Empower Your Future:
Best Education Loans in Singapore
Investing in your education is one of the most crucial steps towards a better future. That being said, financing your degree can feel daunting with the ever-rising cost of university fees in Singapore. Don’t let financial barriers hold you back! An education loan can be your strategic partner, empowering you to pursue your dreams without added stress.
We’ve simplified the search for the perfect education loan in Singapore by bringing all the options to you. Compare the latest education loan interest rates from leading financial institutions in one place. We help you find the most competitive rates, calculate your monthly repayments with ease, and confidently map out your university financing plan. Take control and secure the funding you need to thrive in the higher education space.
Disclaimer: Interest rates and promotions are subject to change and are accurate based on available public information. The final rate you receive may vary based on your personal credit assessment.
DBS Study Loan
Annual Interest Rate
3M SORA + 1.5% p.a. (rate may be adjusted by the bank from time to time)
EIR
NA
- Polytechnic students can borrow up to 25% of subsidised tuition fees, while University and NIE students can borrow up to 20%
- Zero interest and repayments while studying
- Flexible minimum repayment after graduation, starting from as low as S$100/month University/NIE students: Maximum repayment period of 5 years for interest-free loans and 20 years for interest-bearing loans
- Polytechnic students: Repayment up to 2 years for interest-free loans and 5 years for interest-bearing loans
Eligibility
- Must be a Singapore Citizen, PR, or international student enrolled in an MOE-recognised tertiary institution
- Requires a guarantor who is a Singapore Citizen/Permanent Resident/foreigner with a valid passport or IC, aged 21-60
Fees
- Late payment interest: 3M SORA + 4.5% p.a. (rate may be adjusted by the bank from time to time)
Features
- Polytechnic students can borrow up to 25% of subsidised tuition fees, while University and NIE students can borrow up to 20%
- Zero interest and repayments while studying
- Flexible minimum repayment after graduation, starting from as low as S$100/month University/NIE students: Maximum repayment period of 5 years for interest-free loans and 20 years for interest-bearing loans
- Polytechnic students: Repayment up to 2 years for interest-free loans and 5 years for interest-bearing loans
Loan details
Eligibility
- Must be a Singapore Citizen, PR, or international student enrolled in an MOE-recognised tertiary institution
- Requires a guarantor who is a Singapore Citizen/Permanent Resident/foreigner with a valid passport or IC, aged 21-60
Fees
- Late payment interest: 3M SORA + 4.5% p.a. (rate may be adjusted by the bank from time to time)
DBS Study Loan
Annual Interest Rate
3M SORA + 1.5% p.a. (rate may be adjusted by the bank from time to time)
EIR
NA
- Polytechnic students can borrow up to 25% of subsidised tuition fees, while University and NIE students can borrow up to 20%
- Zero interest and repayments while studying
- Flexible minimum repayment after graduation, starting from as low as S$100/month University/NIE students: Maximum repayment period of 5 years for interest-free loans and 20 years for interest-bearing loans
- Polytechnic students: Repayment up to 2 years for interest-free loans and 5 years for interest-bearing loans
Eligibility
- Must be a Singapore Citizen, PR, or international student enrolled in an MOE-recognised tertiary institution
- Requires a guarantor who is a Singapore Citizen/Permanent Resident/foreigner with a valid passport or IC, aged 21-60
Fees
- Late payment interest: 3M SORA + 4.5% p.a. (rate may be adjusted by the bank from time to time)
Features
