RatedR SG like in university, or too clever use scholarship or what other schemes u use if you not the rich type of person
RatedR SG really my relative use bank loan, when u end sch and start work, u must pay back the back. its interest free
FireIce SG http://mycpf.cpf.gov.sg/Members/Gen-Info/FAQ/Education/EDN.htm after grad must repay over max 12 years
Gasfene SG its interest free only if you pay back immediately after graduation...if not, interest rate will come in.
FireIce SG the interest is the prevailing CPF interest ur lao peh let u use the money, cannot earn the interest inside, it's natural u have to pay back monthly deduction from ur bank account back into the CPF acct
Spartans SG But the problem is not every parent has sufficient CPF fund left for their children to use for tertiary education. Hence no choice have to take bank loan.
Gasfene SG Here's an example: education per year: 6k total no of years you studied: 3years total: 6k * 3 = 18k Interest rate of about 5% per annum applies immediately after you graduate. Interest is counted every month so 5% per annum translate to (5/12)% per month. Interest for the 1st month: 18k * 5/12* 1/100 = $75
Gasfene SG CPF also needs to pay interest. And the interest starts straight away after borrowing the money. The interest rate is lower but the interests have already started counting once you borrow.
