PSEA holders can use the funds in their PSEA to repay four types of approved government education loans and financing schemes, namely the Tuition Fee Loan (TFL) Scheme, the Study Loan (SL) Scheme, the Overseas Student Programme (OSP) Loan Scheme, and the CPF Education Scheme.
The TFL, SL, and OSP loan schemes are currently offered to students studying in MOE-subsidised diploma and degree programmes in the Polytechnics and Autonomous Universities (AUs), while the CPF Education Scheme is open to students studying in full-time subsidised diploma and degree programmes at ITE, Polytechnics, AUs, and the Arts Institutions*.
PSEA cannot be used to repay other non-approved schemes not listed above. Click here for information on loan repayment.
*These Art institutions are the Nanyang Academy of Fine Arts and the LASALLE College of the Arts.
What are the fees and charges that are allowed under the PSEA usage for the repayment of Government Loan and Financing Schemes?
PSEA can be used to repay the principal loan amount, and any interest charged in respect of the loan or financing scheme that is payable by the PSEA account holder as part of the outstanding loan.
Can I use my PSEA to pay for my loans while I am still studying?
No, PSEA holders must have already left the institution, as students who are still studying in the institution can use their PSEA to pay for their current fees and charges.
What is the reason for expanding the usage of PSEA fund to allow repayment of Government Loan and Financing Schemes?
Some PSEA holders may have unutilised PSEA balances which they wish to use to repay the loans that they have taken during their studies, to help reduce their financial obligation. Hence, the use of PSEA is extended to allow for this.
I do not have sufficient funds in my PSEA. Can I use my siblings' PSEA to pay for loans taken by me?
No. you can only use your own PSEA funds to repay your loans.
Is there a minimum or maximum repayment amount for using PSEA?
For the Government education loans (i.e. Tuition Fee Loan, Study Loan, Overseas Student Programme Loan Schemes), the minimum repayment amount for each transaction is $100. Hence, the minimum withdrawal amount from PSEA to repay the outstanding government loan is $100 for each loan. However, if your PSEA balance or total outstanding loan amount per loan is less than $100, repayment of less than $100 using PSEA is allowed. For CPF Education Scheme, there is no minimum repayment amount required for each transaction. Hence, there is no minimum withdrawal amount stipulated for using PSEA to repay the CPF Education Loan.
For PSEA account holders who wish to use PSEA for loan repayments, they can opt to either fully utilise the PSEA balance to settle the outstanding loan amounts, or specify a specific amount to use for the loan repayment. The funds deducted from the PSEA will be considered as a partial capital repayment. The monthly instalment amount will continue to be deducted from your account in the month you have used PSEA to partially offset your outstanding loan, and the monthly instalment amount that the PSEA account holder has pre-established with the bank for the monthly loan repayment will also not change with the PSEA repayment.
How do I apply for the withdrawal of the PSEA for repayment of Government Loan and Financing Schemes?
Please go to the MOE PSEA website to download a copy of the Loan Repayment Application form.
How long will it take to process my PSEA withdrawal request and for the amount to be transferred to the loan administering agency (e.g. agent bank, institution, CPF Board)? Will interest continue to accrue during the processing period?
The completed and accurate loan application form should reach MOE by the 20th of the month for MOE to repay the loan administering agency in the following month.
If there are multiple loans to be repaid, MOE will effect the transfer of the PSEA balance for loan repayment in the order specified in the application form. The loans may also not be all paid in the same month. Interest will continue to accrue for your loan during this processing period, and until the loan is fully repaid.
Can I apply for PSEA fund to be used to cover the loan amounts which I had repaid earlier and get a reimbursement from the PSEA?
No. PSEA funds cannot be used for loans or amounts that had already been paid. PSEA account holder can only use their PSEA funds to pay for their outstanding loan amounts.
Yes, you can continue to contribute to your child's Post-Secondary Education Account (PSEA) and receive the government's matching grant up to the CDA contribution cap before your child turns 18 years of age through the following payment channels:
For all parents
For parents who are account holders of the respective banks indicated below only: