Student Loan Calculator
Loan Payment:
Student Loan Repayment Schedule
About This Student Loan Calculator
This is a free tool for students to help you calculate your monthly student loan payments and estimate how much interest you will pay on your student loan. When using this student loan calculator, you'll need to know the amount of your student loan, the interest rate, and the time it will take to pay off your loan. This student loan calculator can also help you understand how different repayment options will affect your monthly payment and the total amount of interest you will pay on your loan, such as grace periods and non-repayment periods that are typically offered.
To use this student loan calculator, start by entering the amount of your student loan. This is the amount that you owe at the end of your studies. Then, enter your loan type. Government loans, such as OSAP, will usually have an interest rate that is calculated based on the prime rate. We've entered what the current student loan interest rate would be based on today's prime rate for government loans. For private loans, such as student loans from a bank or credit union, you can enter your own custom interest rate.
The loan term is how long you will be paying your loan for. If you want to have your student loan to be fully paid off in five years, then enter five years to see the monthly student loan payment required to achieve this.
The non-repayment period is the number of months that you are not required to make payments after leaving school. For government loans, this grace period is usually six months. Private loans may have longer or shorter non-repayment periods.
Once you have entered these numbers, the student loan calculator will provide you with an estimated monthly payment amount and the total amount of interest you will pay over the life of your loan. For federal student loans, you'll also see your current student loan interest rate based on today's prime rate. You can then use this information to compare different repayment options and decide which option is best for you. For example, maybe you want to lower your monthly payments by stretching out your loan term.
Remember, the numbers shown in this calculator is only an estimate - your actual monthly student loan payment and total interest paid may be different depending on the terms of your loan and other factors. This might include additional fees or even interest-free periods. If you have trouble making payments, there are many student loan forgiveness options in Canada.
Student Loan Payment Formula
To calculate your student loan payments, you can use a student loan payment formula to manually calculate your payments. This formula is used to determine the monthly payment amount that is required to repay your student loan in full within a certain number of years. The student loan payment formula is:
Where:r = Monthly Interest Rate
n = Number of Payments
Most student loans have monthly payments. To find the monthly interest rate, you can divide your annual interest rate by 12. For example, if your variable student loan rate is 3.70%, then your monthly interest rate is 3.70% divided by 12. That gives a monthly rate of 0.31%.
The next number you will need to calculate is the number of payments that you will make. For monthly payments, you can multiply the number of years of your loan term by 12. For example, if you want to see what monthly payment amount is required in order to pay off your student loan in ten years, then the number of payments you would use is 10 years x 12, which is 120 payments.
Once you have determined your monthly interest rate and the number of payments you will be making, you can plug these values into the formula above to calculate your monthly payment amount!
Canada Student Loan Interest Rates
As of December 21, 2024, the current student loan interest rate for federal student loans is 5.45% for variable rate and 7.45% for fixed rate loans. This is for the federal portion of your government student loan. Your provincial student loan interest rate will depend on your province.
There is currently no interest charged on the federal portion of your Canada Student Loans until March 31, 2023. After this date, interest charges will resume. Your province may also still charge interest on the provincial portion of your student loan during this period.
Having collateral to secure your line of credit can considerably lower your interest rate. For example, the average secured personal line of credit rate in Canada for April 2022 was 3.11%, while unsecured personal lines of credit had an average rate of 6.57%, over double the rate! The graph below shows how average line of credit interest rates have changed in Canada over the past few years.
