by Nutan Brown
on Thursday, April 9th, 2020 at 3:34pm.
In response to COVID-19, the Government of Canada has created a number of support options to help Canadians get through these uncertain times. Here are some of the resources available to assist individuals and families deal with the impact of the health crisis.
Canadian banks have committed to work with their customers on a case-by-case basis to find solutions to help them manage hardships caused by COVID-19. This includes permitting lenders to defer up to six monthly mortgage payments (interest and principal) for impacted borrowers.
If you are experiencing financial hardships, contact your financial institution for information regarding flexibility for a mortgage deferral. You are encouraged to visit your bank’s website for the latest information, rather than calling or visiting a branch.
The government rolled out its new Canada Emergency Response Benefit (CERB) earlier this week, which provides a taxable benefit of $2000 per month for up to 4 months to eligible workers who have lost their income due to COVID-19.
The filing date for income tax returns has been deferred until June 1, 2020. The Government will also allow any new income tax balances due, or instalments, to be deferred until August 31, 2020 without incurring interest or penalties.
Special Goods and Services Tax Credit Payment
The Government is providing a one-time special payment starting April 9 through the Goods and Services Tax credit for low- and modest-income families. The average additional benefit will be close to $400 for single individuals and close to $600 for couples.
Increasing the Canada Child Benefit
An extra credit of $300 per child will be provided through the Canada Child Benefit (CCB) for 2019-20. This will mean approximately $550 more for the average family. This benefit will be delivered as part of the scheduled CCB payment in May.
Support For Students And Recent Graduates
Loan repayments and interest will be suspended until September 30, 2020 for all student loan borrowers. Students do not need to apply for the repayment pause.