Ontario is extending its pause on student financial assistance payments at private post-secondary institutions until at least the new year as the government works to strengthen the Ontario Student Assistance Program (OSAP).
Colleges and Universities Minister Nolan Quinn said Tuesday that proposed changes include limits on OSAP-funded enrolment, excluding programs offered mainly online, and stronger student identity checks.
Quinn said a new verification system is expected to be introduced in the new year. OSAP payments will not resume until then. The government is also working to arrange student loans through banks.
The province ordered an audit of private career colleges in August. Earlier this month, Quinn referred concerns raised by preliminary findings to the Ontario Provincial Police. The government has also started in-person inspections at eight career colleges, following earlier OSAP suspensions at six institutions.
The decision has drawn criticism from schools and students who say the province’s broad approach is hurting people who have done nothing wrong.
Angele Proulx, a student at Trillium College in St. Catharines, said the delay could prevent students from graduating while still leaving them responsible for tuition costs.
Trillium College recently suspended academic operations because of the funding pause. The school is offering interest-free payment plans, but says many students cannot afford them without OSAP support.
The review follows data showing a sharp rise in OSAP use at some career colleges between 2020-21 and 2024-25. Court records also show that ministry officials reported suspected cases of third parties completing coursework for students, including entire courses in one day.
The government says the changes are needed to protect the program and taxpayers while restoring confidence in student financial aid.