- Polytechnic students can borrow up to 25% of subsidised tuition fees, while University and NIE students can borrow up to 20%
- Zero interest and repayments while studying
- Flexible minimum repayment after graduation, starting from as low as S$100/month University/NIE students: Maximum repayment period of 5 years for interest-free loans and 20 years for interest-bearing loans
- Polytechnic students: Repayment up to 2 years for interest-free loans and 5 years for interest-bearing loans
Loan details
Eligibility
- Must be a Singapore Citizen, PR, or international student enrolled in an MOE-recognised tertiary institution
- Requires a guarantor who is a Singapore Citizen/Permanent Resident/foreigner with a valid passport or IC, aged 21-60
Fees
- Late payment interest: 3M SORA + 4.5% p.a. (rate may be adjusted by the bank from time to time)
DBS Tuition Fee Loan
Annual Interest Rate
3M SORA + 1.5% p.a. (rate may be adjusted by the bank from time to time)
EIR
NA
- University and NIE students may borrow up to 90% of tuition fees, while Polytechnic students may borrow up to 75%
- 0% interest and no repayments while studying
- Repayments after graduation from as low as S$100/month, with tenure up to 20 years for University/NIE students or 10 years for Polytechnic students
Eligibility
- Must be a Singapore Citizen, Permanent Resident, or international student enrolled in an MOE-recognised tertiary institution
- Requires a guarantor who is a Singapore Citizen/Permanent Resident/foreigner with a valid passport or IC, aged 21-60
Fees
- Late payment interest: 3M SORA + 4.5% p.a. (rate may be adjusted by the bank from time to time)
Features
- University and NIE students may borrow up to 90% of tuition fees, while Polytechnic students may borrow up to 75%
- 0% interest and no repayments while studying
- Repayments after graduation from as low as S$100/month, with tenure up to 20 years for University/NIE students or 10 years for Polytechnic students
Loan details
Eligibility
- Must be a Singapore Citizen, Permanent Resident, or international student enrolled in an MOE-recognised tertiary institution
- Requires a guarantor who is a Singapore Citizen/Permanent Resident/foreigner with a valid passport or IC, aged 21-60
Fees
- Late payment interest: 3M SORA + 4.5% p.a. (rate may be adjusted by the bank from time to time)
DBS Tuition Fee Loan
Annual Interest Rate
3M SORA + 1.5% p.a. (rate may be adjusted by the bank from time to time)
EIR
NA
- University and NIE students may borrow up to 90% of tuition fees, while Polytechnic students may borrow up to 75%
- 0% interest and no repayments while studying
- Repayments after graduation from as low as S$100/month, with tenure up to 20 years for University/NIE students or 10 years for Polytechnic students
Eligibility
- Must be a Singapore Citizen, Permanent Resident, or international student enrolled in an MOE-recognised tertiary institution
- Requires a guarantor who is a Singapore Citizen/Permanent Resident/foreigner with a valid passport or IC, aged 21-60
Fees
- Late payment interest: 3M SORA + 4.5% p.a. (rate may be adjusted by the bank from time to time)
Features
- University and NIE students may borrow up to 90% of tuition fees, while Polytechnic students may borrow up to 75%
- 0% interest and no repayments while studying
- Repayments after graduation from as low as S$100/month, with tenure up to 20 years for University/NIE students or 10 years for Polytechnic students
Loan details
Eligibility
- Must be a Singapore Citizen, Permanent Resident, or international student enrolled in an MOE-recognised tertiary institution
- Requires a guarantor who is a Singapore Citizen/Permanent Resident/foreigner with a valid passport or IC, aged 21-60
Fees
- Late payment interest: 3M SORA + 4.5% p.a. (rate may be adjusted by the bank from time to time)
DBS/POSB Further Study Assist
Annual Interest Rate
4.38% p.a.
