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The government in Canada is almost becoming a little but socialist. We already have to go through ICBC if we want to drive here, but if they tie this into the bank it will more so draw power away from the citizen. As we have already seen with the major banks in Canada, if you want a mortgage you have to go through the big six, same with insurance, or loans.
But for the issue of the student loans having each institution operating separately from each other would be the best. If you don't pay your loans at first then they would send you more and more letter's, then if you still don't pay then people come to your house or something telling you, then the bank itself could start billing you or suspending service.
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