The Immigration Loans Program (ILP) provides eligible immigrants, who are mainly refugees selected for resettlement to Canada, with access to funding that would otherwise not be available to them. Loans are used to cover a number of expenses, including travel to Canada and other costs associated with resettlement.

The updated instructions include new payment and collection information, per the amended ILP regulations; changes to the transportation loan process; updates to assessing the need for and the ability to repay a loan, including counselling for loan applicants; and a new process for requesting Resettlement Assistance Program (RAP) contributions from within Canada for transportation loans as well as assistance loans.

Eligibility for an immigration loan

Depending on the purpose, section 289 of the Immigration and Refugee Protection Regulations (IRPR) specifies that a loan applicant may be a foreign national applying for permanent residence under any category or a Convention refugee or person in need of protection and their beneficiaries. In addition, Canadian citizens and permanent residents may apply for a loan on behalf of a beneficiary.

Section R288 lists the types of beneficiaries, for example, spouses, partners, dependent children, and other people in a dependent relationship with the loan applicant. Definitions are in listed in section R2.

Although immigrants in other categories (such as the federal skilled worker class and family class) are authorized to apply for loans, they are obliged to have funds at their disposal and thus would not need an immigration loan.

As an exception, a loan may be authorized to these applicants in the following circumstances:

• skilled workers who are also refugees (on a pilot basis)
• family class applicants for whom the Immigration Loans Program (ILP) is the lender of last resort.

Payment and collection of immigration loans

A loan recipient is expected to repay the loan in full with consecutive monthly instalments and in accordance with the repayment schedule set out in subsection 291(2) of the Immigration and Refugee Protection Regulations (IRPR). Monthly instalments are calculated according to the amount borrowed.

Repayment times

Clients must begin repayment after the 12th month from the issuance of the loan, and, depending on the amount borrowed, loans must be repaid as follows, starting after the day the loan becomes payable:

• loans up to but not exceeding $1,200  within 36 months
• loans over $1,200 but not exceeding $2,400  within 48 months
• loans over $2,400 but not exceeding $3,600  within 60 months
• loans over $3,600 but not exceeding $4,800  within 72 months
• loans over $4,800  within 96 months

Notice of payment

IRCC Loans and Accounts Receivable establishes a loan account in the name of the loan recipient, using the unique client identifier (UCI) as the account number.

Depending on the type of loan requested, several months may lapse before a loan account is established. For example, before a loan account is established, IRCC Loans and Accounts Receivable requires the invoice from a transportation company for the transportation costs for the people listed on the loan and a confirmation that the people listed have arrived in Canada.

Payment received at either an immigration office in Canada or at IRCC Loans and Accounts Receivable is recorded as a credit to the account.

IRCC Loans and Accounts Receivable notifies loan recipients about the loan amount and the minimum monthly instalments required. Loan recipients who wish to pay off their loans before the account is established may do so by contacting Collection Services.

Methods of payment

A loan recipient is entitled to make loan payments using any of the following methods of payment:

• personal cheque
• certified cheque
• postal or money order
• credit card
• directly at participating financial institutions
• internet banking through participating financial institutions

Payments must be made in Canadian funds. Cheques must be made payable to the “Receiver General for Canada”.

Payroll deductions

According to subsection 147(2) of the Immigration and Refugee Protection Act (IRPA), the Minister may authorize the repayment of a loan by means of a payroll deduction scheme.

Deferral of loan payments

Under special circumstances, a collection officer may grant a deferral of loan payments, a variation of payments or an extension of the repayment period. See subsection R292(2) for more information.

For Convention refugees and members of the humanitarian-protected persons abroad class who have resettled in Canada, the deferral of loan payments may be for up to 2 years. For any other eligible person, the deferral of loan payments may be for up to 6 months.

A deferral of loan payments is not automatically provided. A loan recipient who approaches an immigration office in Canada because they are unable to make full, regular loan payments must be immediately referred to Collection Services.

