Bill S-201 explained in plain English
An Act to amend the Bankruptcy and Insolvency Act (student loans)
Federal Parliament bill summary, status, timeline, sponsor, votes, and official sources.
At a glance
Official Parliament of Canada snapshot for 40th Parliament, 1st Session. MP vote breakdowns appear when the House of Commons publishes a recorded division export for that bill. Senate and House stage details include official debate/sitting links when LEGISinfo publishes them.
Our plain-language take, written for civic education.
Source: By PoliticalData.ca
This bill proposes to amend the Bankruptcy and Insolvency Act to restrict the discharge of student loan debt within five years of ceasing to be a student and to allow bankrupts to apply for court-ordered relief from such debts under certain conditions.
Bill S-201 proposes changes to the Bankruptcy and Insolvency Act. Currently, a bankruptcy discharge releases a person from most debts. This bill aims to prevent a discharge from releasing a bankrupt from student loan debt if the bankruptcy occurred within five years of the person ceasing to be a student. It also allows bankrupts with student loan debt to apply to the court for an order to be released from some or all of that debt, or to set terms for repayment, if they can show they have acted in good faith and will continue to face financial hardship.
- Amends the Bankruptcy and Insolvency Act to change the conditions under which a bankrupt is released from student loan debt.
- Specifies that a discharge from bankruptcy will not release a bankrupt from student loan debt if the bankruptcy occurred within five years after the bankrupt stopped being a student.
- Allows a bankrupt with student loan debt to apply to the court at any time for an order to be released from all or part of the student loan debt.
- Allows a bankrupt with student loan debt to apply to the court for an order that sets terms for the repayment of the debt or any remaining portion of it.
- Requires the court to consider factors such as the bankrupt's good faith, financial difficulty, future earning capacity, and other obligations when deciding on an application for relief from student loan debt.
- Individuals who declare bankruptcy and have outstanding student loan debt.
- Courts, which will process applications from bankrupt individuals seeking relief from student loan debt.
- The federal government, through its administration of the Canada Student Loans Act and the Canada Student Financial Assistance Act.
- Bankrupts will continue to have the right to apply to the court for relief from student loan debt under specific conditions.
- Bankrupts will have an obligation to demonstrate good faith and ongoing financial difficulty to the court when applying for relief.
- Courts will have the power to grant orders releasing bankrupts from all or part of their student loan debt, or to set repayment terms.
- The amendments related to discharges occurring within five years of ceasing to be a student apply to discharges occurring on or after the day the relevant subsection comes into force.
- The amendments allowing bankrupts to apply for court orders apply to individuals who become bankrupt before, on, or after the day the relevant subsection comes into force.
- The bill does not specify the exact date on which these amendments will come into force; this will be determined by regulation.
- The determination of 'financial difficulty' and 'good faith' in court applications is left to the discretion of the court.
- The bill references provincial laws related to student loans, but does not detail which specific provincial laws are covered beyond the general category.
Modifies provisions related to the release of bankrupts from student loan debts and allows for court applications to address these debts.
Source: Section 1 of the Bill
Is referenced as a source of student loan debt from which a bankrupt may not be released under the proposed changes.
Source: Paragraph 178(1)(g) as amended by Section 1(1) of the Bill
Is referenced as a source of student loan debt from which a bankrupt may not be released under the proposed changes.
Source: Paragraph 178(1)(g) as amended by Section 1(1) of the Bill
Generated using AI from official bill text. Not legal advice. It is written by PoliticalData.ca for civic education, automatically checked and spot-reviewed before publishing.
Official textParliamentary Process
We don't have a plain-language summary for First reading yet. The official source linked below is the full record.
We don't have a plain-language summary for Introduction and first reading yet. The official source linked below is the full record.
We don't have a plain-language summary for Second reading yet. The official source linked below is the full record.
We don't have a plain-language summary for Debate at second reading yet. The official source linked below is the full record.
We don't have a plain-language summary for Sponsor’s speech yet. The official source linked below is the full record.
We don't have a plain-language summary for Third reading yet. The official source linked below is the full record.
We don't have a plain-language summary for First reading yet. The official source linked below is the full record.
We don't have a plain-language summary for Second reading yet. The official source linked below is the full record.
We don't have a plain-language summary for Consideration in committee yet. The official source linked below is the full record.
We don't have a plain-language summary for Report stage yet. The official source linked below is the full record.
We don't have a plain-language summary for Third reading yet. The official source linked below is the full record.
Debate and sitting links point to official parliamentary sources when LEGISinfo publishes them. Any plain-language discussion summaries should be generated from those official texts and reviewed before public display.
Vote Summary
This bill is still active. We only show vote counts after the legislature publishes a recorded division.
No published representative vote breakdown
This bill is still moving through the process. When a recorded division is published, representative positions can be listed here.
Official sources
Status, sponsor, votes, and timeline on this page are drawn from these official legislative sources and public records. Each summary above is attributed to its own source.
How this data is sourced