EIR
NA
Processing Fees
2.5% of approved loan amount
- Borrow up to 10 times your monthly or combined income, capped at S$160,000
- Flexible repayment up to 10 years
- Repayments start immediately upon disbursement to the institution
- No early repayment charges
Eligibility
- Borrower: Singapore Citizen/Permanent Resident, 17–65 years, minimum annual income S$18,000
- Guarantor: Singapore Citizen/Permanent Resident, 21–65 years, minimum annual income S$24,000, must be an immediate family member
Fees
- Processing fee: 2.5% of approved loan amount
- Late payment fee: S$30
- Early repayment fee: NA
Features
- Borrow up to 10 times your monthly or combined income, capped at S$160,000
- Flexible repayment up to 10 years
- Repayments start immediately upon disbursement to the institution
- No early repayment charges
Loan details
Eligibility
- Borrower: Singapore Citizen/Permanent Resident, 17–65 years, minimum annual income S$18,000
- Guarantor: Singapore Citizen/Permanent Resident, 21–65 years, minimum annual income S$24,000, must be an immediate family member
Fees
- Processing fee: 2.5% of approved loan amount
- Late payment fee: S$30
- Early repayment fee: NA
DBS/POSB Further Study Assist
Annual Interest Rate
4.38% p.a.
EIR
NA
Processing Fees
2.5% of approved loan amount
- Borrow up to 10 times your monthly or combined income, capped at S$160,000
- Flexible repayment up to 10 years
- Repayments start immediately upon disbursement to the institution
- No early repayment charges
Eligibility
- Borrower: Singapore Citizen/Permanent Resident, 17–65 years, minimum annual income S$18,000
- Guarantor: Singapore Citizen/Permanent Resident, 21–65 years, minimum annual income S$24,000, must be an immediate family member
Fees
- Processing fee: 2.5% of approved loan amount
- Late payment fee: S$30
- Early repayment fee: NA
Features
- Borrow up to 10 times your monthly or combined income, capped at S$160,000
- Flexible repayment up to 10 years
- Repayments start immediately upon disbursement to the institution
- No early repayment charges
Loan details
Eligibility
- Borrower: Singapore Citizen/Permanent Resident, 17–65 years, minimum annual income S$18,000
- Guarantor: Singapore Citizen/Permanent Resident, 21–65 years, minimum annual income S$24,000, must be an immediate family member
Fees
- Processing fee: 2.5% of approved loan amount
- Late payment fee: S$30
- Early repayment fee: NA
OCBC Education Loan (Private Loan)
Annual Interest Rate
4.5% p.a.
EIR
5.17 p.a.
Processing Fees
2.5% of approved loan amount
- Borrow up to 10 times your monthly income or S$150,000 (whichever is lower)
- Enjoy a low interest rate of 4.5% p.a.
- Flexible repayment options to fit your budget
Eligibility
- Students enrolled in local private institutions or overseas universities
Fees
- Processing fee: 2.5% of approved loan amount
- Late payment fee: NA
- Early repayment fee: NA
Features
- Borrow up to 10 times your monthly income or S$150,000 (whichever is lower)
- Enjoy a low interest rate of 4.5% p.a.
- Flexible repayment options to fit your budget
Loan details
Eligibility
- Students enrolled in local private institutions or overseas universities
Fees
- Processing fee: 2.5% of approved loan amount
- Late payment fee: NA
- Early repayment fee: NA
OCBC Education Loan (Private Loan)
Annual Interest Rate
4.5% p.a.
EIR
5.17 p.a.
Processing Fees
2.5% of approved loan amount
- Borrow up to 10 times your monthly income or S$150,000 (whichever is lower)
- Enjoy a low interest rate of 4.5% p.a.
- Flexible repayment options to fit your budget
Eligibility
- Students enrolled in local private institutions or overseas universities
Fees
- Processing fee: 2.5% of approved loan amount
- Late payment fee: NA
- Early repayment fee: NA
Features
- Borrow up to 10 times your monthly income or S$150,000 (whichever is lower)
- Enjoy a low interest rate of 4.5% p.a.
