial assistance

4. (1) Financial assistance shall not be issued in an amount that is less than $67.

2. Section 5 of the regulations is repealed and the following substituted:

Granting of financial assistance

5. (1) A person to whom a notice of financial assistance has been issued shall

(a) be enrolled as a full time student as confirmed by an official of the educational institution;

(b) sign a student loan agreement in which he or she agrees to repay his or her student loan in accordance with the terms and conditions of that agreement and these regulations;

(c) submit the completed student loan agreement to the corporation or service provider before the last day of the month of his or her period of study end date; and

(d) sign those consents, authorizations and certificates that the minister may require.

(2) Where a person complies with subsection (1), the corporation shall issue financial assistance to that person in the amount set out in the notice of financial assistance.

3. (1) Subsection 5.2(1) of the regulations is repealed and the following substituted:

Payment free status

5.2 (1) Where a student loan is issued to a borrower, that student loan has payment free status during the period

(a) commencing on the period of study start date as confirmed by his or her educational institution; and

(b) ending 6 months after the last day of the month of the borrower's period of study end date as confirmed by his or her educational institution.

(2) Section 5.2 of the Act is amended by adding immediately after subsection (2) the following:

(2.1) Payments are not required on a student loan until the last day of the

(a) seventh month after the last day of the borrower's period of study end date as confirmed by his or her educational institution; or

(b) first month after payment free status under subsection (6) or (10) ended.

4. Subsection 5.3(4) of the regulations is repealed and the following substituted:

(4) Notwithstanding that the last day of the month of the period of study end date as confirmed by his or her educational institution has been reached, the student loan to which it applied retains its payment free status during the period between the previous period of study end date and the last day of the month of the next period of study end date as confirmed by his or her educational institution where

(a) the period between the last day of the month of the previous period of study end date and next period of study start date as confirmed by his or her educational institution is less than 6 months; and

(b) that borrower delivers his or her confirmation of enrolment to the minister within the 6 month period referred to in paragraph (a).

5. Section 5.6 of the regulations is repealed and the following substituted:

Amendment to prevent default

5.6 A lender and a borrower may amend the terms of repayment if the borrower notifies the lender that the terms of repayment are such that he or she will be in default and if the lender considers that an amendment will enable the borrower to meet his or her obligations.

6. Section 5.7 of the regulations is repealed and the following substituted:

Student loan default

5.7 (1) A borrower is in default of his or her obligation to repay a student loan if

(a) he or she refuses to repay all or part of that loan;

(b) he or she does not make a regularly scheduled payment and the failure to make the required payment continues for 2 months; or

(c) the borrower becomes subject to or takes advantage of a law relating to bankruptcy and insolvency or seeks relief under a provincial law relating to the orderly payment of debts that includes a student loan.

(2) Where a borrower is in default of his or her obligation to repay all or part of his or her student loan, the loan is due and payable on the following dates:

(a) if the default occurs because the borrower refuses to repay all or part of his or her student loan, on the date of the refusal;

(b) if the default occurs because the borrower does not make a regularly scheduled payment to repay his or her student loan, on the day on which a regularly scheduled payment has been outstanding for 2 consecutive months; or

(c) the date on which the borrower becomes subject to or takes advantage of a law relating to bankruptcy or insolvency or seeks relief under a provincial law relating to the orderly payment of debts that includes a student loan.

7. Section 5.8 of the regulations is amended by adding immediately after subsection (3) the following:

(4) This section does not apply to a borrower who enters into a student loan agreement with the corporation after July 31, 2012.

8. The regulations are amended by adding immediately after section 5.8 the following:

Repayment

5.09 A borrower who enters into a student loan agreement with the corporation after July 31, 2012 shall, within 6 months after ceasing to be a full time student, discharge all outstanding student loans of that borrower in accordance with the repayment terms established by the lender.

9. Subsection 7(3) of the regulations is repealed and the following substituted:

(3) Where a borrower entered into a student loan agreement on or before July 31, 2012, a grant to a borrower shall not exceed the principal amount of his or her student loan at the time of its consolidation.

(3.1) Where a borrower entered into a student loan agreement with the corporation after July 31, 2012, a grant to a borrower shall not exceed the principal amount of his or her student loan at the time the repayment terms are established by the lender.

10. (1) Paragraph 9(1)(d) of the regulations is repealed and the following substituted:

(d) is employed as an early childhood educator, at the time

(i) of its consolidation, where the borrower entered into a student loan agreement on or before July 31, 2012; or

(ii) the repayment terms are established by the lender, where the borrower entered into a student loan agreement after July 31, 2012

(2) Subsection 9(4) of the Regulations is repealed and the following substituted:

(4) A grant received under this section shall not exceed the principal amount of the student loan owing by the borrower at the time

(a) of its consolidation, where the borrower entered into a student loan agreement on or before July 31, 2012; or

(b) the repayment terms are established by the lender, where the borrower entered into a student loan agreement after July 31, 2012.

Commencement

11. These regulations are considered to have come into force on August 1, 2012.