The Ministry verifies student income as reported on the OSAP application against income information provided to Canada Revenue Agency (CRA) by the student. If the Ministry determines a significant variance between these income amounts, then the student is notified in writing of the duration of the resulting restriction.
Reinstatement of eligibility after receipt of a student income verification restriction cannot occur until:
- The end of the period identified in the letter; and
- The day the student repays all interest and principal owing on the outstanding Ontario portion of any Canada-Ontario Integrated Student Loan (issued on or after August 1, 2001) and Ontario Student Loans (issued prior to August 1, 2001) if applicable.
Under usual circumstances, when a student makes a payment on his or her student loan, it is applied against outstanding Canada Student Loans and Ontario Student Loans according to standard rules. If a student wishes to direct a payment specifically toward outstanding Ontario Student Loans only for the purpose of addressing a significant income variance restriction, the Ministry must authorize the directed payment with the service provider. It is, therefore, the student’s responsibility to advise their FAA that the payment is to be applied to their provincial funding.
- Regular payments or payment under RAP that a student has been making over a period of time cannot be redirected after the fact toward Ontario Student Loans. The intent of this policy is to allow students to make lump sum payments toward their provincial loans for the purpose of addressing an income variance restriction.
Students who meet the reinstatement conditions above and who wish to be considered for further student financial assistance must contact:
Ministry of Training, Colleges & Universities
PO Box 4500, 189 Red River Road,
4th Floor Thunder Bay, ON P7B 6G9
Telephone: (807) 343-7260
Toll-free in North America: 1-877-OSAP-411 (1-877-672-7411)
Telephone Device for the Deaf (TDD/TTY): 1-800-465-3958
Fax: (807) 343-7278
Students must include supporting documentation to show their Ontario funding has been repaid in full (e.g. most recent statement of account from the agency holding the debt).
If all criteria for reinstatement are met and the student becomes eligible to receive OSAP funding during a study period, the student will only be assessed from the date the restriction was lifted to the study period end date.
A student who has received a restriction will not be eligible for OSOG on any principal on student loans outstanding at the time the restriction was determined.
Any time there is a change in a student's OSAP account it can result in a reassessment of their funding. For example:
- reducing your course load
- opting out of student activity fees
- receiving more award funding
- earning more at a part-time job than you originally reported on your application
Any of these situations could result in a reduction in your OSAP entitlement. If after these changes are made a student is no longer entitled to all the OSAP funding they received they will have an OSAP overpayment. In other words, an overpayment occurs when a student has received more OSAP than they were entitled to receive.
It is a student's responsibility to contact the Financial Assistance Office when they have made changes in their course load, income or student status that may impact on their OSAP entitlement. Please review the Review and Appeals section for further instructions.
The Ministry of Training, Colleges & Universities will notify a student each time that their OSAP account is reassessed. It is then the student's responsibility to log onto their OSAP account to review their entitlement. In some cases, an overpayment will impact a student's eligibility for further financial assistance through OSAP. In these situations, the Ministry will send additional information to the student.