- Flexible repayment options to fit your budget
Loan details
Eligibility
- Students enrolled in local private institutions or overseas universities
Fees
- Processing fee: 2.5% of approved loan amount
- Late payment fee: NA
- Early repayment fee: NA
OCBC Student Loan (Government Loan Schemes by MOE)
Annual Interest Rate
3M SORA + 1.5% p.a. (rate may be adjusted by the bank from time to time)
EIR
NA
Processing Fees
NA
- Choose from 3 options: Tuition Fee Loan, Study Loan, or Overseas Study Loan
- Pay 0% interest while studying — interest only begins after graduation
- Flexible repayment only after graduation
Eligibility
- Students enrolled in local public universities (NUS, NTU, NIE or SMU)
Fees
- Late payment interest: 3M SORA + 4.5% p.a. (rate may be adjusted by the bank from time to time)
Features
- Choose from 3 options: Tuition Fee Loan, Study Loan, or Overseas Study Loan
- Pay 0% interest while studying — interest only begins after graduation
- Flexible repayment only after graduation
Loan details
Eligibility
- Students enrolled in local public universities (NUS, NTU, NIE or SMU)
Fees
- Late payment interest: 3M SORA + 4.5% p.a. (rate may be adjusted by the bank from time to time)
OCBC Student Loan (Government Loan Schemes by MOE)
Annual Interest Rate
3M SORA + 1.5% p.a. (rate may be adjusted by the bank from time to time)
EIR
NA
Processing Fees
NA
- Choose from 3 options: Tuition Fee Loan, Study Loan, or Overseas Study Loan
- Pay 0% interest while studying — interest only begins after graduation
- Flexible repayment only after graduation
Eligibility
- Students enrolled in local public universities (NUS, NTU, NIE or SMU)
Fees
- Late payment interest: 3M SORA + 4.5% p.a. (rate may be adjusted by the bank from time to time)
Features
- Choose from 3 options: Tuition Fee Loan, Study Loan, or Overseas Study Loan
- Pay 0% interest while studying — interest only begins after graduation
- Flexible repayment only after graduation
Loan details
Eligibility
- Students enrolled in local public universities (NUS, NTU, NIE or SMU)
Fees
- Late payment interest: 3M SORA + 4.5% p.a. (rate may be adjusted by the bank from time to time)
Other financial institutions
Annual Interest Rate
Up to 48% p.a.
Processing Fees
Up to 10% of the loan principal
Loan Tenure
Up to 2 years
- Fast loan approval
- No credit score restrictions
- Same-day disbursement available
- No minimum loan amount
- Borrow up to 6x your monthly income if you earn at least S$20,000/year, open to all nationalities
- Maximum loan amount of S$3,000 for Singaporeans/PRs earning below S$20,000/year
- Maximum loan amount of S$3,000 for foreigners with annual income of at least S$10,000 but less than S$20,000; S$500 for foreigners who earn less than S$10,000/year
Eligibility
- Aged 18 and above
- Must have a stable source of income
Fees
- Processing fee: Up to 10% of the loan principal
- Late payment fee: Up to S$60 per month for overdue payments
- No early repayment fees
Features
- Fast loan approval
- No credit score restrictions
- Same-day disbursement available
- No minimum loan amount
- Borrow up to 6x your monthly income if you earn at least S$20,000/year, open to all nationalities
- Maximum loan amount of S$3,000 for Singaporeans/PRs earning below S$20,000/year
- Maximum loan amount of S$3,000 for foreigners with annual income of at least S$10,000 but less than S$20,000; S$500 for foreigners who earn less than S$10,000/year
Loan details
Eligibility
- Aged 18 and above
- Must have a stable source of income
Fees
- Processing fee: Up to 10% of the loan principal
- Late payment fee: Up to S$60 per month for overdue payments
- No early repayment fees
Other financial institutions
Annual Interest Rate
Up to 48% p.a.
