Students miss out on vital OSAP info

By Miranda Minassian

mina0012@algonquincollege.com

Based on the attendance at a presentation regarding national student loans, Algonquin borrowers are not concerned with the details of paying back their loans.

The National Student Loan Service Center sent a representative from Resolve, the company that runs their daily operations, to Algonquin to inform future graduates of their loan responsibilities.

Two students total attended.

“I need to know where, when and how to pay back my OSAP.  I want to pay it back fast,” said Olawumi Adetoyi, a business administration student who went to the work shop hoping to better understand the obligations that come with taking out, and repaying a student loan.

“This event is under-attended. There should be a thousand graduates here to find out what’s next,” said Debra LeBlanc, a financial aid officer who wasn’t surprised by poor attendance. “We do this every year so students will know the ins and outs of their loans.”

Marc Guindon, the speaker from Resolve, spoke for nearly an hour about the process of loan repayment, and tips to successfully get out of debt.

“Students don’t realize that the interest is the killer,” said Guindon.  “You end up paying much more than you borrowed if you let it accumulate.”

The talk also explained what to do if you get into financial trouble and find yourself unable to make payments.

“Borrowers must apply for interest relief for each period that they are eligible.  It can by applied for at any time during the repayment,” said Guindon.

The consequence of not understanding student loans is something that could haunt students after they leave Algonquin.  As little as three late minimum payments can have an effect on an individuals credit score, Guindon explained.

The turnout is unrepresentative of the number of students at Algonquin that fund their education with government loans.  According to financial services, about half of the students at Algonquin use Ontario Student Assistance Program (OSAP) to pay for their education.

“We were hoping that with the increase in advertising this year that it would be better attended,” said Linda Fielding, the manager of financial aid. 

The poor attendance is not for lack of trying on the part of financial aid. Flyers were hung around the college; the event was posted on the Algonquin homepage, as well as being advertised on the monitors located outside the financial aid office, student support services and the registrar.

They also notified the SA of the lecture in the hopes that class representatives would notify their classmates.

Fielding emphasized the importance of being educated about loan options. 

“This [presentation] will help with financial planning for the future.  It gives scenarios to let students see what their own situation will look like,” she said.

The consequences of student loans are something that could haunt students well after they leave Algonquin.  As little as three late minimum payments can have an effect on an individuals credit score.

“People should be [at the lecture] to know their options,” said Adetoyi after the lecture.  “I didn’t know that OSAP was composed of a federal and provincial component, I learned something here.”