MP Wayne Stetski is calling on the federal government to eliminate interest on federal student loans. (File photo)

Stetski calls for no interest student loans

Letter requests interest on federal student loans to be eliminated in the 2019 budget

The New Democrat MP for Kootenay-Columbia wants to see the elimination of interest charged on federal student loans.

Wayne Stetski’s request follows the decision last month by the provincial NDP government to stop charging interest on provincial student loans.

Stetski said federal student loans make up a larger portion of the debt many young Canadians are graduating with, and those loans have relatively high interest rates.

The interest formula for federal student loans has not changed since 2000 and the federal government currently charges higher interest rates than some bank offerings for student lines of credit.

The interest rate is either variable at prime plus 2.5 per cent (currently 6.45 per cent) or fixed at prime plus 5 per cent (currently 8.95 per cent).

Stetski called the interest charges, “a penalty on low and middle-income students who cannot pay for their education outright.”

Stetski said interest relief is needed at the federal level because young Canadians are graduating with record educational debt in a time of stagnant wages and soaring housing costs.


 

@RevelstokeRevue
editor@revelstoketimesreview.com

Like us on Facebook and follow us on Twitter.

Just Posted

‘It takes a very strong individual’

Lynn Loeppky talks working at the Revelstoke Women’s Shelter

Tool and camping gear lending library to open in Revelstoke

Samantha Wex Special to the Review The North Columbia Environmental Society is… Continue reading

Two senior City of Revelstoke staff on paid leave

The City of Revelstoke’s Chief Administrative Officer, Allan Chabot and the city’s… Continue reading

Okanagan-Shuswap Weather: Most long-weekend rain has already fallen

A mix of sun and cloud is expected for the last two days of the the Victoria Day weekend.

Falkland ropes in final day of stampede

101st annual event went off without a hitch over May long weekend

Marriage proposal on the big screen at Enderby drive-in

Kelowna man gets engaged in front of hundreds to Vernon sweetheart

Take-home drug testing kits latest pilot to help curb B.C.’s overdose crisis

Researchers look to see if fentanyl testing could be a useful tool for those who use drugs alone

North Okanagan tattoo fundraiser draws record support

Lineup around the block for start and beginning of Five Fathoms Tattoo event for Children’s Hospital

Firefighters respond to bus fire on Highway 1

Smoke in coach bus reported to have been caused by overheating, driver and passengers safe

Caravan Farm Theatre holds outlaw themed fundraiser

Caravan Farm Theatre hosts its western outlaw themed fundraiser, Hands Up! June 1

Police watchdog investigating motorcycle crash in Kamloops

A Kamloops Mountie had stopped the driver for speeding, but they raced off from the 0fficer

North Okanagan crash claims a father

Family thanks emergency crews for assistance in traumatic incident

Most Read