Processing Fees
Up to 10% of the loan principal
Loan Tenure
Up to 2 years
- Fast loan approval
- No credit score restrictions
- Same-day disbursement available
- No minimum loan amount
- Borrow up to 6x your monthly income if you earn at least S$20,000/year, open to all nationalities
- Maximum loan amount of S$3,000 for Singaporeans/PRs earning below S$20,000/year
- Maximum loan amount of S$3,000 for foreigners with annual income of at least S$10,000 but less than S$20,000; S$500 for foreigners who earn less than S$10,000/year
Eligibility
- Aged 18 and above
- Must have a stable source of income
Fees
- Processing fee: Up to 10% of the loan principal
- Late payment fee: Up to S$60 per month for overdue payments
- No early repayment fees
Features
- Fast loan approval
- No credit score restrictions
- Same-day disbursement available
- No minimum loan amount
- Borrow up to 6x your monthly income if you earn at least S$20,000/year, open to all nationalities
- Maximum loan amount of S$3,000 for Singaporeans/PRs earning below S$20,000/year
- Maximum loan amount of S$3,000 for foreigners with annual income of at least S$10,000 but less than S$20,000; S$500 for foreigners who earn less than S$10,000/year
Loan details
Eligibility
- Aged 18 and above
- Must have a stable source of income
Fees
- Processing fee: Up to 10% of the loan principal
- Late payment fee: Up to S$60 per month for overdue payments
- No early repayment fees
Table of Contents
Education Loans in Singapore 101
What is an education loan?
An education loan is a type of financial aid specifically designed to help students cover the costs of higher education. Unlike a general-purpose personal loan, its funds are intended to cover tuition, books, supplies, and sometimes living expenses while the student is enrolled.
An attractive feature of most education loans in the market is a grace period or deferment — this allows the student to postpone repayments until after they have completed their studies and secured employment.
How do education loans work?
Education loans are disbursed directly to the educational institution to cover tuition and other fees. Any remaining funds may then be given to the student to cover living or other study-related expenses.
The loan typically has a grace period during which repayment is deferred. This period typically lasts throughout the student’s course of study and for a few months after graduation, allowing the borrower to find employment before making payments. The borrower has to start repaying the loan in monthly instalments, which include both principal and interest, after the deferment period.
How much can you borrow on an education loan?
The amount you can borrow on an education loan in Singapore depends on the specific scheme and education loan provider. For government-backed schemes, such as the Tuition Fee Loan (TFL), the loan quantum is a fixed percentage of the subsidised tuition fee. For private education loans from banks, the amount is usually capped at a certain multiple of your monthly income (e.g., up to 10 times your monthly income) or a fixed maximum amount, whichever is lower. The maximum loan amount can also be influenced by the cost of attendance at the institution you are applying to.
What’s the loan tenure of an education loan?
In general, the loan tenure for an education loan in Singapore is flexible. For many bank loans, the maximum tenure can be up to 8 to 10 years. Government schemes like the TFL and Study Loan have a defined maximum repayment period, which may be up to 20 years for a university loan. In case you didn’t already know, a shorter tenure means higher monthly repayments but less overall interest paid over the loan tenure.
What can you use an education loan in Singapore for?
Apart from tuition fees, education loans are tailored to cover tuition fees and other education-related expenses, such as digital devices, course materials, and associated living expenses (e.g., dormitory or hall fees).
How can an education loan help?
Many education loans provide a grace period where repayments are not required while you are studying, and sometimes for a short period after graduation. Education loans often have longer loan tenures, resulting in lower monthly repayments that are easier on the wallet.
What are the benefits of taking an education loan?
Financial Flexibility: An education loan allows you to preserve your family’s savings and investments, which can be used for other financial goals like retirement or a home purchase.
Focus on Studies: With your tuition and other expenses covered, you can focus on your academics without the added stress of financial constraints.
Build a Credit History: Successfully managing and repaying an education loan in Singapore helps you establish a strong credit history, which is essential for future financial ventures like applying for a home or car loan.
Affordable Repayment: Most education loans in Singapore offer a deferment period that lets you focus on your studies, instead of worrying about repayment. This lets you postpone repayment to only after you have graduated and have had time to secure employment, ensuring a more manageable financial transition.
Who Can Get an Education Loan in Singapore?
How to apply for an education loan in Singapore?
The application process for an education loan in Singapore can be done through a bank or a government-backed scheme. You will typically need to prepare:
- Identification: Your NRIC for a Singapore Citizen or Permanent Resident, or a valid pass for foreigners.
