canada • CAD

Student Loan Calculator Canada

Free 2026 Canada student loan calculator: payoff time and interest with the interest-free federal portion, the RAP payment cap, OSAP and other provincial loans.

Last revised 17 September 2026

By Team GlobalCalqulate · About our editorial standards

Student Loan Details

Total Student Loan Balance

Federal Loan Balance

Provincial Loan Balance

Provincial Program

Financial Disclaimer: This result is an educational estimate produced by applying a standard formula to the figures you entered. It is not an offer, a quotation, or financial advice: real costs and returns depend on a provider's pricing, fees and underwriting, and on circumstances this calculator does not collect. Confirm the figures with the provider or a qualified adviser before acting on them. Full disclaimer.

Sources & methodology

Formula:: Weighted interest rate
Reference:: Employment and Social Development Canada
Content last updated:: September 2026
Scheduled re-verification:: September 2027

Calculation type: Exact calculation. Figures are taken from Employment and Social Development Canada — see sources below.

Your entries stay on this device. This calculator runs entirely in your browser — the figures you type are not sent to us or to anyone else. The page itself uses cookies for analytics and advertising, described in the privacy policy.

Formula & methodology

Formula used

Weighted interest rate

annual rate = (provincial balance ÷ total balance) × provincial rate

Federal Canada Student Loans carry 0% interest, so only the provincial portion of your balance accrues interest — the blended rate reflects what share of your total debt is provincial.

Monthly payment

payment = (P × r × (1+r)^n) / ((1+r)^n − 1)

If you don't enter a fixed monthly payment, the calculator derives one from your total balance, weighted rate and chosen repayment term.

RAP benefit (simplified)

affordable payment = 10% × monthly income; RAP benefit = federal share of payment − affordable payment (if positive)

A simplified model of the Repayment Assistance Plan: the federal share of your payment is capped at 10% of your monthly income, and any amount above that cap is counted as the RAP benefit.

Variable definitions

Symbol	Meaning	Unit
P	Principal. total federal plus provincial loan balance	CAD
r	Monthly interest rate. weighted annual rate ÷ 12	ratio

Step-by-step calculation

1. Combine balances
Federal and provincial balances are summed; federal accrues no interest, provincial accrues at your entered rate.
2. Determine payment
Uses your entered monthly payment, or derives one from the term you select.
3. Apply lump sum (if any)
A one-time extra payment in a chosen year reduces the balance at that point, shortening the remaining payoff.
4. Estimate RAP benefit
Caps the federal share of your payment at 10% of monthly income and counts any reduction over the repayment period.
5. Estimate tax credit
Approximates the federal+provincial lowest-bracket credit on interest paid on the provincial portion only.

Limitations

RAP is modelled only as the 10%-of-income payment cap on the federal portion; the real NSLSC assessment also uses family size and an income table below which the payment is $0, which this calculator does not reproduce.
Tax credit is approximated at a flat 20% combined rate, not your actual marginal rate.
Does not model interest relief periods, deferrals, or program-specific rules beyond the general OSAP/AFE/BC/Alberta framework.

This page is educational. It applies a standard formula to the figures you enter and shows the arithmetic behind the result. It is an estimate, not an offer, a quotation or financial advice: real costs depend on the provider's pricing, fees and underwriting, and on circumstances this calculator does not collect.

Sources & references

Repayment Assistance Plan (RAP) — Employment and Social Development Canada
Canada Student Loans interest — 0% federal interest — Employment and Social Development Canada

Help & FAQs

Frequently Asked Questions

Clear answers to common questions to help you use this calculator confidently.

Are Canada Student Loans interest-free?

Tap to view the answer

Yes. The federal portion of Canada Student Loans carries permanent 0% interest. Provincial loans (OSAP, Quebec AFE, BC StudentAid, Alberta Student Aid, and others) may still charge interest depending on your province and repayment plan, which is what this calculator applies its interest rate to.

How does the Repayment Assistance Plan (RAP) work?

Tap to view the answer

RAP can reduce or eliminate your required payment if your income falls below a threshold based on your family size. This calculator estimates a simplified RAP benefit; the real program uses NSLSC's detailed formula, which also considers your total loan balance, not just income and family size.

Does this calculator support OSAP, Quebec AFE, BC and Alberta loans?

Tap to view the answer

Yes. Select your provincial program to model repayment for OSAP (Ontario), AFE (Quebec), BC StudentAid, Alberta Student Aid, Saskatchewan, and Manitoba — the federal 0%-interest portion is modelled the same way regardless of which province you select.

Can I claim student loan interest on my Canadian taxes?

