Types of Laurentian Bank Student Loans and Lines of Credit
- Student Loans. A student loan is a kind of financial aid issued by the Department of Education. Still, you need to manage your student loan, and this is where Laurentian Bank can help. Upon getting approval for a loan from the Department of Education, you can reach out to Laurentian Bank and outsource loan management tasks to them. The bank will take care of depositing your funds into your account.
The government will determine the interest rates during your studies. Afterward, you can choose between a fixed or variable rate based on the Bank of Canada’s preferred rate. Depending on the loan amount, the student loan terms can range from 1 to 10 years. You can pay off your loan early at any time, penalty-free.
- Student Lines of Credit. Students not qualifying for government student loans can still apply for a student line of credit at Laurentian Bank. These lines of credit provide access to financing of up to $30,000 at competitive variable interest rates for the period of your study. The amount of financing will depend on your training program. The minimum amount to borrow is $1,500.
When you study, you pay only interest on the borrowed amount, and only when you use your line of credit. After graduating, you will have a grace period of up to 12 months, during which you must reimburse only the interest. Then, you can convert your student line of credit into a personal loan at either a fixed or a variable interest rate and repay the principal and interests within up to 7 years.
How to apply for a Laurentian Bank Student Loan of a Line of Credit?
You should apply for a student loan or line of credit in person at your local Laurentian Bank branch. Online application is not available for these financing solutions.
Requirements
Student loan management by Laurentian Bank is available only for students approved for a loan by the Department of Education.
Student lines of credit are available to the following categories of borrowers:
- Students enrolled in a post-secondary training program offered by a recognized educational institution (CEGEP or University).
- Students enrolled in a specialized training program offered by a private educational institution.
When applying, be sure to have the documents verifying your enrollment at hand.
Pros and cons
Here are the pros of student loans and lines of credit from Laurentian Bank:
- Hassle-free management of your student loan.
- Being not eligible for government student loans still allows you to apply for a line of credit.
- Access to significant amounts in financing with student lines of credit.
Still, there are certain cons to be aware of:
- The interest rates for student lines of credit are not clear.
- Students not enrolled in post-secondary training programs at recognized educational institutions or in specialized training programs at private institutions cannot apply for student lines of credit.
How to make a payment?
Here are the available ways to pay for your student loans and lines of credit from Laurentian Bank:
- Transfer money from your Laurentian Bank account to your loan or line of credit either online or through the mobile app.
- Pay at a Laurentian Bank ATM.
- Pay in person at your local Laurentian Bank branch.
- Pay by phone.
