Montreal, February 13, 2021 - Option consommateurs and Desjardins have reached a settlement at class action. At class action, Option consommateurs criticized Desjardins for imposing insurance on students who completed their studies and began repaying their student loans without negotiating a repayment agreement with Desjardins within six months of completing their studies.
Desjardins has agreed with Option consommateurs to refund to policyholders all premiums collected between August 2, 2014 and March 31, 2021. This agreement will be submitted to the court for approval on May 13, 2021. If approved, it will allow group members to be reimbursed for the insurance premiums they paid.
To receive a refund under this agreement, you must have a student loan guaranteed by the Quebec government from a Desjardins caisse. Desjardins must have sent you a repayment agreement whose terms were not modified before your first payment and which took effect after August 2, 2014. These terms must also include a loan insurance premium automatically added by Desjardins, and you must not have filed a claim under this insurance.
" Option consommateurs is pleased with this settlement agreement with Desjardins, which enables those affected to recover the premiums paid for insurance automatically included in the repayment terms of their loan. It's important to ensure the consent of those affected before charging them for insurance," insists Sylvie De Bellefeuille, lawyer and legal advisor at Option consommateurs.
Please note that repayment does not automatically cancel loan insurance. If you have not finished repaying your loan and do not wish to take out loan insurance, you must cancel it with Desjardins.
To find out more about the agreement and how to get reimbursed, or to opt out of the claim, visit www.ey.com/ca/pretetudiant.
About usOption consommateurs
Option consommateurs is a not-for-profit association whose mission is to defend the rights and interests of consumers. It is closely involved in issues related to personal finance, business practices, financial services, protection of personal information, energy, health and agri-food.
For more information or an interview:
Marie-Ève Dumont, Communications Consultant
514-777-6133
