Canadian PR with American student loan

[amberddawn]

I’m not sure if I’m posting in the right place. But any advice would be great. I sponsored my American husband, and he was granted PR over a year ago. He still has American student loans. Due to covid, he has not been paying them as the American government put a pause on student loan payments. We are building our new life together and plan on buying a house in the next year, and starting a family. His student loans are a constant stress and worry, and we are unsure how to go about them. We want to keep the loan tied to the US so it doesn’t effect his canadian credit. But we also worry about the Changing exchange rate, and how it effects his USD student loan when converted to CAD when we will pay monthly. Also, does he have to claim his American student loan when he files his American taxes? Again, any advice or information is appreciated. We are still trying to navigate through this new life with an American living as a Canadian PR in Canada. Thanks.

 

[primaprime]

There isn't really anything you can do about the currency exchange. Transferwise usually offers the best rate. He needs to keep filing US taxes as usual but of course can deduct most foreign income so actual liability should be minimal. Make sure he also files FBAR reports for any Canadian accounts over $10,000.

 

[amberddawn]

There isn't really anything you can do about the currency exchange. Transferwise usually offers the best rate. He needs to keep filing US taxes as usual but of course can deduct most foreign income so actual liability should be minimal. Make sure he also files FBAR reports for any Canadian accounts over $10,000.

thanks. He’s been filling his US taxes himself by mail, and has never had any issues so far or anything sent back from the IRS. He files it as foreign income as a Canadian PR. We successfully completed the immigration process and now we’re just trying to figure out the details they don’t tell you when being approved as a PR. Can you explain the FBAR report? Canadian bank accounts holding over 10,000$?

 

[primaprime]

https://www.irs.gov/businesses/small-businesses-self-employed/report-of-foreign-bank-and-financial-accounts-fbar

 

[canuck78]

I’m not sure if I’m posting in the right place. But any advice would be great. I sponsored my American husband, and he was granted PR over a year ago. He still has American student loans. Due to covid, he has not been paying them as the American government put a pause on student loan payments. We are building our new life together and plan on buying a house in the next year, and starting a family. His student loans are a constant stress and worry, and we are unsure how to go about them. We want to keep the loan tied to the US so it doesn’t effect his canadian credit. But we also worry about the Changing exchange rate, and how it effects his USD student loan when converted to CAD when we will pay monthly. Also, does he have to claim his American student loan when he files his American taxes? Again, any advice or information is appreciated. We are still trying to navigate through this new life with an American living as a Canadian PR in Canada. Thanks.

You essentially have to budget to pay for them. You should make sure any loan takes into account your ability to pay them even if exchange rates change. When applying for a mortgage any lender will need to know about the student loans.