Island post-secondary students receiving provincial student loans will now be served by one of 10 Island credit unions, under a new agreement signed for the Provincial Student Loan Program.
Education Minister Jeffrey E. Lantz said the Government of Prince Edward Island is pleased the province was able to negotiate an agreement with Island Credit Unions until July 31, 2006.
"We know that Island credit unions have a strong connection with Island communities, and we look forward to a successful partnership in delivering this service to Island students," said Minister Lantz.
Island credit unions have become the exclusive lender for the provincial student loan program.
Speaking on behalf of Credit Union Central of PEI, Chief Executive Officer Gerard Dougan said, "Credit Unions welcome this opportunity to partner with Government in the provision of lending services to students. We recognize and appreciate the challenges facing students in education funding, and this partnership allows credit unions to actively participate in meeting those challenges. The strong commitment to Island communities and the strong ‘people' orientation of credit unions will be of benefit to all students."
Minister Lantz said the agreement places Prince Edward Island in an enviable position in Atlantic Canada.
"We have been successful in negotiating a long-term contract with a long-standing, reputable lender," said Minister Lantz. "Some provinces do not have the stability we have been able to secure with this loan agreement. Our student financial assistance program is in good shape."
All students who receive PEI student loan certificates for the 2001-02 school year must negotiate their loans with one of the Island's 13 credit union locations. This new agreement, which became effective on August 1, 2001, is administered separately from the Canada Student Loans Program.