The immediate referral of loan recipients who are requesting a deferral of their loan payments is particularly important for those wishing to sponsor family dependants from abroad. These people need to satisfy the designated officer reviewing the family class sponsorship request that they have not defaulted on their loan payments to demonstrate their ability to support family dependants. Where a deferral of loan payments is being requested, a designated officer must notify Collection Services.

Change of address

A loan recipient must notify Collection Services of any change of address within 10 calendar days. The loan recipient may report a change of address as follows:

• in person or in writing to one of the following:
  • immigration authorities in the immigration office in Canada, in the area in which they are residing
  • Collection Services

A loan recipient must quote their loan account in all correspondence.

An immigration office in Canada that receives any new information on a loan recipient’s change of address should notify Collection Services.

Recovery of delinquent loans

Section A145 authorizes the recovery of any delinquent payments on loans on behalf of the Government of Canada. For the purposes of the Immigration Loans Program (ILP), the Chief of Collection Services, Finance, National Headquarters (NHQ), has been delegated responsibility for the recovery of delinquent loans.

Death of a loan recipient

In the event of the death of a loan recipient, the designated officer should immediately notify Collection Services.

Where a loan recipient has left Canada

If a designated officer becomes aware that a loan recipient with an outstanding loan balance has left Canada permanently, the officer must send an email to Collection Services and include the client’s biographic data and new address (if known) as well as the immigration loan number or numbers.

Arranging transportation from overseas or in Canada without the assistance of the International Organization for Migration (IOM)

In exceptional circumstances where there is no IOM presence (such as in Moscow), the use of the Right of Permanent Residence Loan, Transportation Loan, Admissibility Loan form [IMM 0500] can be used to facilitate travel, if the air carrier or travel agency agrees to be paid after the fact, through invoicing IRCC. In these cases, officers are to follow these instructions:

1. During an eligibility interview, the migration officer must assess the applicants’ ability to repay the loan.
2. If the officer determines the applicants should be able to repay the loan, the officer counsels the applicants regarding loan repayment and provides the terms and conditions of the loan to the applicants.
3. Once the applicants have been counselled on repayment, the migration officer and applicants sign the Terms and Conditions of Loan form [IMM 0502] as an indication that the loan has been authorized.
4. This signed form is scanned and uploaded to the associated application in the Global Case Management System (GCMS).
5. The client obtains a Right of Permanent Residence Loan, Transportation Loan, Admissibility Loan form [IMM 0500] from the migration officer.
6. The client approaches an airline that is willing to accept the Right of Permanent Residence Loan, Transportation Loan, Admissibility Loan form [IMM 0500] to invoice IRCC without being paid upfront.
7. The client or service provider organization (SPO) completes the top portion of the Right of Permanent Residence Loan, Transportation Loan, Admissibility Loan form [IMM 0500] (biographic data), Section I, and signs the appropriate box at the bottom of the form.
8. The airline fills out Section II and III with the flight details and costs, which should be in Canadian or United States (U.S.) currency.
9. Once the Right of Permanent Residence Loan, Transportation Loan, Admissibility Loan form [IMM 0500] is finalized, the airline sends the white copy of the form and the invoice to IRCC Collections. The yellow copy of the form is provided to the client, the pink placed in the Canada Border Services Agency (CBSA) file, and the green given to the SPO for reference.
10. IRCC Collections processes the loan in the client’s name and releases the payment to the airline.

Redestining or relocating after arrival

In exceptional circumstances where a newcomer has been inadvertently destined to an inappropriate destination, a transportation loan may be used to facilitate the relocation. Such circumstances may include family members being settled in another community or the medical needs of the applicant.

The designated officer must communicate the facts of the case to the Resettlement Services Unit, who reviews the circumstances that led to the situation and provides a solution.

Ground transportation procedures for issuing a transportation loan at a Canadian port of entry (POE)

If a government-assisted refugee or joint assistance sponsorship (JAS) client requires ground transportation to reach their final destination city, officers are to follow the instructions below. As this is a continuation of the travel arrangements from overseas, the client does not have to sign the Terms and Conditions of Loan form [IMM 0502] (PDF, 1.16MB) again.

