Students

CIBC Student Line of Credit

  • Last Updated:
  • Feb 27th, 2018 11:19 pm
[OP]
Newbie
Dec 16, 2017
6 posts

CIBC Student Line of Credit

I'm a third year university student at an Ontario university. I live away from home to study at this university.

Financial troubles with my parents, so I am going to apply for a CIBC student line of credit, that I may use for the remainder of my third year and possibly fourth year.

Has anybody had any experience applying for CIBC's student line of credit? I bank with CIBC currently, I have 2 CIBC credit cards, and my credit score is around 710.

Should I apply for the CIBC student line of credit now, or wait until the summer 2018 to apply once I've started working? Would it make a difference?
10 replies
Deal Addict
Oct 6, 2015
1300 posts
684 upvotes
Granted this was a long time ago, but when I was going through, you pretty much needed a co-signer for such.

Have you tried the OSAP route?
Deal Addict
May 3, 2008
4420 posts
241 upvotes
Every bank has these not just CIBC. If it's for university or some local program then it's not an issue, if you're going abroad and/or need a big loan then you do need a co-signer most likely. Also keep in mind that it does not work like OSAP, you generally have to pay interest on it while you're in school although the interest rate is low and the amount you pay depends on how much you borrow. I haven't done it myself I'm just aware of them but the process is not long from what I know.
Jr. Member
Sep 2, 2015
105 posts
19 upvotes
East York, ON
you need a co-signer even if it's just for local school unless you have a job
Jr. Member
Jul 11, 2017
107 posts
60 upvotes
LeoSteel wrote:
Jan 26th, 2018 10:50 pm
I'm a third year university student at an Ontario university. I live away from home to study at this university.

Financial troubles with my parents, so I am going to apply for a CIBC student line of credit, that I may use for the remainder of my third year and possibly fourth year.

Has anybody had any experience applying for CIBC's student line of credit? I bank with CIBC currently, I have 2 CIBC credit cards, and my credit score is around 710.

Should I apply for the CIBC student line of credit now, or wait until the summer 2018 to apply once I've started working? Would it make a difference?
I have applied for the CIBC Student Line of Credit (Or Educational Line of Credit as they call it). Your credit score is fine, since you're a student, it does matter somewhat, but you are able to get up to $60,000 at $15,000/year. I personally only have a Line for $10,000, but it is there if I really need it and have used it to pay for school related expenses. It is interest only payments while in study and until twelve months after graduation.

The one advantage the CIBC ELOC had over every other bank I checked with is that it is a Guarantor, not a Co-Signer. So the Line is more in your own name than your parents. A guarantor is someone who is secondarily responsible for the Line if you can not pay it while a Co-signer is equally responsible for it. That's why I preferred it over the other banks.

Currently, the interest rate is 4.45% (Prime + 1%), while other banks might charge more (Meridian CU - LOC Prime [3.95%] + 1% = 4.95%) or less (I believe Scotiabank was Prime + 0.5% = 3.95% or so).

One last thing that is nice too is that I heard when I applied that once you are past the twelve month grace period, you have a choice to either turn it into a Loan or keep it as a Line of Credit (just not Educational anymore). Personally, I'll turn mine into a regular Line after the twelve months.

Finally, it doesn't really make a difference when you apply since the ELOC is solely based on the fact that you're a student, income doesn't really help or hinder you from my experience.
Newbie
Aug 7, 2015
43 posts
7 upvotes
East York, ON
Do you have to be with CIBC to get the student line of credit? I'm currently with TD and I do see myself applying for it in a few months from now.
Newbie
Jan 30, 2016
81 posts
16 upvotes
Westmount, QC
I'm pretty sure that whether it says co-signor or guarantor, the bank will just knock at the door of the one with money to pay in case of problems. Both debtors remain accountable for 100% of the debt solidarly.
Newbie
Sep 15, 2017
48 posts
5 upvotes
Saskatoon
Found RBC to be the easiest to apply for but over the phone. In person at the local branch they didn't seem to want my business and wanted a co-signer and just seemed to want to dissuade me from putting in the application and making them work.

I applied over the phone directly with their credit department and they gave me close to what I needed without a co-signer. My next appointment next week is to drop off and sign forms with the dingbat I went to before, I asked for him just for fun.

Scotiabank was the biggest run around in the history of dealing with banks and only offered me half of what RBC did.
Jr. Member
Jul 11, 2017
107 posts
60 upvotes
surflife6 wrote:
Feb 6th, 2018 9:13 am
Do you have to be with CIBC to get the student line of credit? I'm currently with TD and I do see myself applying for it in a few months from now.
No, you don't need to be a customer of CIBC. The only thing that streamlined when I applied was for connecting it to a chequing account (Can be any) to make payments from if you choose the auto pay feature, I had (at the time) a PC Financial account, so it was a bit easier in their system since PCF was a subsidy/owned (Can never remember what they were) it was easier to connect the account. Personally, I don't use the autopay feature, I go into the branch every month with a cheque from my chequing account to pay (yes, very old fashioned)
Newbie
Feb 25, 2018
18 posts
7 upvotes
What program are you in? I know that RBC will give dental students and medicine students $275k with no cosigner. And Scotia will bump that up to $325k if you are in a specialist program. And I believe it is prime, with interest only payments while you are enrolled.
Newbie
Jan 30, 2016
81 posts
16 upvotes
Westmount, QC
I believe that a few banks even offer no payments while studying. I just got accepted in law, so I should be able to get 100k/3 years, but I guess OP doesn't qualify for the professional loans.

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