New $500 deposit fee is too high for students

The new $500 deposit fee is too much to pay three months prior to the start of the school year

Photo by Remek Debski/The Sihouette

Photo by Remek Debski/The Sihouette

Starting in September 2015 semester, students who decide to register for full-time classes will have to pay a $500 deposit as part of their tuition fees.This will force students who can’t afford the deposit to reconsider going to college.Although this non-refundable fee is applied towards a student’s tuition fees, it’s too much to be paying upfront three months prior to the beginning of the semester.According to the College Student Alliance (CSA) report Mature Students in Ontario College, one of the primary reasons for nine per cent of mature students’ withdrawal from college is due to financial difficulties.

“Money—or lack there of—is a stressor in many students’ lives, but especially for mature students,” says the CSA. One reason being that the provincial financial assistance is not suited to the needs of mature students who may not be eligible for OSAP and cannot access the 30 per cent off Tuition Grant.

The CSA adds that, “college students from low-income families cannot afford a large payment for their tuition fees, especially without OSAP aid.”

Low-income and juggling family finances is a major source of stress in a student’s life and is a serious issue when considering college, and this $500 deposit fee is making the struggle harder.

To top it off, the college will charge a late penalty of $150 on top of an overdue tuition payment.

The government solved the problem of institutions charging students deferral fees who hadn’t received OSAP yet and couldn’t pay their tuition well in advance of the semester.

But now the government has created another problem by allowing them to charge a $500 deposit fee, which in many ways is an even bigger barrier than the previous system.
Share

New $500 deposit fee is too high for students