Canadian Scholarship Trust: The Ultimate Guide to CST RESP Plans & Benefits

Saving for post-secondary education in Canada can feel intimidating. Tuition keeps rising, living costs aren’t slowing down, and many families worry they’ll fall behind. This is where the Canadian Scholarship Trust (CST) often enters the conversation.

In this in-depth guide, we break down what the Canadian Scholarship Trust is, how it works, the RESP system behind it, government grants, benefits, drawbacks, and whether it’s the right choice for your family.

Everything is explained clearly, conversationally, and with visible, credible external sources to help you verify every key point.

What Is the Canadian Scholarship Trust?

The Canadian Scholarship Trust is a long-standing Canadian organization focused on helping families save for post-secondary education through Registered Education Savings Plans (RESPs).

CST was founded in 1960 and operates in partnership with C.S.T. Savings Inc., which manages its education savings plans.

Official CST overview:
https://www.cst.org/en/savings/faq/cst-plans/what-are-canadian-scholarship-trust-plans/

Key points:

• CST specializes exclusively in education savings.
• Its plans are structured to qualify for government education grants.
• CST plans are registered with the Canada Revenue Agency (CRA).

How Canadian Scholarship Trust RESP Plans Work

At the heart of every CST offering is the Registered Education Savings Plan (RESP).

An RESP allows your savings to grow tax-deferred, while also qualifying for free government grants.

RESP explanation from CST:
https://portal.cstsavings.ca/en/faq/General-Questions/What-is-a-scholarship-plan-and-how-does-it-work

How the process works:

• You open an RESP through Canadian Scholarship Trust.
• You make regular or lump-sum contributions.
• The federal government adds grants (when eligible).
• Funds grow tax-free until withdrawn for education.

When the student enrolls in an eligible post-secondary institution, withdrawals can be used for:

• Tuition
• Books and supplies
• Housing and living expenses

Government Grants Available Through Canadian Scholarship Trust

Canada Education Savings Grant (CESG)

The CESG is one of the biggest advantages of using an RESP.

• Government adds 20% on eligible annual contributions.
• Maximum lifetime CESG per child: $7,200.

CESG overview:
https://www.scholarhunter.com/top-10-reasons-to-choose-the-canadian-scholarship-trust-for-education-savings/2025/

Example:
If you contribute $2,500 in a year, the government adds $500, instantly boosting your savings.

Canada Learning Bond (CLB)

The Canada Learning Bond is designed for families with lower household incomes.

• Up to $2,000 per eligible child.
• No personal contribution required to receive it.

CLB explanation from CST:
https://www.cst.org/en/spark/about-us/

Types of Canadian Scholarship Trust Plans

CST offers different RESP structures to meet varying needs.

Main CST Plan Options

CST plan summary document:
https://www.cst.org/content/dam/consultantsexternal/documents/2025/en/CSTPlanSummary.pdf

Individual Savings Plan details:
https://www.cst.org/content/dam/consultantsexternal/documents/2025/en/IndividualSavingsPlan_October2024_EN.pdf

CST Spark portfolios:
https://www.cst.org/en/spark

Benefits of Using Canadian Scholarship Trust

Families who choose CST often highlight the following advantages:

• Education-focused investment structure
• Automatic qualification for RESP grants
• Professional portfolio management
• Access to additional student awards
• Long history in Canada’s education savings space

CST RESP overview:
https://www.cst.org/en/savings/our-resp

CST Foundation Awards and Bursaries

Beyond RESP savings, the CST Foundation provides direct financial support to students.

In recent years, the Foundation has awarded hundreds of thousands of dollars annually.

2025 awards announcement:
https://www.newswire.ca/news-releases/cst-opens-applications-for-2025-awards-and-bursaries-program-841243979.html

Available awards include:

• Founders’ Awards – up to $7,000
• First-entry bursaries – up to $6,000

These awards are separate from RESP savings and can significantly reduce education costs.

Common Criticisms of Canadian Scholarship Trust

While CST has many supporters, it’s important to look at real-world feedback.

Some families raise concerns about:

• Sales-driven enrollment experiences
• Fees in group-based RESP plans
• Limited flexibility compared to self-directed RESPs

Community discussions on RESP alternatives:
https://www.reddit.com/r/PersonalFinanceCanada/comments/1f8ywge
https://www.reddit.com/r/PersonalFinanceCanada/comments/ck30h4
https://www.reddit.com/r/PersonalFinanceCanada/comments/1qksmgy/resp/

Tip: Always read the prospectus and understand fees before committing to any RESP provider.

Canadian Scholarship Trust vs Other RESP Providers

Smart Tips When Using Canadian Scholarship Trust

• Start saving early to maximize compounding
• Prioritize contributions that unlock CESG
• Compare CST plans with bank and brokerage RESPs
• Apply for CST Foundation awards when eligible
• Track withdrawal rules carefully

Is Canadian Scholarship Trust Worth It?

The Canadian Scholarship Trust offers a structured, education-first approach to saving for post-secondary school. With RESP grants, long-term investment management, and added awards, CST can be a solid option for families who prefer guided savings.

That said, it’s not the only RESP choice. Families who value low fees and full investment control may prefer alternatives offered by banks or online brokerages.

The best decision is an informed one, based on understanding both the benefits and limitations.

Official CST website (visible link):
https://www.cst.org/