Originally posted by askxyz:
Hi,
how much do you all need to repay for your university fees under CPF education scheme? I am talking about those engineering courses.
And is paying by bank or CPF better?
Advise please.
Thanks.
Originally posted by eagle:
I taking EE 4 yrs course...
1 year about 6k (rounded up)... So 4 yrs will be 24k lor...
For CPF scheme, you will be drawing the money from your parents CPF. You can pay your full tuition fee via this scheme. I don't think you can take 100% study loan from bank. As I left Uni more than 5 years ago, not very sure of any recent changes.
For CPF scheme, the payment is not as simple as eagle describe. It depends on 3 factors. The prevailing CPF interest rate (currently 2.5%) and the numbers of years you want to take to repay the loan and of course the tuition fee. The calculation is quite complex as you need to count the interest from the time the money is draw till repayment. You are effectively taking a loan from your parent and you need to repay the potential interest lost because of the loan from your parent's CPF. I believe there is a reference table based on the degree taken and the number of years you wish to repay the loan. You can check with your Uni or CPF Board. When your parent had turned 55 and after he/she had topped up his/her minimum sum scheme, your parent can apply for waiver from further payment by you to their CPF account. In this case, you can pay them back directly in cash or ..................whatever arrangement you want to make with your parent.
Just as an example, I was in the 4 year Eng course and I chose the 8 years repayment cycle and every month, I had to repay about $300+(forgotten the exact figure) to my parents CPF account. You must note that my tuition fee then is lower.
As for Bank Study loan, you have to ask someone else.
Hope this will help you.
Ciao,
BabeRex