Education Loan for Singapore
Education Loan For Singapore to Study in 2025
With a significant rise in Indian students choosing Singapore for higher studies, the demand for financial assistance has grown. While studying in Singapore is more affordable than in the USA, UK, or Canada, education loans remain a key funding option. Whether you need a loan without collateral, higher loan amounts, or lower interest rates, choosing the right option is crucial. This guide explores the best education loans for studying in Singapore and financial strategies to help you make an informed decision.
Cost to Study in Singapore
Before exploring student loan options, it’s essential to understand the expenses involved in studying in Singapore. The total cost includes tuition fees and living expenses. Tuition fees for various academic programs are detailed in the table below.
| Program | Tuition Fees per year |
|---|---|
| Bachelor’s Degree | SGD 25,000 - SGD 35,000 |
| Master’s Degree | SGD 30,000 - SGD 45,000 |
| MBA | SGD 45,000 - SGD 55,000 |
Cost to Living in Singapore
The next component in the cost of studying in Singapore is the cost of living. An overview of monthly expenses that you may have to bear is mentioned in the table below –
| Expense | Cost (Monthly) |
|---|---|
| Accommodation | SGD 1000 - SGD 2000 |
| Food | SGD 150 - SGD 170 |
| Transportation | SGD 80 - SGD 120 |
| Utilities | SGD 90 - SGD 120 |
| Miscellaneous | SGD 150 - SGD 200 |
Best Banks and NBFCs Offering Education Loan in Singapore
Students can secure education loans from public and private banks, NBFCs, and international lenders offering competitive options. Below is a list of top lenders with a comparison of their loan terms.
| Lender Name | Maximum Loan Amount (in INR) | Rate of Interest | Margin Money |
|---|---|---|---|
| SBI | Up to 1.5 Cr |
Female - 9.65%
Male - 10.15% |
10% |
| UBI | Up to 1.5 Cr | 9.25% - 9.75% |
10% for the listed university
15% for non-listed university |
| Axis Bank | Up to 50 Lakhs INR | 11% - 13.50% | 5% |
| ICICI Bank | Up to 50 Lakhs INR | 10.85% - 12.50% | 0 - 15% |
| IDFC FIRST Bank | Up to 35 Lakhs INR | 11.75% - 13.25% | Nil |
| HDFC Credila | Up to 20 Lakhs INR (Only STEM Courses) | 12% - 13% | Nil |
| Auxilo | Up to 40 Lakhs INR | 12.50% - 13.50% | Nil |
| Avanse | Up to 20 Lakhs INR (Only STEM Courses) | 10.50% - 13.5% | Nil |
| MPOWER | Up to 100,000 USD | Starting at 9.99% | Nil |
Eligibility Criteria Education Loan for Singapore
Understanding the eligibility criteria for education loan for Singapore is vital for students to ensure they meet all the requirements. While each lender has its own set of eligibility criteria, here’s a general outline –
Here are some of them:
Indian citizen, 18+ years old
Enrolled in a full-time program at a recognized university
English proficiency test required
Co-applicant with good credit for unsecured loans
Collateral required for secured loans
Documents Required for Education Loan for Singapore
To secure an education loan for Singapore, you will be required to provide a specific set of documents.
University acceptance letter
Completed loan application form
Study expense details
Identity and residence proof
PAN details
Bank and asset statements (for guarantor/co-borrower/student)
Proof of income (for guarantor/co-borrower/student)
Choosing the Best Lender for Education Loan for Singapore
With numerous options available, choosing the best lender can be challenging. To simplify the process, consider key factors that will help you compare and identify the lender that best meets your needs.
Consider these factors when selecting a lender:
Interest rate
Processing fee & time
Margin money
Moratorium period
Tax benefits
Loan duration
Covered expenses
Prepayment terms
In addition to these variables for comparing lenders, here are some additional points to consider before finalizing your lender:
Secured loans offer higher amounts and lower interest rates, covering most expenses.
Unsecured loans are easier to apply for, with private banks like Axis Bank and ICICI Bank offering favorable terms.
Why Study in Singapore?
Singapore has emerged as a leading study-abroad destination, attracting thousands of international students each year. Here are some reasons that can help answer the question, “Why study in Singapore?”
