OSAP Appeals

Bankruptcy Reviews

• Student did not receive student loans prior to the date filed for Bankruptcy
• Student received student loans prior to the date filed for Bankruptcy –Bankruptcies Filed Prior to May 11, 2004 - discharged
• Bankruptcies filed on or after May 11, 2004 – Undischarged
• Bankruptcies Filed On or After May 11, 2004-Discharged:  Student Not Currently Enrolled
• Bankruptcies Filed On or After May 11, 2004-Discharged:  Continuation of a Program

 

Student did not receive student loans prior to the date filed for Bankruptcy  

If the student is a discharged bankrupt, he or she does not need to provide any supporting documentation in order for their OSAP application to be processed. 

If the student is an undercharged bankrupt, the student’s OSAP application will not be processed until the student provides documentation from their trustee indicating the date the student filed for Bankruptcy and that the following two conditions have been or will be met:

• neither Ontario nor Canada is a creditor in the Bankruptcy as a result of financial assistance given to the student through OSAP; and  
• no financial assistance given to the student through OSAP during the 2011-2012 OSAP year will be seized to repay any creditor(s) listed in the Bankruptcy.

Documentation required:

• A letter from the student’s Trustee in Bankruptcy confirming the date the student filed for Bankruptcy, and that the student is in compliance with the two conditions stated above.

 

Bankruptcies Filed Prior to May 11, 2004 – Discharged 

If the student is a discharged bankrupt, the student’s OSAP application will not be processed until the student provides proof that he or she has no outstanding balance on any student loans; or if the student has been released from the obligation to repay  student loans by reason of a court-ordered absolute order of discharge which states that section 178(1)(g) of the BIA no longer applies to the student debt, the student must provide proof that the order of discharge was made and that three (3) calendar years have elapsed since the day the order was made.

Documentation required:

• A copy of the Notice of Bankruptcy;
• A letter from the student’s financial institution, the National Student Loans Service Centre, and/or the student’s collection agency confirming that there is no outstanding balance on any student loans issued to the student; and
• A copy of the court-ordered absolute order of discharge releasing the bankrupt from their student loan debt.

 

Bankruptcies Filed Prior to May 11, 2004 – Undischarged

If the student is an undischarged bankrupt, the student’s OSAP application will not be processed until:

• he or she provides proof that there is no outstanding balance on any of their student loans; or if the student has been released from the obligation to repay the student loans by reason of a court-ordered absolute order of discharge which states that section 178(1)(g) of the BIA no longer applies to the student debt, the student must provide proof that an order of discharge was made and that three (3) years have elapsed since the day the order was made; AND
• the student provides proof from their trustee confirming the date the student filed for Bankruptcy and that the following two conditions have been or will be met:
  • neither Ontario nor Canada is a creditor in the Bankruptcy as a result of financial assistance given to the student through OSAP; and
  • no financial assistance given to the student through OSAP during the current loan year will be seized to repay any creditor(s) listed in the Bankruptcy. 

Documentation required:

• A letter from the student’s financial institution, the National Student Loans Service Centre, and/or the student’s collection agency confirming that there is no outstanding balance on any student loans issued to the student.
• A letter from the student’s Trustee in Bankruptcy confirming the date the student filed for Bankruptcy, and that the conditions in “2” above are met.

 

Bankruptcies filed on or after May 11, 2004 – Undischarged

If the student is an undischarged bankrupt, the student’s OSAP application will not be processed until:

1.  He or she provides proof that there is no outstanding balance on any of their student loans; or if the student has been released from their obligation to repay their student loans by reason of a court-ordered absolute order of discharge which states that section 178(1)(g) of the BIA no longer applies to the student debt, the student must provide proof that an order of discharge was made and that three (3) years have elapsed since the day the order was made; or the student provides proof that he or she meets the following fourconditions:

• at the time the student filed for Bankruptcy, he or she was enrolled in an approved program of study at an approved institution and taking the minimum required course load; 
• the student continues to be enrolled in the same approved program of study in which he or she was enrolled at the time  of the Bankruptcy filing;
• the student has not had a break in studies of longer than six months since the date of Bankruptcy; and
• it has not been more than 3 years since the date of Bankruptcy.

AND

2. The student provides proof from his or her trustee indicating the date they filed for Bankruptcy and that the following two conditions have been or will be met:

• neither Ontario or Canada is a creditor in the Bankruptcy as a result of financial assistance given to the student through OSAP;  and
• no financial assistance given to the student through OSAP during the current academic year year will be seized to repay any creditor(s) listed in the Bankruptcy.

Documentation required:

• A copy of the court-ordered absolute order of discharge releasing the bankrupt from their student loan debt; 
• A letter from the student’s FAO confirming that the program of study in which the student was enrolled at the time the student filed for Bankruptcy is the same as the program of study that the student is applying for assistance to attend; and
• A letter from the student’s Trustee in Bankruptcy confirming the date the student filed for Bankruptcy, that neither Ontario nor Canada is a creditor in the Bankruptcy as a result of financial assistance given to the student through OSAP, and that none of the financial assistance issued to the student for the current academic year will be seized

 

Bankruptcies Filed On or After May 11, 2004 – Discharged: Student Not Currently Enrolled in Studies

If the student is a discharged bankrupt, his or her OSAP application will not be processed until the student provides proof that  there is no outstanding balance on any student loans; or if the student has been released from his or her obligation to repay their student loans by reason of a court-ordered absolute order of discharge which states that section 178(1)(g) of the BIA no longer applies to the student debt, the student must provide proof that an order of discharge was made and that three (3) years have elapsed since the day the order was made.

Documentation required:

• A copy of the Notice of Bankruptcy;
• A letter from the student’s financial institution, the National Student Loans Service Centre, and/or the student’s collection agency confirming that there is no outstanding balance on any student loans issued to the student; and
• A copy of the court-ordered absolute order of discharge releasing the bankrupt from student loan debt.

 

  Bankruptcies Filed On or After May 11, 2004 – Discharged: Continuation of a Program of Study

If the student is a discharged bankrupt, his or her OSAP application will not be processed until the student provides proof that they have no outstanding balance on any student loans; or if the student has been released from the obligation to repay student loans by reason of a court-ordered absolute order of discharge which states that section 178(1)(g) of the BIA no longer applies to the student debt, the student must provide proof that an order of discharge was made and that three (3) years have elapsed since the day the order was made.

In addition, the student must provide proof that the the following four conditions are met:

• at the time the student filed for Bankruptcy, he or she was enrolled in an approved program of study at an approved institution and taking the minimum required course load; 
• the student continues to be enrolled in the same approved program of study in which he or she was enrolled at the time that the student filed for Bankruptcy;
• the student has not had a break in studies of longer than six months since the date he or she filed for Bankruptcy (see details below); and
• it has not been more than three calendar years since the date the student filed for Bankruptcy.

Documentation required:

• A copy of the Notice of Bankruptcy;
• A letter from the student’s financial institution, the National Student Loans Service Centre, and/or the student’s collection agency confirming that there is no outstanding balance on any student loans issued to the student;
• A copy of the court-ordered absolute order of discharge releasing the bankrupt from student loan debt; and
• A letter from the student’s FAO confirming that the program of study in which the student was enrolled at the time of the student filed for Bankruptcy, is the same as the program of study the student is applying for assistance to attend. (see additional information below).