This is something I have been pondering for a while. I am currently in my second year at University and my program comes with mandatory Co-op throughout the 4 years of study. I have completed 3 Co-op terms already and those have covered my expenses and tuition for each term at the university. I understand that not every Co-op will provide enough compensation every time but my parents are ready to support me where and when needed.
OSAP is a government program which funds students doing their post-secondary education in Ontario, more here. The loans are interests free until the student has completed his education. Then the interest rate is as follows:
On the provincial part of your OSAP loan, the rate is the prime rate of interest plus 1%. On the federal portion interest rate can be the prime rate of interest plus 2.5%.
So my question is, should I apply for OSAP and receive their funding and save what I earn from Co-op? Or is it better to not receive any OSAP funding?