Top-Ranked Universities: Home to NUS and NTU, ranked among the world’s top 20.
Affordable Education: Lower tuition fees and living costs than the USA, UK, and Canada.
Strong Job Market: Global business hub with career opportunities in finance, tech, and healthcare.
Safe Environment: Ranked 9th safest country globally (Global Peace Index 2022).
Financial Support: Offers scholarships, tuition grants, and education loans.
No Language Barrier: English is widely spoken alongside Malay, Mandarin, and Tamil.
Application Process to Secure Education Loan for Singapore
Securing an education loan for Singapore is simple but managing multiple lenders can be challenging.
Here’s a streamlined process:
Check Eligibility
Get Expert Assistance
Prepare Documents
Submit Application
Verification & Approval
Loan Disbursement
Common Challenges and Ways to Overcome Them
Obtaining a study loan for Singapore can be challenging due to factors like low credit scores, incomplete documents, or co-applicant income issues. Here’s how to overcome them:
Loan Rejection Reasons & Solutions:
Low Credit Score: Improve credit history or apply with a financially strong co-applicant.
High Debt-to-Income Ratio: Minimize existing liabilities before applying.
Insufficient Collateral: Opt for lenders offering unsecured loans.
Incomplete Documentation: Submit all required documents accurately and on time.
Managing High Interest Rates & Repayment Issues:
Choose lenders with lower interest rates (e.g., public sector banks starting at 9% p.a.).
Opt for flexible repayment plans, such as step-up EMIs that increase with income growth.
Claim tax deductions on interest paid under Section 80E of the Income Tax Act.
With the rising popularity of Singapore as a study destination, securing the right loan is crucial. Check your eligibility, find the best lender, and ensure a smooth financial journey for your education abroad.
Frequently Asked Questions
Public sector banks like SBI and UBI offer lower interest rates and higher loan amounts, making them the preferred choice. If they don’t approve your loan, consider private banks like Axis, ICICI, IDFC, or NBFCs such as HDFC Credila, Avanse, and others.
Applicants must be Indian citizens, 18+ years old, and enrolled in a full-time program at a recognized university. English proficiency is required. Unsecured loans need a strong financial co-applicant, while secured loans require collateral matching or exceeding the loan amount.
IELTS is not always mandatory. Many universities accept TOEFL, PTE, or their own assessments. However, some institutions and courses may require IELTS, especially for non-English-speaking students.
Loan amounts vary by lender, but eligible students can secure up to 100% of tuition fees and living expenses, depending on collateral and financial profile.
Education Loan For Singapore to Study in 2025
With a significant rise in Indian students choosing Singapore for higher studies, the demand for financial assistance has grown. While studying in Singapore is more affordable than in the USA, UK, or Canada, education loans remain a key funding option. Whether you need a loan without collateral, higher loan amounts, or lower interest rates, choosing the right option is crucial. This guide explores the best education loans for studying in Singapore and financial strategies to help you make an informed decision.
-
Cost to Study in Singapore
Before exploring student loan options, it’s essential to understand the expenses involved in studying in Singapore. The total cost includes tuition fees and living expenses. Tuition fees for various academic programs are detailed in the table below.
| Program | Tuition Fees per year |
|---|---|
| Bachelor’s Degree | SGD 25,000 - SGD 35,000 |
| Master’s Degree | SGD 30,000 - SGD 45,000 |
| MBA | SGD 45,000 - SGD 55,000 |
Cost to Living in Singapore
The next component in the cost of studying in Singapore is the cost of living. An overview of monthly expenses that you may have to bear is mentioned in the table below –
| Expense | Cost (Monthly) |
|---|---|
| Accommodation | SGD 1000 - SGD 2000 |
| Food | SGD 150 - SGD 170 |
| Transportation | SGD 80 - SGD 120 |
| Utilities | SGD 90 - SGD 120 |
| Miscellaneous | SGD 150 - SGD 200 |
Best Banks and NBFCs Offering Education Loan in Singapore
Students can secure education loans from public and private banks, NBFCs, and international lenders offering competitive options. Below is a list of top lenders with a comparison of their loan terms.
