SPSP Line of Credit

What is a line of credit?
A line of credit allows you to access a pre-determined amount of funds on a revolving basis. This means you can borrow some or all of the funds up to your total authorized credit limit, pay some or all of it back and then borrow up to that credit limit again. For example, if you have a line of credit with a credit limit of $200,000 and borrow $50,000 from it – you still have $150,000 on the line of credit that you can access at another time. If you pay off the $50,000, you can once again can have access to the full $200,000 credit limit..

What is the difference between a regular student line of credit and Scotia Professional Student Plan (“SPSP”) Line of Credit?
A regular student line of credit is available to full-time and part-time students studying at recognized colleges and universities. Interest only payments are required monthly throughout length of their programs and for 12 months after graduation. A SPSP line of credit is available to students pursuing a professional designation in qualifying professional study programs. For some SPSP programs, students can access their maximum credit limit immediately. While in school, interest payments are deferred provided it is within the total authorized limit. 

Is a Scotia Professional Student Plan (SPSP) Line of Credit a good idea?
A SPSP line of credit can help you pay for things like books, tuition, and everyday expenses while you are pursuing your studies. It allows you to borrow only as much as you need, unlike student loans where you have a pre-set amount of funds at the start of your studies. These types of lines of credit offer flexibility of only using what you need. It can also help with emergencies instead of using a credit card — which usually carries a much higher interest rate. It can also help you build your credit history so long as you ensure you make any required payments on time.

Can you get a Scotia Professional Student Plan line of credit and OSAP?
Yes, you can apply for and receive both. If you have significant amounts of OSAP loans, it could affect the credit limit of your line of credit.

What is the minimum credit score for a Scotia Professional Student Plan Line of Credit?
There is no minimum credit score.  Your Advisor will review your individual situation and credit history. In some cases, you will require a co-signor.

Are there monthly or annual fees on the Scotia Professional Student Plan line of credit?
No, the Scotia Professional Student Plan line of credit currently has no monthly or annual fees. Other financial institutions and credit unions may charge monthly maintenance fees. Check your agreement for your line of credit carefully before signing up.

Can I get creditor protection insurance on my Scotia Professional Student Plan line of credit?
Yes, the optional Scotia Line of Credit Protection insurance is available for Scotia Professional Student Plan Line of Credit.  Note: some of the coverage benefits require employment eligibility (e.g. Disability and Job Loss) at time of application. To learn more, visit scotiabank.com/lineofcreditprotection

How much can I borrow under a Scotia Professional Student Plan line of credit?
The amount that each borrower will be approved for varies depending on their program. Through the application process, you will find out what your maximum credit limit will be.

How do I access my Scotia Professional Student line of credit?
Accessing your line of credit can be done through  your online banking at Scotiabank via ScotiaOnline or your Mobile Banking app. Funds can be transferred from your line of credit to your chequing account. 

How does repayment of the Scotia Professional Student Plan line of credit work?
Once you graduate, depending on the program, you have a 12-month or 24-month grace period where you're not required to make payments, but interest will continue to accrue on the amount you have borrowed.

You can start repaying your line of credit at anytime. After the 12-month or 24-month grace period depending on your program, any outstanding amount owing on your line of credit will be converted to a term loan and follow a monthly repayment schedule.

What are the interest rates on your Scotia Professional Student Plan lines of credit?
Your variable annual interest rate will depend on your program and it is tied to Scotiabank’s Prime Rate (which is subject to change) plus an adjustment factor that we assign to you. The total of Scotiabank’s Prime Rate + your adjustment factor equals your variable annual interest rate.

Can I get a student line of credit without a co-signor?
A co-signor (or sometimes called a co-borrower) depends on your personal financial situation including credit score and other factors. We may require a co-signor (or co-borrower) for your application.

What do I do if I don't have a co-signor/co-borrower for a student line of credit?
We encourage you to apply to see if you qualify without one. Your advisor will work with you to determine your needs and offer any available alternative options if needed. 

What can I use my Scotia Professional Student Plan line of credit for?
You can use your Scotia Professional Student Plan line of credit for everything you need from tuition to everyday living expenses like rent or groceries. Use your credit wisely, as you will eventually have to pay it back. 

Why is the Scotia Professional Student Plan line of credit only available for certain programs?
The Scotia Professional Student Plan line of credit is designed for students in select specialty programs who require funding to complete their studies beyond an undergraduate degree. Speak with a specialist to see if your program qualifies.

Who is eligible for a Scotia Professional Student Plan line of credit?
To be eligible, you will need to provide proof of acceptance and enrollment for any one of the qualifying programs in Canada. Also, you must be a Canadian citizen or permanent resident of Canada.

How do I apply?
To apply, find your local Scotia Professional Student Plan representative related to your program and contact them for more details.

How soon will I find out if I am approved?
Once we receive your application and all relevant documents are submitted, the application is reviewed by our team and a decision is typically made within 5 business days. 

Is there a deadline to apply?
No. We accept applications at any time. We recommend applying early to ensure you have the funds you need to pursue your studies.