- Proof of Income: Your latest payslips, CPF statements, or Income Tax Notice of Assessment to demonstrate your financial standing.
- Proof of Admission: The official letter of acceptance from your educational institution, stating the course and duration.
- Guarantor Details: For many loans, especially those for younger applicants or those with insufficient income, a guarantor is required.
Applications can usually be submitted online, and some banks offer digital applications that streamline the process.
What’s the education loan processing time like?
The processing time for an education loan in Singapore can vary. For government-backed schemes like the CPF Education Loan, applications are processed on a schedule with each approved educational institution. It generally takes about three working days after the school provides the necessary student data for approval. For private bank loans, the processing time may take anywhere from a few days to a week or longer, depending on the accuracy and completeness of your documents, as well as the complexity of your education loan application.
Are guarantors needed for education loans?
For the most part, you will need a guarantor when applying for an education loan — especially if the education loan amount you’re applying for is substantial or if you’re young and doing full-time studies.
Tips on Choosing the Best Education Loan in Singapore
Assess your needs
Before you borrow, calculate the total cost of your education, including tuition, living expenses, books, course materials, and other miscellaneous fees. Borrow only what you need. Remember, a loan is not free money; it comes with a price — interest.
Compare interest rates
Don’t just look at the flat interest rate. Understand the difference between flat vs. reducing balance rates. While a flat rate may seem lower, a reducing balance rate often ends up being cheaper in the long run because you only pay interest on the remaining loan principal. To obtain a true comparison, always consider the Effective Interest Rate (EIR), which includes all fees and the full repayment schedule.
Understand all loan fees and terms
Some banks charge a processing fee, while others don’t. Be sure to clarify all applicable fees with your preferred bank. Pay close attention to the prepayment penalty if you plan to pay off the loan early. Also, consider the repayment period — a longer tenure means smaller monthly instalments but more interest paid overall.
Consider repayment flexibility
Many loans offer a grace period where you don’t have to make payments while studying. However, interest may still accrue during this time. To reduce your total interest costs, ask the bank if you can make partial principal repayments while you’re still in school.
Look for subsidies or discounts
Some banks collaborate with certain educational institutions, offering special rates or subsidies to their students. Furthermore, be sure to check if you’re eligible for any government-subsidised loans or financial aid programs, as these often come with significantly lower interest rates and more favourable terms.
Consider your future income
Think about the income you expect to earn after graduation and ensure it’s enough to cover your monthly loan repayments comfortably. Avoid borrowing so much that you’re left with a financial burden you can’t manage. If you’re unsure, it’s wise to consult a financial advisor who can provide personalised advice.
Education Loan FAQs
What is the difference between Tuition Fee Loan (TFL) and Study Loan (SL) in Singapore?
Both the TFL and SL are government-backed schemes to help students finance their education, but they serve different purposes:
- Tuition Fee Loan (TFL): This loan specifically covers a substantial portion of the subsidised tuition fees. For Singapore Citizen university students, it can cover up to 90% of their tuition fees. It is interest-free during the period of study, with interest commencing only after graduation.
- Study Loan (SL): This loan is designed to supplement the TFL and can be used to cover the remaining tuition fees (e.g., the 10% balance after taking the TFL) and even provide a living allowance. The SL is designed for students from lower-income families. Like the TFL, it is interest-free during your studies, with interest beginning only after graduation.
Are education loans compulsory in Singapore?
Nope, education loans are not compulsory in Singapore. If you or your family have the means to pay for your tuition fees and associated costs using savings, bursaries or tapping into the CPF Education Loan Scheme, you absolutely do not have to rely on an education loan.
Do education loans offer better interest rates than personal loans?
Not really, if you can obtain low-rate personal loans. Amongst the personal loan offerings from major banks in Singapore as of the time of writing, there are plenty of low-rate personal loans in the market currently for your consideration. However, their loan tenures may be shorter than those offered by traditional education loans in Singapore.