Student
      Loans:
      Back
      to
      School
     
    
   
   
    
     
      Blues
     
    
   
   
    
     
      By
      Bruce
      Davison
     
    

    
     
      For
      many
      UPEI
      students
      at
      Registration,
     
     
      concern
      about
      their
      student
      loans
      was
      a
     
     
      preoccupation.
      Despite
      a
      promise
      to
      the
     
     
      contrary
      in
      the
      last
      Federal
      Budget,
     
     
      students
      found
      that
      they
      were
      still
      being
     
     
      forced
      to
      pay
      3%
      of
      their
      loans
      in
      an
     
     
      “administrative
      fee."
     
    

    
     
      The
      Federal
      government’s
      promise
      to
     
     
      éliminate
      the
      3%
      tax
      on
      student
      loans
     
     
      came
      after
      widespread
      opposition
      to
      the
     
     
      tax
      from
      students,
      university
      and
      college
     
     
      faculty
      and
      administrators,
      and
      even
     
     
      banks.
      Many
      students
      felt
      that
      the
      3%
      tax
     
     
      was
      even
      more
      unacceptable
      in
      light
      of
      the
     
     
      fact
      that
      the
      weekly
      loan
      limits
      for
      student
     
     
      loans
      have
      not
      been
      increased
      since
      1984.
     
    
   
   
    
     
      More
      disturbing
      to
      some
      students
      were
     
     
      reforms
      to
      the
      Canada
      Student
      Loans
     
     
      Program
      being
      proposed
      by
      the
      Secretary
     
     
      of
      State.
      Included
      in
      this
      package
      of
     
     
      reforms
      are
      prcposals
      to
      finally
      increase
     
     
      _
      weekly
      loan
      limits
      and
      eliminate
      the
      3%.
     
     
      tax.
      Other
      changes
      proposed,
      however,
     
     
      would
      cost
      students
      money
      or
      even
      make
     
     
      student
      loans
      harder
      to
      qualify
      for.
     
    
   
   
    
     
      The
      most
      controversial
      reform
      would
      see
     
     
      the
      elimination
      of
      the
      six-month
      interest-
     
     
      free
      grace
      period
      that
      now
      follows
     
     
      graduation.
      According
      to
      this
      proposal,
     
     
      students
      would
      be
      required
      to
      begin
     
     
      paying
      interest
      immediately.
      Other
     
     
      changes
      to
      student
      loans
      would
      see
     
     
      academic
      standards
      become
      requirements
     
     
      for
      loan
      eligibility,
      government
      guarantees
     
     
      of
      student
      loans
      to
      banks
      lessen,
      and
     
     
      minimum
      course
      load
      for
      loan
      eligibility
     
     
      increase
      from
      three
      to
      four
      courses.
     
    
   
   
    
     
      The
      UPEI
      Student
      Union,
      working
      in
     
     
      conjunction
      with
      a
      national
      campaign
      on
     
     
      student
      loans
      from
      the
      Canadian
     
     
      Federation
      of
      Students,
      provided
      students
     
    
   
   
    
     
      at
      registration
      with
      means
      to
      let
      the
     
     
      Federal
      Government
      know
      how
      they
      felt
     
     
      about
      the
      3%
      tax
      and
      the
      government’s
     
     
      proposed
      reforms.
      About
      250
      students
     
     
      signed
      letters
      to
      the
      Federal
      Cabinet
     
     
      reminding
      the
      government
      of
      its
      promise
     
     
      to
      eliminate
      the
      3%
      tax
      or
      criticizing
      the
     
     
      proposed
      reforms’
      to
      the
      Canada
      Student
     
     
      Loans
      Program.
      Also,
      over
      400
      people
     
     
      received
      information
      about
      the
      proposed
     
     
      reforms.
     
    
   
   
    
     
      For
      many
      students
      at
      UPEI,
      the
      Canada
     
     
      Student
      Loans
      Program
      makes
      a
      university
     
     
      education
      possible.
      It
      has
      been
      estimated
     
     
      that
      40-50%
      of
      full-time
      UPEI
      students
     
     
      depend
      at
      least
      in
      part
      on
      the
      Canada
     
     
      Student
      Loans
      Program.
     
    
   
   
    
     
       
     
    
   
   
    
     
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      in
      downtown
     
     
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      -Sat.
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      YOUR
      EVENING
      AT
     
    

    
     
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