POSB Further Study Assist

Frequently Asked Questions

How do I apply?

You may download the application form by clicking here.

How much credit limit will I be granted?

The maximum credit limit is 10 times of your monthly income or your unpaid course fees, capped at S$160,000, whichever is lower. Please note that the bank has the discretion to grant a lower limit which may be different from what you have requested.

How is interest calculated?

Interest is computed on a monthly rest basis and is based on 365 days regardless of leap year.

Is there any processing fee?

Yes. There is a 2.5% one time processing fee that will be deducted from the approved loan.


Approved Loan amount : S$10,000

2.5% processing fee of loan : S$250

Disbursement amount received: S$9,750

In what circumstances do I need a guarantor?
  • Below the age of 21 years old;
  • Studying on a full time basis;
  • Studying overseas;
  • Do not meet the minimum income eligibility of S$18,000 per annum; or
  • Require a loan amount which is higher than your eligible credit limit.
Who is eligible to be my guarantor for POSB Further Study Assist?
  • Your family member i.e.: parent / sibling / child or spouse;
  • Singapore Citizen or Permanent Resident residing in Singapore;
  • Aged between 21 – 65 years old (upon loan maturity);
  • Earning a minimum gross annual income of S$24,000.
What do you mean by immediate family member?

Parents, siblings, children and spouse will form your immediate family nucleus. Proof of relationship such as Birth Certificate or Marriage Certificate is required when you submit your application.

Second degree family member can be considered, provided relevant proof of relationship is submitted.

Can I have more than 1 guarantor?

No. Only 1 guarantor is allowed and your guarantor must be your immediate family member.

Do I need to submit any document to prove the relationship between me and my guarantor?

Yes, you are required to submit either Birth Certificate or Marriage Certificate to prove the relationship.

Is there any other admin fee or charges?

Yes, there is an admin fee of S$50 for changes of the disbursement amount after Telegraphic Transfer/MEPS has been credited.

How long will you take to process my loan?

We will process your application within 7 working days. Upon approval/decline, you will receive an SMS notification from us. Applications not accompanied with required documents or with incomplete information will result in a delay in processing.

How will I know when the account will be approved / declined?

Once your loan is approved, you will receive an approval letter to your address.

How will the approved loan be credited?

A direct credit via Telegraphic Transfer/MEPS will be made to the designated Institution’s account provided in your application.

I need a S$5000 loan, can I request for 3-year repayment?

Yes. The minimum loan amount is S$2000.

I have a DBS/POSB account, can I request for the loan amount to be credited to my bank account?

No, the loan amount will be disbursed via Telegraphic Transfer/MEPS directly to the designated Institution’s account.

I don't have a DBS/POSB account for the monthly payment, can you debit from my other Bank's account?

No. The monthly repayment must be made via you or your guarantor's DBS/POSB bank account. You may open an account here.

How can I make the monthly payment?

The monthly instalment amount will be deducted from your designated DBS/POSB savings account. Monthly instalment will be automatically deducted on the 1st of every month.

When do I have to start repaying?

Repayment will commence the following month after your loan is approved.

Can I choose to only start repayment after I graduate from school?

No. You are required to start your monthly repayments the month after your loan is approved.

When is my payment due date?

Repayment is to be made on the 1st of every month. Kindly ensure that your Loan Servicing Account has sufficient funds before the end of each month.

What will happen if I have insufficient funds in the Loan Servicing Account?

A late payment fee of S$30 per month will be imposed on each overdue instalment.

Is there any cancellation fee?

No. There is no cancellation fee should you cancel the loan prior to approval. Please do note that you will still be fully liable for the processing fee should you request to cancel after your loan is approved.

Will I get a monthly statement detailing the payment and outstanding balance?

No, there will not be any monthly statements. To find out the outstanding balance of your loan account, please call our hotline at 6333 0033 or 1800 111 1111.

I noted that the interest rate now is different from the time I applied. With the revised interest rate offered now, will the interest rate for my existing POSB Further Study Assist be affected?

No. Your interest rate remains as at the time the loan was approved. It will be fixed throughout your loan tenor.

Can I request for an increase in loan amount once the loan is approved?

No, the loan amount cannot be increased once the loan has been approved.

How do I request for subsequent disbursement?
How long will the bank take to process the subsequent disbursement?

Please allow 14 working days after receipt of subsequent disbursement form and invoice by the bank for your instruction to be processed.