| Lender Name | Maximum Loan Amount (in INR) | Rate of Interest | Margin Money |
|---|---|---|---|
| SBI | Up to 1.5 Cr |
Female - 9.65%
Male - 10.15% |
10% |
| UBI | Up to 1.5 Cr | 9.25% - 9.75% |
10% for the listed university
15% for non-listed university |
| Axis Bank | Up to 50 Lakhs INR | 11% - 13.50% | 5% |
| ICICI Bank | Up to 50 Lakhs INR | 10.85% - 12.50% | 0 - 15% |
| IDFC FIRST Bank | Up to 35 Lakhs INR | 11.75% - 13.25% | Nil |
| HDFC Credila | Up to 20 Lakhs INR (Only STEM Courses) | 12% - 13% | Nil |
| Auxilo | Up to 40 Lakhs INR | 12.50% - 13.50% | Nil |
| Avanse | Up to 20 Lakhs INR (Only STEM Courses) | 10.50% - 13.5% | Nil |
| MPOWER | Up to 100,000 USD | Starting at 9.99% | Nil |
Eligibility Criteria Education Loan for Singapore
Understanding the eligibility criteria for education loan for Singapore is vital for students to ensure they meet all the requirements. While each lender has its own set of eligibility criteria, here’s a general outline –
- Indian citizen, 18+ years old
- Enrolled in a full-time program at a recognized university
- English proficiency test required
- Co-applicant with good credit for unsecured loans
- Collateral required for secured loans
Documents Required for Education Loan for Singapore
To secure an education loan for Singapore, you will be required to provide a specific set of documents.
- University acceptance letter
- Completed loan application form
- Study expense details
- Identity and residence proof
- PAN details
- Bank and asset statements (for guarantor/co-borrower/student)
- Proof of income (for guarantor/co-borrower/student)
Choosing the Best Lender for Education Loan for Singapore
With numerous options available, choosing the best lender can be challenging. To simplify the process, consider key factors that will help you compare and identify the lender that best meets your needs.
Consider these factors when selecting a lender:
- Interest rate
- Processing fee & time
- Margin money
- Moratorium period
- Tax benefits
- Loan duration
- Covered expenses
- Prepayment terms
In addition to these variables for comparing lenders, here are some additional points to consider before finalizing your lender:
- Secured loans offer higher amounts and lower interest rates, covering most expenses.
- Unsecured loans are easier to apply for, with private banks like Axis Bank and ICICI Bank offering favorable terms.
Why Study in Singapore?
Singapore has emerged as a leading study-abroad destination, attracting thousands of international students each year. Here are some reasons that can help answer the question, “Why study in Singapore?”
- Top-Ranked Universities: Home to NUS and NTU, ranked among the world’s top 20.
- Affordable Education: Lower tuition fees and living costs than the USA, UK, and Canada.
- Strong Job Market: Global business hub with career opportunities in finance, tech, and healthcare.
- Safe Environment: Ranked 9th safest country globally (Global Peace Index 2022).
- Financial Support: Offers scholarships, tuition grants, and education loans.
- No Language Barrier: English is widely spoken alongside Malay, Mandarin, and Tamil.
Application Process to Secure Education Loan for Singapore
Securing an education loan for Singapore is simple but managing multiple lenders can be challenging.
Here’s a streamlined process:
- Check Eligibility
- Get Expert Assistance
- Prepare Documents
- Submit Application
- Verification & Approval
- Loan Disbursement
Common Challenges and Ways to Overcome Them
Obtaining a study loan for Singapore can be challenging due to factors like low credit scores, incomplete documents, or co-applicant income issues. Here’s how to overcome them:
Loan Rejection Reasons & Solutions:
- Low Credit Score: Improve credit history or apply with a financially strong co-applicant.
- High Debt-to-Income Ratio: Minimize existing liabilities before applying.
- Insufficient Collateral: Opt for lenders offering unsecured loans.
- Incomplete Documentation: Submit all required documents accurately and on time.
Managing High Interest Rates & Repayment Issues:
- Choose lenders with lower interest rates (e.g., public sector banks starting at 9% p.a.).
- Opt for flexible repayment plans, such as step-up EMIs that increase with income growth.
- Claim tax deductions on interest paid under Section 80E of the Income Tax Act.
