Responsibilities of receiving OSAP loans and consequences of defaulting on repayments

Upon receiving any OSAP loan aid, you assume the following responsibilities:
  • To read and follow all the terms and conditions in the Master Student Financial Assistance Agreement (MSFAA) form.
  • Agree to use this loan aid first to pay your academic fees to York University, then to cover other educational and living expenses related to your studies.
  • To make appropriate repayment arrangements with your lender when you cease full-time studies.
  • To promptly notify York University Student Financial Services if you:
    • reduce your course load
    • change your program of study
    • fail to progress academically
    • withdraw from your studies
    • experience a change in marital status
    • experience a change in your personal or familial financial situation
The Ontario and federal governments take these responsibilities very seriously, and so should you. If you fail to meet loan obligations the possible consequences include:
  • Reassessment and reduction of your OSAP entitlement
  • Refusal of future student loan assistance
  • Poor credit rating
  • Additional interest charges
  • Collection proceedings
  • Legal action
  • Loss of income tax refunds