POSB Further Study Assist

POSB Further Study Assist

Lower rates for your study loan. Enjoy lower study loan interest rates of 4.38%p.a

POSB Further Study Assist

 

At a Glance

Lower interest rate at 4.38% p.a. with 2.5% processing fee.

 

Higher loan amount of up to 10x the combined monthly income of you and your guarantor (max. S$160,000).

 

Flexible repayment period up to 10 years that best suit your needs.

 

 

Eligibility & Fees

Borrower

  • Singapore Citizen / Singapore Permanent Resident
  • 17 – 65 years (upon loan maturity)
  • Minimum Annual Gross Income S$18,000

Guarantor#

  • Singapore Citizen / Singapore Permanent Resident
  • 21 – 65 years (upon loan maturity)
  • Minimum Annual Gross Income S$24,000
  • Must be an immediate family member

#Guarantor not required for part-time student age 21 to 65 years old (upon loan maturity) unless applicant does not meet minimum income requirement or studying overseas)

 

Interest Rate and Fees Table

   
Interest rate 4.38% p.a.
Processing fee 2.5% of the approved loan amount (deducted upfront upon first disbursement)
Late payment fee $30 on overdue amount after the 1st of every month
Cancellation fee No charges
Full/partial repayment fee No charges
Disbursement fee No charges for issuance of Cashier’s Order/Demand Draft to the institutions
 

Income Documents Required

For Salaried Employees:

  • NRIC (Front and Back), AND either A. OR B. OR C. OR D.
    1. Latest 12 months' CPF Contribution History Statement
    2. Latest Income Tax Notice of Assessment*
    3. Latest Computerised Payslip
    4. Salary Crediting into DBS/POSB Account^

For Variable/Commission-based Employees:

  • NRIC (Front and Back), AND either A. OR B.
    1. Latest 12 months' CPF Contribution History Statement
    2. Latest 2 years' Income Tax Notice of Assessment*

For Self Employed:

  • NRIC (Front and Back), AND Latest 2 years' Income Tax Notice of Assessment*
 

Mandatory Documents to submit

  • Photocopy of NRIC (front & back) for Applicant & Guarantor (if applicable)
  • Copy of Letter of Acceptance stating course type and course duration
  • Invoice of payment for course fees
  • Applicant applying with guarantor must provide birth certificate or marriage certificate to prove relationship
 

Illustration

The below illustration is for lump sum disbursement with fixed monthly repayment, spread over 1 to 10 years of loan tenure.

Approved loan amount S$5,000 S$10,000 S$30,000
Less processing fee 2.50% 2.50% 2.50%
Disbursed loan amount S$4,875 S$9,750 S$29,250
Loan tenure Interest rate (p.a.)1 Installment amount per month
1-year 4.38% S$427 S$854 S$2,560
3-year 4.38% S$149 S$297 S$891
5-year 4.38% S$93 S$186 S$558
8-year 4.38% S$62 S$124 S$372
10-year 4.38% S$52 S$104 S$310
Eligible loan amount Up to 10x combined monthly income

Note: Above calculations are for illustration purpose only and should not be taken to be a guarantee of the actual amounts payable.
For progressive disbursements, the monthly installment amount will increase with each subsequent disbursement. The revised monthly installment amount will be calculated based on outstanding loan balance and remaining tenure.
1 Interest is calculated on a monthly rest basis.

 

Send us your application

Apply now

Apply via this online form if you do not require a guarantor.

Download Form

If a guarantor is required, kindly print, complete and mail in the completed hardcopy form instead.

List of approved institutions

Other Forms

POSB Further Study Assist Subsequent Disbursement Authorisation Form Apply Online

POSB Further Study Assist Authorisation and Indemnity Form

 Apply Online
POSB Further Study Assist Loan Repayment Slip Apply Online

Click here for the latest POSB Further Study Assist Terms and Conditions (for loans approved on or after 1st December 2012).

  • For loans approved before 1st December 2012, click here.

 

Frequently Asked Questions

You may download the application form by clicking here.

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.

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

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

Example:

Approved Loan amount : S$10,000

2.5% processing fee of loan : S$250

Cashier's Order received : S$9,750

  • 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.

  • 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.

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.

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

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

Yes, there is an admin fee of S$50 for changes of disbursement amount after Cashier’s Order has been issued.

  • Stop payment of Cashier's Order : S$15
  • Re-issuance of Cashier's Order : S$5
  • Stop payment of Demand Draft : S$35
  • Re-issuance of Demand Draft: Difference of foreign currency exchange rates will be borne by customer.
  • Changes to Cashier's Order / Demand Draft payee name : S$10
  • Any changes in mode of disbursement will cause a delay in processing time

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.

Once your loan is approved, your Cashiers' Order will be sent via post with a welcome letter to your address.

We will issue a cashier's order (payee to the Institution of study) to your correspondence address. Depending on whether it is a peak period or non-peak period, we will prepare the cashier's order to be mailed out 3 - 5 working days after your loan is approved. (Please note the said turnaround time is not inclusive of the mailing time required by Singpost).
You are required to present the cashier's order / demand draft at the institution of study within 30 days from the date of issue.

Yes. The minimum loan amount is S$2000.

No. The loan amount will be disbursed in a form of a Cashier's Order / Demand Draft, made payable to the designated institution of study.

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

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.

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

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

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.

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

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.

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.

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

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

Click Request for subsequent disbursement to apply

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

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