With the rising popularity of Singapore as a study destination, securing the right loan is crucial. Check your eligibility, find the best lender, and ensure a smooth financial journey for your education abroad.
Frequently Asked Questions
Public sector banks like SBI and UBI offer lower interest rates and higher loan amounts, making them the preferred choice. If they don’t approve your loan, consider private banks like Axis, ICICI, IDFC, or NBFCs such as HDFC Credila, Avanse, and others.
Applicants must be Indian citizens, 18+ years old, and enrolled in a full-time program at a recognized university. English proficiency is required. Unsecured loans need a strong financial co-applicant, while secured loans require collateral matching or exceeding the loan amount.
IELTS is not always mandatory. Many universities accept TOEFL, PTE, or their own assessments. However, some institutions and courses may require IELTS, especially for non-English-speaking students.
Loan amounts vary by lender, but eligible students can secure up to 100% of tuition fees and living expenses, depending on collateral and financial profile.
Education Loan for USA
In order to apply for i20 you need to furnish bank balance proof of the last 24 hours / 1 day. However, if you have an Education Loan sanction letter, you do not show this balance for 24 hours.
Hence you can straight away apply for i20 & speed up the VISA process. Both – Secured & Unsecured – loans are accepted for higher studies in the USA.
Pursue Your Dream Degree in USA
The USA is a top study destination for international students, offering prestigious universities and a wealth of opportunities. In the 2021/2022 academic year, over 199,000 Indian students chose the USA for higher education, reflecting its immense popularity.
One key reason for this preference is the global career prospects available after earning a degree. Tuition fees vary across programs, with international graduate students paying an average of USD 39,000 annually. Education loans are an ideal solution to cover tuition, living costs, and other expenses. Moreover, these loans also serve as valid proof of funds for US student visas, simplifying the application process.
Education Loan Eligibility for USA
To obtain an abroad education loan in USA as an international student, there are specific conditions/eligibility criteria that need to be fulfilled.
These consist of:
Good academic record.
Collateral for secured loans.
Co-applicant with sufficient income for unsecured loans.
Acceptance into a recognized American institution for a full-time program.
Documents Required for Education Loan USA
Apart from meeting the eligibility criteria, students must ensure they have all the necessary documents ready before applying for an education loan to study in the USA. The document checklist can be extensive, but a personalized checklist can help streamline the process and speed up submission.
Commonly required documents for securing a study abroad loan for the USA include:
Loan application form
Passport-size photographs
KYC documents of the applicant
Standardized test scores (GMAT or GRE)
Academic transcripts (School and Bachelor’s)
Frequently Asked Questions
Candidates can get a UBI education loan without an account, even if parents are deceased, with simple EMI calculations and no prepayment fees.
To secure an education loan for the USA, you need an acceptance letter from a U.S. institution and a valid student visa. Most lenders require a cosigner who is a U.S. permanent resident with good credit and at least two years of residency.
Interest rates are based on benchmarks like the Prime Rate or SOFR, plus a margin determined by the borrower’s or cosigner’s creditworthiness.
Repayment options include full deferral, interest-only payments during studies, or immediate repayment. Terms typically range from 10 to 15 years.
Yes, unsecured loans are available and rely on creditworthiness. These may require a cosigner or a third-party guarantor.
Loans in the USA have interest rates between 8% and 19%, while home country loans often have rates around 10.25%, potentially making them a more cost-effective option.
Frequently Asked Questions
Candidates can get a Canada education loan without an account, even if parents are deceased, with simple EMI calculations and no prepayment fees.
To secure an education loan for the USA, you need an acceptance letter from a U.S. institution and a valid student visa. Most lenders require a cosigner who is a U.S. permanent resident with good credit and at least two years of residency.
Interest rates are based on benchmarks like the Prime Rate or SOFR, plus a margin determined by the borrower’s or cosigner’s creditworthiness.
Repayment options include full deferral, interest-only payments during studies, or immediate repayment. Terms typically range from 10 to 15 years.
Yes, unsecured loans are available and rely on creditworthiness. These may require a cosigner or a third-party guarantor.
Loans in the USA have interest rates between 8% and 19%, while home country loans often have rates around 10.25%, potentially making them a more cost-effective option.