If the use of a bus company is not possible, and a taxi or other private transportation is needed, the transportation costs for government-assisted refugees and JAS clients are covered through the port of entry (POE) SPO contribution agreement. Sponsoring groups are responsible for arranging and covering these costs for ground transportation to privately sponsored refugees’ and blended visa office-referred refugees’ final destination.

1. The client or SPO obtains a Right of Permanent Residence Loan, Transportation Loan, Admissibility Loan form [IMM 0500] from the POE CBSA officer.
2. The client or SPO completes the top portion of the Right of Permanent Residence Loan, Transportation Loan, Admissibility Loan form [IMM 0500] (biographic data) as well as Section I and signs the appropriate box at the bottom of the form.
3. The client or SPO brings the Right of Permanent Residence Loan, Transportation Loan, Admissibility Loan form [IMM 0500] to the bus company’s counter at the airport.
4. The bus company agent fills out Box 31 (other costs).
5. Once the Right of Permanent Residence Loan, Transportation Loan, Admissibility Loan form [IMM 0500] is finalized, the bus company agent sends the white copy of the form and the invoice to IRCC Collections for payment. The yellow copy of the form is provided to the client, the pink placed in the CBSA file and the green given to the SPO for reference.
6. IRCC Collections processes the loan in the client’s name and releases the payment to the bus company.

Overnight accommodation procedures for issuing a transportation loan at a Canadian port of entry (POE)

For all categories of refugees, if in-transit overnight accommodation procedures are required for onward travel the next day, hotel arrangements may be made for the clients if not already done. As this is a continuation of the travel arrangements from overseas, the client does not have to sign the Terms and Conditions of Loan form [IMM 0502] (PDF, 1.16MB) again.

The hotel costs for government-assisted refugees and JAS clients are covered through the POE airport SPO’s contribution agreement with IRCC.

The hotel cost for privately sponsored refugee and blended visa officer-referred refugee clients may be covered using the Right of Permanent Residence Loan, Transportation Loan, Admissibility Loan form [IMM 0500]:

1. The POE SPO obtains a Right of Permanent Residence Loan, Transportation Loan, Admissibility Loan form [IMM 0500] from the POE CBSA officer.
2. The POE SPO makes hotel arrangements for the client.
3. The client or SPO representative provides the Right of Permanent Residence Loan, Transportation Loan, Admissibility Loan form [IMM 0500] to the hotel front desk agent.
4. The hotel agent fills out Box 31 (other costs).
5. Once the Right of Permanent Residence Loan, Transportation Loan, Admissibility Loan form [IMM 0500] is finalized, the hotel agent sends the white copy of the form and the invoice to IRCC Collections for payment. The yellow copy of the form is provided to the client, the pink placed in the CBSA file and the green given to the SPO for reference.

Air transportation procedures for issuing a transportation loan at a Canadian port of entry (POE) using Immigration Organization for Migration (IOM) services

1. The POE SPO contacts the IOM to have them purchase and arrange travel for the client.
2. The IOM sends a copy of the purchased ticket or itinerary and travel cost sheet to the POE SPO to provide to the client.
3. IRCC Collections processes the loan in the client’s name and releases the payment to the IOM.

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The immigration application instructions regarding dependent children have been updated to clarify the age lock-in date for dependent children of:

• Home Child Care Provider Pilot applicants
• Home Support Worker Pilot applicants
• protected persons who are applying for permanent residence

The following note has been added for applications received on or after August 1, 2014, from protected persons applying for permanent residence:

• Although the age is locked in at the time of the refugee claim, the applicable definition of “dependent child” is the one that is in effect at the time IRCC receives the complete application for permanent residence from the principal applicant.
• For example, in the following case, the child qualifies as a dependent child:
  • A permanent residence application is received on July 7, 2019 (the applicable definition is “under 22 years of age”).
  • A child included in the application is 24 years old when the application is received.
  • On the day the refugee claim was made, the child was 21 years old.

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