Why Trust MoneySmart?Students in Singapore can fund their tertiary education through 3 key types of financing: government-backed loans, the CPF Education Scheme, and private bank loans. The best choice for you depends on your financial situation, eligibility, and whether you’re enrolling in a polytechnic or university.
Government-backed loans
MOE Tuition Fee Loan (TFL): Managed by DBS and OCBC, this loan is for approved diploma and undergraduate courses at local polytechnics or universities. For Singaporeans, it covers up to 90% of subsidised tuition fees. Interest starts only after graduation, pegged to the 3-month SORA plus 1.5%. Repayment is up to 20 years for university or 10 years for polytechnic, with minimum monthly payments of S$100. A guarantor is required.
MOE Study Loan (SL): This loan tops up funding gaps after TFL/CPF/other bursaries for Singaporeans and PRs in financial need. It can cover the remaining 10%–20% of subsidised fees plus a living allowance of up to S$3,600 per academic year. The loan is interest-free for those with a household per capita income (PCI) of S$950 or less; interest begins after graduation for others. Eligibility is based on PCI.
Further reading 📖 |
We have compiled a comprehensive guide on this topic! If you are looking for more information on the different forms of education loans, read our guide on Tuition Fee Loan vs Bank Education Loan vs CPF. |
CPF Education Scheme
Students may use their own, parents’, or spouse’s CPF Ordinary Account (OA) savings to pay subsidised tuition for approved full-time diploma or degree courses.
Coverage: Pays up to 100% of subsidised tuition (limited to 40% of accumulated OA, and must not exceed the tuition fee).
Interest: Follows the CPF OA rate (currently about 2.5% p.a.), accruing from date of withdrawal.
Repayment: Must be made in cash back into the OA; repayment starts one year after graduation, with up to 12 years to repay.
Eligibility: Singapore Citizens and PRs enrolled in approved courses.
Private bank loans
Major banks—including DBS, OCBC, and Maybank—offer education loans for both local and overseas study.
Coverage: Can finance up to 100% of tuition, with some products also covering living expenses.
Pricing: Usually higher interest rates than government loans, with fixed or variable rate options.
Repayment: Varies—some allow interest-only payments while you’re studying; others require full instalment repayment.
Eligibility: Typically requires a minimum income and a guarantor; stricter terms may apply for international students.
💡 MoneySmart Tip |
Use trusted online comparison tools like MoneySmart's personal loan comparison to review personalised rates, eligibility, and requirements across major banks in Singapore—helping you make a more informed choice quickly. |
Other financial assistance options
Mendaki Tertiary Tuition Fee Subsidy (TTFS): Non-repayable subsidy for Malay/Muslim Singaporean citizens, for families with household PCI ≤ S$2,000.
Bursaries and scholarships: Available from the Ministry of Education, your university, or external organisations, reducing the amount you may need to borrow.
