Student Grants and $300 Loan Limit Extended

Summary#

These are the final Regulations Amending the Canada Student Financial Assistance Regulations (SOR/2026-139). They extend the temporary increases to federal student grants and keep the weekly loan limit at $300 for the 2026–2027 academic year. The changes take effect on August 1, 2026 (or on registration if registered later).

What it does#

• Keeps the temporary higher grant and loan levels in place for the 2026–2027 academic year rather than returning to pre‑pandemic amounts.
• Sets maximum grant amounts for the academic year starting August 1, 2026:
  • Canada Student Grant for Full‑Time Students: $525 per month of study.
  • Canada Student Grant for Part‑Time Students: $2,520 for the 2026–2027 academic year.
  • Canada Student Grant for Students with Disabilities: $2,800 for the 2026–2027 academic year.
  • Canada Student Grant for Full‑Time Students with Dependants: $280 per dependant per month of study.
  • Canada Student Grant for Part‑Time Students with Dependants: $2,688 for the 2026–2027 academic year.
• Keeps the maximum weekly loan limit for full‑time students at $300 from August 1, 2026 to July 31, 2027.
• Replaces Tables 7–11 in Schedule 4 of the Canada Student Financial Assistance Regulations to update income thresholds used to determine grant eligibility for the 2026–2027 loan year. Key annual income thresholds are:
  • Family size 1: $38,474
  • Family size 2: $54,412
  • Family size 3: $66,641
  • Family size 4: $76,952
  • Family size 5: $86,033
  • Family size 6: $94,245
  • Family size 7 or more: $101,797
• Updates several references in the Regulations by replacing “2025” with “2026” where needed.

Who's affected#

• Low‑ and middle‑income students who apply for federal student aid under the Canada Student Financial Assistance Program.
• Specifically:
  • Full‑time students (who get the monthly full‑time grant and the weekly loan limit).
  • Part‑time students (who get the part‑time grants).
  • Students with dependants and students with disabilities (who get the higher, targeted grant amounts).
• Provincial and territorial student aid systems that work with the federal program. Students in Quebec, Nunavut, and the Northwest Territories may be affected indirectly through alternative payments to those jurisdictions.
• The federal government bears the budgetary costs of maintaining these higher payments for another year.

Why it matters#

• These are temporary measures that keep federal student grants and the full‑time weekly loan limit at higher levels for one more academic year. That can make it easier for students to afford tuition, housing, food and other costs while studying.
• The government estimates about 720,000 students will benefit. It expects to transfer about $815 million in additional grants and disburse about $1 billion in additional loans for 2026–2027. The estimated cost of loan defaults from the extra lending is $60.3 million (present value).
• The changes are meant to reduce students’ unmet financial need and to help some students finish their programs instead of dropping out for financial reasons. The measures are temporary, not permanent — they apply to the 2026–2027 academic year and the weekly loan limit is set to expire on July 31, 2027 unless extended again.