Tap to view the answer

Yes. Interest paid on Canada Student Loans and eligible provincial student loans (not private loans) can be claimed as a non-refundable federal and provincial tax credit. This calculator gives an approximate credit estimate; confirm the exact amount using your T1 return and loan interest statements.

How does a lump sum payment affect my repayment?

Tap to view the answer

A lump sum applied in a chosen year immediately reduces your outstanding balance at that point, which shortens the remaining payoff time and reduces total interest on the provincial portion of your loan — the calculator recalculates the payoff schedule from that point forward.

Need more help? Contact support or email globalcalqulate@gmail.com

We typically reply within 24–48 hours.

More Canada calculators

How to Use This Calculator

Enter Student Loan Balances

Provide your federal and provincial student loan balances.

Select Your Provincial Program

Choose OSAP, AFE, BC StudentAid, Alberta Student Aid or your applicable program.

Enter Income Information

Add annual income and family size to estimate RAP eligibility.

Adjust Repayment Strategy

Compare different payment amounts and repayment terms.

Review Repayment Results

Analyze payoff date, total repayment cost, RAP assistance and tax benefits.

Understanding Your Results

Monthly Payment
The estimated payment required to repay the student loan under your selected repayment plan.
Payoff Timeline
Shows how long it may take to fully repay your student loans.
RAP Assistance
Repayment Assistance Plan may reduce or eliminate required payments for qualifying borrowers.
Tax Credits
Interest paid on eligible provincial student loans may qualify for Canadian tax credits.

Key Tips

✓
Canadians facing financial hardship should evaluate RAP eligibility as soon as possible.
✓
Lump-sum payments directly reduce principal and shorten repayment periods.
✓
Federal Canada Student Loans currently do not accrue interest, reducing overall borrowing costs.
✓
Keep records of eligible interest payments for potential tax credits.

Repaying Student Loans in Canada

Your loan probably has two halves

Most Canadian students borrow through an integrated programme that combines a federal Canada Student Loan with a provincial loan — OSAP in Ontario, and equivalents elsewhere. They arrive as one payment and are often repaid as one, but they are legally separate debts with different terms.

This matters because the interest rules differ. The federal portion has been permanently interest-free since April 2023 — you repay only what you borrowed. Provincial portions vary: several provinces have also eliminated interest, while others still charge it. Quebec, the Northwest Territories and Nunavut run entirely separate programmes. Check your National Student Loans Service Centre account to see which portions carry interest before assuming a single rate applies to everything.

The six-month grace period, and what it does and does not do

Repayment does not begin until six months after you leave full-time study. You are not required to make payments during this period, which gives you time to find work.

Since federal loans no longer accrue interest, that grace period is genuinely free on the federal portion. Where a provincial portion still charges interest, it may continue to accumulate during those six months — so the grace period is not automatically cost-free. If you can afford to pay during it, every dollar goes straight against principal. You must still confirm your contact details and consolidate your loans with the NSLSC before the period ends, or you risk missing the first payment and damaging your credit.

The Repayment Assistance Plan

The Repayment Assistance Plan caps your student loan payment based on family income and household size. If your income is below the threshold — currently around $40,000 for a single person, rising with family size — your required payment can be reduced to zero.

RAP is not a deferral that lets debt pile up. Under the plan, the government covers any interest your payment does not meet, and after a period it begins covering principal too, with the balance forgiven after 15 years, or 10 for those with a permanent disability. It must be applied for and reapplied for every six months, which is where people fall through. Applying is far better than defaulting: a default damages your credit for years and removes access to RAP entirely.

The interest tax credit, and what does not qualify

Interest paid on government student loans is a non-refundable federal tax credit, valued at the lowest bracket rate. On $500 of interest that is roughly $70 federally plus a provincial amount.

The credit only applies to loans issued under the Canada Student Loans Act or equivalent provincial programmes. Interest on a student line of credit from a bank, a personal loan, or money borrowed from family does not qualify — a common and expensive misunderstanding when people consolidate a government loan into a bank product and unknowingly forfeit the credit. Unused amounts can be carried forward for up to five years, which is useful if your income is too low to use the credit now.

Paying extra, and paying it in the right order

There is no prepayment penalty on Canadian student loans, and any extra payment goes directly against principal. On an interest-bearing provincial loan, that is straightforwardly valuable.

On the interest-free federal portion the logic is different. A debt costing 0% should be the last thing you accelerate: paying it early has no interest saving at all, so any other debt — or even a GIC — beats it. Direct extra payments at the highest-rate debt you have, which for most graduates is a credit card or a bank student line of credit rather than the government loan. Switching to an accelerated bi-weekly schedule on the interest-bearing portion effectively makes thirteen monthly payments a year instead of twelve.

