Why your grant could become a loan

Normally, grants through OSAP are money you don’t need to pay back.

However, the government may convert all or part of your OSAP grants to a loan if:

• you withdraw from studies within the first 30 days of starting school and don’t return as a full-time student within 5 months in the same academic year
• at the end of the study period, as a result of an OSAP reassessment, you’re not entitled to all or part of the grant that you received (e.g., dropped courses)
• the income reported on your application can’t be verified within one year from the start of your studies (Ontario Student Grant only)

If your grant is converted to a loan, it’s:

• added to your loan balance
• included in the monthly loan payment you’ll make once you’re done school