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When you cross into Canada at Osoyoos you're already on 97 - no problem there. I would avoid the Coquihalla (Hwy 5) from Merritt to Kamloops, in favour of more interesting options - that would be 97C to Cache Creek (although I have only towed part of that road - Logan Lake to Cache Creek), or the #8 + #1 suggestion (I haven't been on 8 ). When we were there several years ago Logan Lake had a nice municipal campground - cheap, maybe free, but I don't recall what services were available.
BC rest stops sometimes have a sign specfying the maximum stay - typically 8 hours (doesn't matter whether that is overnight)... and some of them are very nice (a bit off the highway, surrounded by trees...)
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