Terms and conditions for deferral of education loan repayment

1. Under the CPF Education Loan Scheme, a student is required to repay the CPF savings withdrawn including the interest that would have been accrued if the withdrawal has not been made, 1 year after the graduation date or date of leaving institution, whichever is earlier.


2. The maximum repayment period is 12 years. Interest will continue to accrue monthly and be compounded annually at the prevailing CPF interest rate until the loan is fully repaid. Hence students are advised to repay the loan as early as they can.


3. A student may apply to the CPF Board to defer the repayment of CPF savings withdrawn for the following reasons:
   • Serving full-time National Service (NS); or
   • Studying full-time; or
   • Currently unemployed.


4. For deferment under unemployment, it is the student's responsibility to inform the CPF Board once he/she is gainfully employed and to commence repayment of the loan.


5. By applying for deferment, the student authorizes the CPF Board to obtain documents and/or information for verification purposes from the student and/or any relevant parties or authorities as it deems fit.


6. A request for deferment is granted on the basis that the student has obtained consent from the member/(s) to defer the repayment of the member/(s) CPF savings withdrawn by the student/(s).


7. The maximum deferment period that can be granted is as shown in the table. However, the CPF Board reserves the right to vary the deferment period or reject a deferment application as it deems fit.
   

   ​Deferment reason	Deferment period​
   Serving National Service	Up to 3 months after ORD date
   ​Studying Full-Time	​Period of the course of study, subject to a maximum of 3 years
   ​Currently unemployed	1 year ​



8. The CPF Board will inform both the student and the member by post once the deferment request is approved. The member has a right to revoke the deferment granted within 14 days of receiving the CPF Board's notification. Upon receipt of the member's instruction to revoke the deferment, the CPF Board will nullify the deferment granted and the student will have to commence repayment.


9. The maximum 12 years repayment period will be reduced by the period of deferment granted by the CPF Board accordingly.


10. The student will be notified by post on the commencement date for repayment, 3 months before the deferment period expires. Repayments must be made in cash. CPF savings cannot be used for repayment.


11. The Board reserves the right to take legal action against students who failed to make repayments after the permitted deferment period has expired. The legal fees incurred will be borne solely by the students in cash. CPF savings cannot be used for the legal fees incurred.


12. Under Section 58(a) of the CPF Act, it is an offence if any person for any purpose connected with the CPF Act:-
    1. knowingly makes any false statement; or
    2. produces or furnishes or causes or knowingly allows to be produced or
    3. furnished any document which he/she knows to be false in a material particular.

NOTES:

1. A student refers to the person who has drawn the CPF savings for education under the approved institution.
2. A CPF member refers to the person whose CPF savings have been used to pay for the student's education.
3. The CPF Account number generally refers to the NRIC number of Singaporeans and Permanent Residents.