Check your National Student Loans Service Centre (NSLSC) account to view your federal and provincial portions, as well as your current student loan rate. The table below shows how student loan interest rates are calculated for government student loans in Canada.
| Federal/Provincial | Variable Rate | Fixed Rate |
|---|---|---|
| Alberta | 6.45% (Prime + 1%) | 7.45% (Prime + 2%) |
| Ontario | 6.45% (Prime + 1%) | Not Offered |
| Quebec | 5.95% (Prime + 0.50%) | 5.95% (Prime + 0.50%) |
| Saskatchewan | 5.45% (Prime) | 5.45% (Prime) |
| British Columbia | 0% | 0% |
| Manitoba | 0% | 0% |
| Nova Scotia | 0% | 0% |
| New Brunswick | 0% | 0% |
| Prince Edward Island | 0% | 0% |
| Newfoundland & Labrador | 0% | 0% |
| Canada | 5.45% (Prime) | 7.45% (Prime + 2%) |
Provinces with Interest-Free Student Loans
Did you know that six provinces in Canada offer interest-free student loans on the provincial portion of government student loans? These provinces are British Columbia, Manitoba, Nova Scotia, New Brunswick, Prince Edward Island, and Newfoundland & Labrador. One of the latest provinces to drop interest on provincial student loans was British Columbia, when interest on BC student loans were eliminated in February 2019.
If you are a student with loans from these provinces, you may still be charged interest on the federal portion of your student loans. This would be the Canada Student Loans portion of your integrated student loan. Private student loans, such as those from a bank, will also still have interest.
Other Student Loan Rates
There are other ways to borrow money for school, such as a student loan or a student line of credit from a bank. Students might decide to get private funding due to government loans not being enough, if they want revolving credit that they can freely use, and if they don't have enough savings in a registered education savings plan (RESP) to cover the cost of tuition and living expenses.
You can still get a student loan or a line of credit even if you receive OSAP funding or other government student loans. However, loans from banks often have a higher interest rate. You’ll also be required to make at least interest payments during your time in school. In comparison, government loans, such as OSAP, do not require you to make any payments while in school. If you decide to take out a student loan, make sure you understand the terms and conditions, including the repayment schedule.
RBC Royal Credit Line for Students Rates
Undergraduate and Graduate Students: Starting from 6.45% (Prime + 1%)
Professional Programs: Starting from 5.45% (Prime)
Medical and Dental Students: Starting from 5.20% (Prime - 0.25%)
TD Student Line of Credit Rates
Undergraduate Students: Starting from 6.45% (Prime + 1%)
Graduate Students: Starting from 5.95% (Prime + 0.5%)
Professional Programs*: Starting from 5.45% (Prime)
Medical, Dental, and Veterinary Students: Starting from 5.20% (Prime - 0.25%)
*Includes MBA, MFin, Optometry, Pharmacy, and Law students
CIBC Student Line of Credit Rates
Veterinary, Pharmacy, Law, Occupational Therapy, Physiotherapy, Accounting, Nursing, and Engineering Students: Starting from 6.45% (Prime + 1.0%)
Chiropractic Medicine and Business Students (MBA and EMBA): Starting from 5.45% (Prime)
Medical, Dental, and Optometry Students: Starting from 5.20% (Prime - 0.25%)
Conexus Credit Union Line of Credit Rates
Current Interest Rates as of December 21st, 2024
Student Line of Credit: Starting from 6.95% (Prime + 1.50%)
How long do I have to repay my student loans?
If you have federal student loans, you have up to 174 months, or 14.5 years, to repay them. If you have private student loans, the repayment terms will vary depending on the lender. However, even if your loan has a long repayment period, it's important to try to make student loan payments as soon as possible. You can easily make extra lump-sum payments or increase your monthly payment amount to pay off your student loan earlier.
While there is a 15% income tax credit for government student loan interest, you'll still want to avoid paying interest. The longer it takes you to repay your loan, the more interest you'll accrue, and the more money you'll ultimately have to pay back.
Disclaimer:
- Any analysis or commentary reflects the opinions of WOWA.ca analysts and should not be considered financial advice. Please consult a licensed professional before making any decisions.
- The calculators and content on this page are for general information only. WOWA does not guarantee the accuracy and is not responsible for any consequences of using the calculator.
- Financial institutions and brokerages may compensate us for connecting customers to them through payments for advertisements, clicks, and leads.
- Interest rates are sourced from financial institutions' websites or provided to us directly. Real estate data is sourced from the Canadian Real Estate Association (CREA) and regional boards' websites and documents.