Rehabilitation after default

If you missed payments on your B.C. student loans, it means that you are in default.

You will need to ask for rehabilitation before you can apply for more funding, interest-free status* or apply for the Repayment Assistance Plan* from StudentAid BC. If approved for rehabilitation, your loans will go back into good standing (not restricted, not in default/delinquent/bankruptcy, no provincial or federal overaward restrictions).

Am I eligible for rehabilitation?

If you defaulted on guaranteed or direct lend B.C. student loans, you must:

  • Repay the outstanding debt (principal plus accrued interest) and all associated fees in full

OR meet all the following requirements:

  • Make the equivalent of two monthly payments to Revenue Services of British Columbia;
  • Repay RSBC all outstanding interest, NSF charges and other fees associated with the defaulted B.C. student loan from the date of default;
  • Submit a completed rehabilitation application form to StudentAid BC; and
  • Ensure that RSBC repayment requirements are up to date until the rehabilitation request is approved by StudentAid BC.
*NOTE: Borrowers who rehabilitate their B.C. student loan may be eligible for the B.C. Repayment Assistance Plan. However, to be eligible for any other StudentAid BC or Canada Student Loans Program financial assistance, borrowers must have both their provincial and federal loans in good standing (not in default, delinquent status or bankruptcy, and no provincial or federal overaward restrictions).

If your B.C. student loan has been written off or extinguished as a bad debt, you must submit a rehabilitation after default application to StudentAid BC to be eligible for more financial assistance.

To make arrangements to repay a guaranteed or direct lend B.C. student loan in default, contact:

Revenue Services of British Columbia
PO Box 9483
Victoria, BC V8W 9W6
P: 1-866-345-3930
Website

If you have defaulted on risk-sharing B.C. student loans, please view the information on missing loan payments.


How do I apply for rehabilitation after default?

Instructions

  1. 1 Make the equivalent of two monthly payments to Revenue Services of British Columbia, and repay RSBC all outstanding interest, NSF charges and other fees associated with the defaulted B.C. student loan from the date of default.
  2. 2 Complete the application form.
  3. 3 Submit your application to StudentAid BC via your StudentAid BC dashboard account. If you do not have a dashboard register prior to submitting your application.

You can check your application status from your dashboard. StudentAid BC will process your application within six weeks and notify you of the outcome on your dashboard account.

Download Form

Rehabilitation after default application and instructions

PDF - 113.24 KB