How to Get a Student Loan in Singapore 2022: Bank Comparisons

Eunice Sng

Writer

November 3, 2021

Finance

How to Get a Student Loan in Singapore 2022: Bank Comparisons

Eunice Sng

Writer

As Singaporeans, since young, it has been ingrained in us — the vital role that education plays in shaping our future. However, tuition fees aren’t cheap. If you’re looking to get a tertiary education but anticipate some shortage in funds, here’s all you need to know about getting student loans in Singapore.

In this day and age, the notion that one needs a degree in order to succeed is heavily debatable. Yet, one can’t deny the necessity of proper checks and balances when it comes to the medical field, for example, either. Plus, a good institution can be useful in equipping you with the proper know-how and tools to not just survive but thrive in the workforce. Unfortunately, said institutions don’t come easy, and they definitely will cost you. The good news is, there are ways to source for cash — even if your bank account balance currently resembles that of a Squid Game participant’s ID. If you’re looking to get a student loan to foot your university fees, keep scrolling

💰 Student Loan Options in Singapore: At A Glance

	Requirements/ Eligibility	How it works
OCBC: FRANK Tuition Fee Loan 👩🏻‍🎓 : For local universities	✅ Need a guarantor to come with, who is 👉🏻 21-60 years old 👉🏻 NOT bankrupt 👉🏻 If you’re Singaporean, your guarantor needs to be Singaporean too	✅ 0% interest and no repayment required while studying ✅ Start repayment (min S$100/month) once you find a job within 2 years after graduation
OCBC: FRANK Education Loan 👩🏻‍🎓 : For local private or overseas institutions	✅ If the student is the main applicant 👉🏻 You need to be at least 17 years 👉🏻 Singaporean / PR ✅ Need joint applicant 👉🏻 If the main applicant is below 21 years old 👉🏻 Joint applicant needs to be Singaporean / PR ✅ If the student is the main applicant and above 21 👉🏻 Must have max 65 years upon loan maturity ✅ Total income of applicants need to meet at least S$24,000 per annum 👉🏻 i.e. if the main applicant is a student without income, the joint applicant needs to have the specified amount	✅ 4.5% interest rate per year ✅ Loan up to 10x your monthly income or S$150,000 (whichever is lower) Repayment Options: 1️⃣ Standard 👉🏻 Pay monthly instalments (principal + interest) the moment loan is disbursed 👉🏻 Effective interest rate: 5.17% per year 2️⃣ Graduated 👉🏻 Pay only interest while studying, and then monthly instalments (principal + interest) after graduation 👉🏻 Effective interest rate: 5.06% per year 3️⃣ Graduated Plus 👉🏻 Pay only interest while studying + 1 year after graduation 👉🏻 Pay monthly instalments (principal + interest) from third year onwards 👉🏻 Effective interest rate: 5.01% per year
DBS: Study Loan 👩🏻‍🎓 : Undergraduates who have received financing of tuition fee from: 👉🏻 DBS Tuition Fee Loan 👉🏻 CPF Education Loan 👉🏻 MENDAKI Tertiary Tuition Fee Subsidy/ Loan 👉🏻 Scholarship / Grant 👉🏻 Fee subsidy / Loan from any registered government agency	✅ Guarantor 👉🏻 Aged from 21 to 60 years 👉🏻 Is not an undischarged bankrupt 👉🏻 If you’re a Singaporean, your guarantor needs to be Singaporean too	✅ Up to 20% of the subsidised tuition fees payable by Singapore students and/or up to S$3,600 annual living allowance. ✅ Interest-free during the course of study ✅ Minimum monthly repayment of S$100, can be done in one lump sum too Repayment Options: 1️⃣ Up to 20 years repayment period for interest-bearing loan 2️⃣ Up to 5 years for the interest-free loan, with repayment commencing after course completion 👉🏻 Repayment will commence no later than 6 months after graduation
DBS: Tuition Fee Loan 👩🏻‍🎓 : For all students studying in any of the local universities or NIE, except for students on self-funded courses and non-Singaporean citizens who are paying full fees	🚨 Borrower cannot be receiving financing of tuition fees from: 👉🏻 Government / Statutory Board / any school scholarships which cover tuition fees 👉🏻 MENDAKI Tuition Fee Subsidy 👉🏻 CPF savings to pay 100% of the subsidized tuition fees ✅ No income requirement or age restrictions ✅ Guarantor 👉🏻 Aged from 21 to 60 years 👉🏻 Is not an undischarged bankrupt 👉🏻 If you’re a Singaporean, your guarantor needs to be Singaporean too	✅ Maximum repayment period of 20 years ✅ Repayment will commence no later than 2 years after graduation ✅ Repayment of the loan can be in one lump sum or by equal monthly instalments of a minimum of S$100
POSB: Further Study Assist 👩🏻‍🎓 : For local, private, or overseas studies	✅ Borrower 👉🏻 17-65 years (upon loan maturity) 👉🏻 Singaporean / PR 👉🏻 Minimum Annual Gross Income S$18,000 ✅ Guarantor 👉🏻 Must be an immediate family member 👉🏻 17-65 years (upon loan maturity) 👉🏻 Singaporean / PR 👉🏻 Minimum Annual Gross Income S$24,000 🚨 Part-time students (21-65 years old, upon loan maturity) do not need guarantor unless they: – do not meet income e requirements or they are studying overseas	✅ 4.38% interest rate per year, with 2.5% processing fee ✅ Late payment fee: S$30 after 1st of every month ✅ No cancellation fees, no charges on full or partial repayment fee, no disbursement fee ✅ Loan up to 10x you and your guarantor’s combined monthly income or S$160,000 (whichever is lower) ✅ Repayment will commence the following month after your loan is approved 👉🏻 Amount will be automatically deducted from your designated DBS/POSB savings account on the 1st of every month 🚨 You CANNOT choose to start repayments only after graduation
CIMB: Education Loan 👩🏻‍🎓 : Singaporeans and PR students only	✅ Guarantor needed if: 👉🏻 Applicant is below 21 years old 👉🏻 Applicant does meet the minimum income criteria of S$2,000 per month 👉🏻 Loan is more than 8x applicant’s monthly income 👉🏻 Applicant is taking up the Interest Servicing scheme 👉🏻 Applicant is about to pursue full-time studies	✅ Interest Servicing Scheme 👉🏻 Pay only the interest during the course of study 👉🏻 Cannot exceed four years 👉🏻 Repayment of principal + interest will start at the end of the Interest Servicing Period 👉🏻 Effective Interest Rate: from 6.11% ✅ Standard repayment 👉🏻 Monthly rest interest rate: 0.72% per year 👉🏻 Processing fee: 2% 👉🏻 Effective Interest Rate: from 5.22%
MAYBANK: Education Loan 👩🏻‍🎓 : For both local and overseas studies	✅ Applicant has to be 18-65 years old 👉🏻 For local part-time studies: applicant needs to earn a minimum annual income of S$18,000 ✅ Guarantor needs to be 21-65 years old 👉🏻 and bring in a minimum annual income of S$30,000	✅ Can apply with Singpass 👉🏻 Receive up to S$150 eCapitaVouchers upon successful loan application (before 14 Jan 2022) ✅ Apply before 31 December 2021 to enjoy interest rates from 4.45% per year ✅ Loan up to 8x your monthly income or S$200,000 (whichever is lower) ✅ Repayment period of up to 10 years ✅ Additional financing for education-related expenses available (accommodation fees, computer equipment, books)