Short answer: Often the RESP reduces borrowing need, but the best order depends on grants, loan terms, repayment help, tax, withdrawal timing, and cash flow.
This answer is designed as a starting point. RESP rules can depend on residency, beneficiary age, income, provider support, plan type, and current government program rules.
Read next
RESP and student aid explains the broader decision and links to related tools.
Sources to confirm
Canada Student Grants and Loans
Employment and Social Development Canada · checked 2026-05-23
Apply with your province or territory
Employment and Social Development Canada · checked 2026-05-23
Canada Student Grants and Loans loan agreement
Employment and Social Development Canada · checked 2026-05-23
Repay a student loan
Employment and Social Development Canada · checked 2026-05-23
Student lines of credit
Financial Consumer Agency of Canada · checked 2026-05-23
Learn about OSAP
Government of Ontario · checked 2026-05-23
OSAP definition: Registered Education Savings Plans
Ontario Student Assistance Program · checked 2026-05-23
2025-26 OSAP application for full-time students
Ontario Student Assistance Program · checked 2026-05-23
Pay for education using the RESP
Canada.ca · checked 2026-05-24
RESP payments, transfers, and rollovers
Canada Revenue Agency · checked 2026-05-24