College costs are not getting any cheaper!
As the city-state’s cost of living rises, you must secure your education. This is why various student loans have been offered by banks here in Singapore. However, how would know which student loan could fit you best?
Maybank Education Loan
Maybank offers an education loan both for local and overseas studies. This can give aspiring students the freedom to choose the education that can boost their career. However, you need to know if this is the best education loan to use.
Maybank Education Loan Eligibility
Maybank is offering its education loan for Singaporean and Permanent Residents who are at least 18 up to 65 years old. Meanwhile, guarantors have to be between 21 years old to 65 upon the maturity of the loan.
If you are a student working as a part-time employee earning at least S$18,000, you will need to have a guarantor. Your guarantor has to be earning a minimum S$30,000 for local studies and at least S$60,000 for overseas studies.
Facts about Maybank Education Loan
Maybank Education Loan Purpose
When applying for a loan, you need to find the one that fits your purpose. Maybank Education Loan is only for tuition fee settlement. It may not be used for any tuition fee reimbursement. If you have already paid your tuition fee, then you better find another loan.
What if the institution has refunded the tuition fee you have paid with the Maybank Education Loan? No matter what’s the reason for the refund, you will have to notify the bank about the refund. Any amount of the refund will be used to prepay the loan. As you see, no amount of the loan can be used for any other purpose.
Maybank Education Loan Repayment Schemes
- Interest Servicing Scheme
Pay the interest only in monthly installments for up to 36 months (“Interest Repayment Period”). Of course, the term will still be subject to the bank’s approval. If you use this scheme, you’ll just have to pay for the interest charge while you are still studying. The standard monthly installments will start once the Interest Repayment Period has expired.
- Partial Repayment Scheme
With the name itself, you can pay both the principal and interest in partial. The amount will depend on the bank’s discretion. You can lower installments while you are still at school. Then you can pay the remaining balance and interest in higher monthly installment amount.
- Standard Repayment Scheme
Pay your loan and interest charge on a monthly basis once your funds have been disbursed. You can create a budget plan ahead of time since you a fixed monthly installment.
Maybank Education Loan Application Process
Before you apply for the Maybank Education Loan, of course, you will need to know the process to save your time.
There are three ways to apply for the Maybank Education Loan. You can apply through SMS, online through Maybank’s website, and personally in one of its 22 branches across the city-state.
First, you have to prepare your acceptance letter from your school. This proves that you got accepted in the institution. Your institution’s acceptance letter must state the type and duration of your course
Aside from this, you also have to submit your duly accomplished application form, NRIC, income documents and your proof of relationship with your guarantor. Remember that your guarantor must be an immediate family member who is not currently a guarantor on another loan.
Wait for a loan approval letter from the Maybank. Submit the loan disbursement form. The Cashier’s Order(s) will be in the name of your institution as the sole purpose of this loan is to pay your tuition fees.
Fees to be Expected
For every request of funds which vary upon the loan tenure and agreement, you have to pay an administrative fee of S$200. Prepayment is also penalized.
Once you have accepted the Letter of Offer, you will be bound to pay a processing fee. If you opted to cancel, you need to pay a cancellation fee of 1%.
Alternative for Maybank Education Loan
As you can see, the purpose of the loan is not flexible. We all know that there are other things you have to spend on aside from the tuition fees. In case you’ll need a new laptop, or additional allowance for everyday needs, you’ll need to get another option.
Take the time to shop around to find the loan that best fits your needs.
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