Loan Repayment & Forgiveness

Loan Repayment & Forgiveness

When do you begin repaying or remising your student loan?

Once you cease full-time studies for a period of six months or longer, you are required to contact the Student Financial Assistance (SFA) office to make arrangements for the repayments or remission of your student loan. During your six-month interest-free period, the Government of the Northwest Territories will not charge interest on your outstanding loan(s). The six-month interest-free period gives you an opportunity to a get a job, plan your budget, and make plans to prepare for loan repayments. After the six-month interest-free period expires; interest will commence and you will be required to commence monthly payments.

SFA is not responsible for any outstanding interest or principal charges that may incur. Any payments made during the interest–free period are applied directly to the principal of your loan.

Ceasing full-time studies means you:

  • Have competed your program of study;
  • Are no longer enrolled in full-time post-secondary studies;
  • Are enrolled in part-time post-secondary studies or upgrading;
  • Withdrew, or are withdrawing from post-secondary studies;
  • Are taking a semester off, or
  • Dropped some classes and are no longer considered a full-time student according to SFA.

Loan Repayment Incentives

The SFA program offers loan repayment incentives to encourage northern students to return and reside in the Northwest Territories (NWT) and to help alleviate the burden of student debt. Students that have received a student loan under the NWT Student Financial Assistance Act and Regulations may apply for loan remission, zero percent interest, and/or the Northern Bonus.


For more information about your student loans and loan repayment, please contact the SFA office via email at or toll-free at 1-800-661-0793.