Updated April 2026 · 9-minute read · Peak HealthCare Private College
On February 12, 2026, Ontario made the most significant changes to student financial aid in over a decade*. This guide gives you everything you need to know: what changed, who gets hit hardest, how much more debt you’ll carry, and what you can do about it
What changed with OSAP in 2026?
The Ontario Student Assistance Program (OSAP) provides financial aid to eligible Ontario students. That aid comes in two forms: grants (money you don’t repay) and loans (money you do repay, with interest after graduation).
Before February 12, 2026, eligible students could receive up to 85% of their OSAP package as non-repayable grants. Starting Fall 2026, that drops to a maximum of 25%. The rest, at least 75%, must come as repayable loans. At the same time, a seven-year freeze on tuition at Ontario’s publicly-assisted colleges and universities was lifted. Institutions can now raise tuition by up to 2% per year.
The Number That Matters: How Much More Debt?
Before 2026, a student receiving a $10,000 OSAP package might receive:
- Non-repayable grant of up to $8,500
- $1,500 repayable loan
Going forward, a student receiving a $10,000 OSAP package will receive:
- Non-repayable grants to a maximum of $2,500
- $7,500 repayable loan
That’s an extra $6,000 in repayable loans for the same $10,000 program.
Who is Most Affected?
Private career college students are the hardest hit.
Students attending private career colleges in Ontario receive zero OSAP grants starting in the 2026–2027 year. All provincial student aid is now delivered entirely as loans. This is the direct consequence of a decision made by both the federal and provincial governments to eliminate grant eligibility for private college students.
Middle-income students.
The OSAP grant was specifically designed to help students whose families earn too much to qualify for social assistance, but not enough to comfortably fund postsecondary education. This group, often earning $40,000 to $80,000 annually, was the backbone of the old grant system. They now face substantially higher loan burdens.
Returning adult students.
Older students, students with families, and part-time students are disproportionately affected, since OSAP changes impact anyone entering the 2026–2027 year regardless of age or enrollment history.
What Is the Government Saying?
Ontario Minister Nolan Quinn defended the changes on the grounds that the old OSAP grant structure had become “unsustainable” as program demand grew rapidly, particularly as federal policy began restricting grants for private college students, leaving a growing gap in the program’s budget.
Premier Doug Ford framed the change as bringing Ontario “in the middle of the path” among other Canadian provinces, noting that Ontario’s previous grant-heavy structure was more generous than most other provinces.
Critics, including student groups, faculty associations, the Ontario NDP and Green Party, and education researchers at U of T, have called the changes regressive, arguing they place the burden of institutional underfunding disproportionately on students from low and middle-income backgrounds.
Is there any Good News?
A few things have not changed, and are worth knowing:
- OSAP loan interest while in school: You still don’t pay interest on OSAP loans while you’re studying full-time. Interest starts six months after you stop being a full-time student.
- Federal grants: The federal government’s portion of OSAP has not been cut in the same way. Depending on your application, you may still receive some federal grant support. The 2026–2027 OSAP application (releasing Spring 2026) will clarify exactly how much you can expect.
- The Enhanced Student Access Guarantee (SAG): The province committed to working with institutions to strengthen this need-based program, which helps low-income students cover tuition, books, and mandatory fees when OSAP falls short. Details are still being negotiated, contact your institution’s financial aid office in Spring 2026.
- Repayment Assistance Plan (RAP): If you graduate with loans and struggle to make payments, Ontario’s RAP program provides relief. This hasn’t changed.
Will the OSAP Changes Be Reversed?
Hundreds of students protested at Queen’s Park on March 4, 2026, chanting “Hands Off Our Education.” Opposition parties have vowed to bring the issue to a vote when the legislature resumes. But as of March 2026, the Ford government has shown no indication of reversing course. Planning your finances around the new rules is the most prudent approach. Don’t wait for a political reversal that may not come before Fall enrollment.
What Should You Do Right Now?
Wait for the 2026–2027 OSAP application</strong> (expected Spring 2026): exact numbers aren’t available until then.
Explore alternatives to OSAP: scholarships, bursaries, Better Jobs Ontario, employer-sponsored training, and lower-cost program options.
Consider program length: A 6–12 month career program dramatically reduces total borrowing compared to a multi-year degree.
Talk to your College’s representative: many schools have emergency bursaries, scholarships, and SAG funding that students don’t know about.
For a complete picture of your funding options, read our guide: How to Pay for College in Ontario Without Going into Debt.
If you’re considering a healthcare career and want to understand how our programs work and what they cost, please contact us online.
Related:
OSAP Changes 2026 Resource Hub