Student Grants Increased; Credit Check Waived

Summary#

These are the final Regulations Amending the Canada Student Financial Assistance Regulations (SOR/2023-157). They raise the size of several federal student grants and the weekly loan limit for the 2023–24 loan year, and they remove a credit‑check rule for some first‑time applicants. The changes take effect on August 1, 2023 and are expected to help about 683,000 students.

What it does#

• Raises several Canada Student Grant amounts (roughly a 40% increase from pre‑pandemic levels for the 2023–24 loan year), for example:
  • Canada Student Grant for Full‑Time Students: from $375 to $525 per month of study.
  • Canada Student Grant for Part‑Time Students: from $1,800 to $2,520 per loan year.
  • Canada Student Grant for Students with Disabilities: from $2,000 to $2,800 per loan year.
  • Canada Student Grant for Full‑Time Students with Dependants: from $200 to $280 per dependant per month of study.
  • Canada Student Grant for Part‑Time Students with Dependants: from $1,920 to $2,688 per loan year.
• Increases the weekly limit for full‑time Canada Student Loans (CSLs) from $210 to $300 for the 2023–24 loan year.
• Waives the credit‑screening requirement for first‑time student financial assistance applicants aged 22 or older for the 2023–24 loan year. That means some older first‑time applicants will not need to pass a credit check to access federal loans and grants that year.
• Updates the program’s income thresholds and related tables used to decide grant eligibility for the 2023–24 loan year.
• Comes into force on August 1, 2023 (for the 2023–24 loan year).

Who's affected#

• Students who apply to or receive federal student aid through the Canada Student Financial Assistance Program in the 2023–24 loan year. That includes full‑time and part‑time students, students with disabilities, and students with dependants.
• First‑time applicants aged 22 or older who would have been subject to credit screening.
• Most provinces and students in them: the federal program changes apply in the nine provinces and Yukon that participate in the federal delivery model. Quebec, Nunavut, and the Northwest Territories receive federal payments to run their own student aid programs, so these specific regulatory changes may not apply directly in those jurisdictions.
• The federal government bears the immediate cost of larger grants and loan disbursements.

Why it matters#

• More non‑repayable help: larger Canada Student Grants mean students from low‑ and middle‑income families get more money that they do not have to pay back. That can make tuition, rent, food and other costs easier to manage while studying.
• Greater short‑term loan access: raising the weekly CSL limit to $300 lets full‑time students access more loan money each week for living and study costs.
• Easier access for some older applicants: waiving the credit check for first‑time applicants aged 22+ removes a documented barrier that previously delayed or blocked access to aid for a small group of people.
• Big‑picture numbers: the government estimates the measures will cost about $890 million (present value) over 10 years and produce monetized benefits of about $1,648 million (present value), for a net benefit of roughly $759 million over that period.
• Practical impact: these changes are temporary for the 2023–24 loan year and were aimed at addressing rising living costs and affordability pressures as students return to normal post‑pandemic life.