Student loan or RRSP

Usually, it makes good sense to pay off your loans as fast as you can. But if you have a student loan, it might be a smarter choice to build your RRSP. Before you decide, consider the features of your student loan.

First, the interest rates on student loans are often relatively low compared with consumer loans. What’s more, for Canada Student Loans, the interest you pay qualifies for a federal tax credit of 15% and a provincial tax credit of 5.06%. That lowers your borrowing cost even further.

To speak with one of our investment experts to help you decide what’s best for you contact us at 604-877-7000, visit your local branch or in your neighborhood.