Missing payments, and the consequences

Student loans are reported to credit bureaus, so missed payments damage your credit score like any other debt. After 270 days of non-payment the loan goes into default and is transferred to the Canada Revenue Agency for collection.

At that point the CRA can offset your tax refunds and GST credits against the balance, and garnish wages. You also lose eligibility for the Repayment Assistance Plan and for further student aid. Student loans are also difficult to discharge in bankruptcy — generally only after seven years since you ceased study. Because RAP can reduce a payment to zero, defaulting is almost never the better option; contact the NSLSC before missing a payment rather than after.

Formula & methodology

Formula used

Weighted interest rate

annual rate = (provincial balance ÷ total balance) × provincial rate

Federal Canada Student Loans carry 0% interest, so only the provincial portion of your balance accrues interest — the blended rate reflects what share of your total debt is provincial.

Monthly payment

payment = (P × r × (1+r)^n) / ((1+r)^n − 1)

If you don't enter a fixed monthly payment, the calculator derives one from your total balance, weighted rate and chosen repayment term.

RAP benefit (simplified)

affordable payment = 10% × monthly income; RAP benefit = federal share of payment − affordable payment (if positive)

A simplified model of the Repayment Assistance Plan: the federal share of your payment is capped at 10% of your monthly income, and any amount above that cap is counted as the RAP benefit.

Variable definitions

Symbol	Meaning	Unit
P	Principal. total federal plus provincial loan balance	CAD
r	Monthly interest rate. weighted annual rate ÷ 12	ratio

Step-by-step calculation

1. Combine balances
Federal and provincial balances are summed; federal accrues no interest, provincial accrues at your entered rate.
2. Determine payment
Uses your entered monthly payment, or derives one from the term you select.
3. Apply lump sum (if any)
A one-time extra payment in a chosen year reduces the balance at that point, shortening the remaining payoff.
4. Estimate RAP benefit
Caps the federal share of your payment at 10% of monthly income and counts any reduction over the repayment period.
5. Estimate tax credit
Approximates the federal+provincial lowest-bracket credit on interest paid on the provincial portion only.

Limitations

RAP is modelled only as the 10%-of-income payment cap on the federal portion; the real NSLSC assessment also uses family size and an income table below which the payment is $0, which this calculator does not reproduce.
Tax credit is approximated at a flat 20% combined rate, not your actual marginal rate.
Does not model interest relief periods, deferrals, or program-specific rules beyond the general OSAP/AFE/BC/Alberta framework.

Repaying Student Loans in Canada

Your loan probably has two halves

The six-month grace period, and what it does and does not do

Repayment does not begin until six months after you leave full-time study. You are not required to make payments during this period, which gives you time to find work.

The Repayment Assistance Plan

The interest tax credit, and what does not qualify

Interest paid on government student loans is a non-refundable federal tax credit, valued at the lowest bracket rate. On $500 of interest that is roughly $70 federally plus a provincial amount.

Paying extra, and paying it in the right order

There is no prepayment penalty on Canadian student loans, and any extra payment goes directly against principal. On an interest-bearing provincial loan, that is straightforwardly valuable.

Calculator inputs

Student Loan Details

Repayment Information4 options

Income & RAP Eligibility4 options

Advanced Planning3 options

Your results

Sources & methodology

Formula & methodology

Formula used

Weighted interest rate

Monthly payment

RAP benefit (simplified)

Variable definitions

Step-by-step calculation

Limitations

Sources & references

Are Canada Student Loans interest-free?

How does the Repayment Assistance Plan (RAP) work?

Does this calculator support OSAP, Quebec AFE, BC and Alberta loans?

Can I claim student loan interest on my Canadian taxes?

How does a lump sum payment affect my repayment?

Related calculators

More Canada calculators

Calculator inputs

Student Loan Details

Repayment Information4 options

Income & RAP Eligibility4 options

Advanced Planning3 options

Your results

Sources & methodology

How to Use This Calculator

Student Loan Repayment Example

Understanding Your Results

Key Tips

Repaying Student Loans in Canada

Your loan probably has two halves

The six-month grace period, and what it does and does not do

The Repayment Assistance Plan

The interest tax credit, and what does not qualify

Paying extra, and paying it in the right order

Missing payments, and the consequences

Formula & methodology

Formula used

Weighted interest rate

Monthly payment

RAP benefit (simplified)

Variable definitions

Step-by-step calculation

Limitations

Sources & references

How to Use This Calculator

Student Loan Repayment Example

Understanding Your Results

Key Tips

Repaying Student Loans in Canada

Your loan probably has two halves

The six-month grace period, and what it does and does not do

The Repayment Assistance Plan

The interest tax credit, and what does not qualify

Paying extra, and paying it in the right order

Missing payments, and the consequences