Student Loans And RRSP Changes Now In Force

The following changes are now in force as of July 7, 2008:  Student loans will now be forgiven in a bankruptcy or proposal if the individual ended their studies more than 7 years before the date of bankruptcy.  This is a reduction from the previous 10 year rule.  RRSPs, with some restrictions, will be protected from creditors in a bankruptcy or proposal.  The restrictions are that, in some provinces, contributions made in the previous 12 months will not be protected. Stay tuned - further details will be provided as more information becomes available.