What os the statute of limitations for a canadian student loan which is both provincial and federal? If it is a certain time frame how does it affect my credit history afterwards?

Thanks

Lowtax4eva

Student loans do not fall off your credit, even if you declare bankruptcy (though there is some bankruptcy provision where it can be part of the bankruptcy) basically you have to pay it.

But apart from this a bad debt never goes away, if you dont pay it, i think it goes to a collection agent, though im not exactly sure as it's a federal loan. Have you missed payments, is it on collection?

turtles1111

My canada student loan (federal and provincial) has gone to several collection agencies, I want to know if there is a statute of limitations on it and if there is how long will it remain on my credit history?

Lowtax4eva

Okay, that makes it clearer, well if it's already on collection basically it will never just "drop off your credit" you spent the money and will always owe it. Any collection agency can purchase the file and try to collect when the one that has it right now gives up.

What your thinking of is the statute of limitations, after 6 years (in most provinces) the statute expires and the collection agency can no longer sue you. The 6 years is calculated from the date of your last payment. Again, at this point they cant sue you but they can still call and send letters and generally annoy you till they give up.

You can try going to a debt consolidation company or try to settle, offer the collection agency a percentage of the total to close the file, try offering 50% and see what they say.

Student Loan Debt Consolidation and Other Options when Dealing with Student Loan Debts