Students scrambling to repay $700 M in OSAP overpayments

April 4, 2016

Ontario has overpaid postsecondary students more than $700 M in financial aid over a five-year period, according to the Toronto Star. The two main reasons for this overpayment are allegedly the under-reporting of students’ or parents’ income, and early withdrawal from studies. Students forced to repay the overpayments have reportedly been “left scrambling,” as they cannot apply for future aid if they fail to reimburse OSAP for overpayments. Tanya Blazina of the Ministry of Training, Collleges and Universities notes that “the unrecoverable overpayments represent only about half of one per cent of OSAP’s annual funding.” Gabrielle Ross-Marquette of the Canadian Federation of Students-Ontario, however, says that this situation highlights a “systematic problem” in ON student aid. Toronto Star | The Record