Commencement of Higher Education Student Loan Repayments

Assoc Prof Jamus Jerome Lim asked the Minister for Education whether repayments for the Ministry's Higher Education Student Loan must commence within a year upon graduation or if repayments can wait until after graduates secure employment.

The Ministry of Education's (MOE's) Higher Education Student Loan (HESL) is interest-free during the course of study, with interest commencing only upon the student's graduation or leaving the institution.

Students who take up the HESL have up to one year after graduation to commence loan repayment after graduation. This allows time for graduates to find employment and make financial plans to commence their loan repayment. For those facing difficulty in repaying their loans after this one-year period, they can make a request to defer the loan repayment. MOE will assess the appeals on a case-by-case basis, taking into account the circumstances of each appeal, and continue to exercise flexibility for these borrowers.