A canada Education Savings Grant (CESG) equivalent to 20% of the first $2,000 of the Registered Education Savings Plan(RESP) contribution, will be paid into the RESP by the Government of Canada to encourage families to save for learning costs. This will help offset the need ofr student loans, and reduce or eliminate student debt on graduation. The investment income earned on the savings, as well as the grant payments made to the RESP, will be sheltered from tax until the student uses the money to finace cost of learning. The plan is flexible, and can be moved between siblings. If the child does not pursue higher education within a reasonable periold of the time after high school, the Grant would have to be repaid. For more information, please call 1 888 276 3624. http//www.hrdc-drhc.gc.ca/students_loans