Will OSAP reduce loan and grants/bursary if told I have RESP?

[DougaMon]

WIll OSAP reduce the loan and mainly the grant/bursary they were to give me if I told them I have a RESP compared to if I didn't tell them?

--And if they do reduce the grants/bursary and the loan, would they catch me if I were to not tell them that I have a RESP in my application?

I hope someone can answer this! Thank you :)

[grant_]

Yes, you'll probably get more money if you commit fraud by indicating that you don't have an RESP. Of course they'll then probably go after you...

[CSK'sMom]

Yes and yes. The RESP is tied to you and traceable through SIN and banking info... Not claiming RESP funds that you withdrew is fraud and they do prosecute when they see fit....

[forbiddenkingdom]

YES, never lie to OSAP. They have chased me on simple things even when I made a statement that in the next 4 months I will be making less than 5000 and ended up making a lot more because I got a full time job. Thank God, they did not put me on probation, but they will catch your lie because everything is in your SIN card. In addition, go to your service canada account (or make one), you can track your employment history from there too.

[Heero01]

Yes unfortunately.

Well now you learned your lesson. You should be like everyone else and not plan for your future so that you get more money. VERY broken system.

I have an RESP - go to school full time. Pay my own tuition, car, rent. Parents contribute zero. I do not get osap either because of family income. Luckily I just barely get tuition rebate.

System is extremely broken. It punishes you for planning ahead and saving for education while it rewards the poor with interest free money. Its crazy how so many of my friends are not doing any work, living off OSAP and then plan to not pay loan after.

[desitarzan]

I think OSAP application is only asking that, whether you will use your RESP this year, if you say no than I believe your grants/loans will not be reduced. You can use RESP in later years of your studies

[istvan52]

The question in the app is how much will you use, not how much you have
If you do not gave any other income during the school year you can take about $2500 a year with no impact on OSAP. If your parents make a lot of maney you might be able to take more....
Go read my post on the OSAP thread that explains withdrawals. If your RESP is larger than 15 k you should really take the time and study the beast.. you might loose some $$$


On the positive side the RESP withdrawals a only affect the loan portion not the grants (except the Canada Access Grant that has a condition that you have to have an assessed need of at least $1 )

[hellium]

I just checked my papers for 2011-2012 & my resp amount reported is 1k less than withdrawn. Should I be taking this up with the school's osap office or NSLSC/osap?

[Orela68]

I think OSAP application is only asking that, whether you will use your RESP this year, if you say no than I believe your grants/loans will not be reduced. You can use RESP in later years of your studies

Does this apply for savings accounts as well? Is this tied into my SIN, or just RESP, etc...? I have put any extra earnings made over the summer into a savings account. I have declared all summer earnings at the time of application. However; in previous years I have been able to exit the year with a balance still in my account (left over from my loan). All of this money is a portion of my debt repayment so I do not consider it to be disposable income. I will be paying this portion back as soon as my program ends.

Is there somewhere that I need to declare this on my application? I will be entering my last year of study this year, and I do not want to run into any complications.

[CSK'sMom]

I just checked my papers for 2011-2012 & my resp amount reported is 1k less than withdrawn. Should I be taking this up with the school's osap office or NSLSC/osap?

Yes you should be correcting it with your schools finaid office. If they catch it during routine income verification there will be penalties as they see fit.

[CSK'sMom]

Does this apply for savings accounts as well? Is this tied into my SIN, or just RESP, etc...? I have put any extra earnings made over the summer into a savings account. I have declared all summer earnings at the time of application. However; in previous years I have been able to exit the year with a balance still in my account (left over from my loan). All of this money is a portion of my debt repayment so I do not consider it to be disposable income. I will be paying this portion back as soon as my program ends.

Is there somewhere that I need to declare this on my application? I will be entering my last year of study this year, and I do not want to run into any complications.

Leftover OSAP amounts don't get claimed as assets. The problem comes when one only uses 1 bank account. If they audit your app, it will be up to you to prove that it's leftover OSAP funds. I always tell kids to use 2 accounts. One for OSAP only, to keep the funds separate in case of audit. All bank accounts you have are tied to your SIN. ;)

[Toukolou]

Yes unfortunately.

Well now you learned your lesson. You should be like everyone else and not plan for your future so that you get more money. VERY broken system.

I have an RESP - go to school full time. Pay my own tuition, car, rent. Parents contribute zero. I do not get osap either because of family income. Luckily I just barely get tuition rebate.

System is extremely broken. It punishes you for planning ahead and saving for education while it rewards the poor with interest free money. Its crazy how so many of my friends are not doing any work, living off OSAP and then plan to not pay loan after.

This is not something to lament. Believe it or not, you are learning valuable lessons and skills which will go a long way to establishing the ethic and good sense to plan successfully for the future needs of you and your family.

This sounds cliche, but it's true.

As for your deadbeat friends, there is nothing honourable or redeeming about their actions. Nothing to envy.

[dte227]

heads up OP, depending on what year you're in (first and second qualify).. you may qualify for Ontario student access grant (about 3k i believe). Of course this depends on your parents income. And don't quote me on anything.. do your own research.

[desitarzan]

I was wondering where you can show your RESP amount. I have noticed its only two places it ask about your RESP

1. You will withdraw your RESP (a) Yes (b) No , say if you select No

2. What is your RESP income this year. If you have select No in 1 than there is no income, than I believe you have to write zero

Any other place that I am missing

[BryceS]

Leftover OSAP amounts don't get claimed as assets. The problem comes when one only uses 1 bank account. If they audit your app, it will be up to you to prove that it's leftover OSAP funds. I always tell kids to use 2 accounts. One for OSAP only, to keep the funds separate in case of audit. All bank accounts you have are tied to your SIN. ;)
Only interest bearing accounts are tied to a SIN.

[Kasakato]

I was wondering where you can show your RESP amount. I have noticed its only two places it ask about your RESP

1. You will withdraw your RESP (a) Yes (b) No , say if you select No

2. What is your RESP income this year. If you have select No in 1 than there is no income, than I believe you have to write zero

Any other place that I am missing

Your income within the specified time periods must include RESP.

[desitarzan]

Your income within the specified time periods must include RESP.

I checked with financial Aid Office they said if I am not using RESP this year than I do not need to show RESP income.

The 2nd point I do not understand why some one will show 15 k RESP as income when may be 10 to 12 k is parent contribution on which they already paid taxes on as RESP contribution are after tax dollars. therefore, in real term your growth and Govt contribution is income.

[thelefteyeguy]

Yes unfortunately.

Well now you learned your lesson. You should be like everyone else and not plan for your future so that you get more money. VERY broken system.

I have an RESP - go to school full time. Pay my own tuition, car, rent. Parents contribute zero. I do not get osap either because of family income. Luckily I just barely get tuition rebate.

System is extremely broken. It punishes you for planning ahead and saving for education while it rewards the poor with interest free money. Its crazy how so many of my friends are not doing any work, living off OSAP and then plan to not pay loan after.

So you contributed to the RESP?