If you want to be at the top of your game, one of the best things you can do for yourself is to get a good education.
But let’s face it, paying for a university education – whether in Singapore or overseas – comes at a price.
For instance, a local degree will set you back by an amount between S$8,000 to S$26,000. That price tag will increase a whole lot more if you choose to study overseas.
So the question is: How can aspiring students straight out of junior colleges and polytechnics or working adults looking to upgrade themselves, further their education, without worrying about the cost.
Here’s the good news: You can do that without breaking the bank, if you get the right loan to fit your needs.
One option would be the FRANK Education Loan, which has flexible study loans and currently one of the best interest rates in the market, at just 4.5 per cent*. So feel free to chase your dreams without worrying about your family’s finances.
We checked out what the FRANK Education Loan is all about:
1. One loan to pay for it all
The FRANK Education Loan can be used to pay for your education both locally and overseas, such as in the US, UK, Australia and New Zealand.
Such is the case for Flora and Leonard, both 26 years old, who are taking a Masters of Counselling at UniSIM and reading law at University of Birmingham respectively.
Moreover, 20 percent of the total approved loan amount can go towards funding non-course fees, such as your textbooks and school hostels. These fees will need to be payable directly to your school.
2. It’s all about the flexibility
You can borrow up to 10x your monthly income or up to $150,000 - whichever is lower.
And since you can use this to pay for your overseas studies, the funds can also be disbursed in four major foreign currencies: USD, GBP, AUD and NZD.
Also, the 4.5 per cent interest rate is the same whether you are studying locally or internationally, so no worries there.
3. Never too young
You can take up this loan even if you’re just 17 years old. After you have carefully considered your decision, you can apply for the loan with any Singaporean or Singapore permanent resident 21 years old and above.
Only one joint applicant is allowed, so you can choose a joint applicant with a higher income to maximise your loan quantum.
4. Paying back is easy and flexible!
With the FRANK Education Loan, you can choose the repayment option that suits you best in order to manage your finances comfortably. Here are 3 options:
Standard: Pay your monthly instalments (with both the principal and interest) once you have disburse the loan. Flora, who is working full-time and studying part-time, decided to use this plan as her monthly instalment was within her means.
Graduated: Pay only the interest during your course of study. Your monthly instalments of the principal and interest will start after you graduate.
Graduated Plus: Pay only the interest during the course of your study till a year after you graduate. Your monthly instalments of the principal and interest will start after.
Leonard has chosen this option as it gives him extra flexibility when it comes to the payment plan."
As I am coming straight from university, my finances are pretty limited. Thus, a prolonged period of repayment allows me to come up with a better financial plan during the early years of my career,” he explained.
5. It’s simple!
Getting a loan shouldn’t be complicated.
When it comes to the FRANK Education Loan, just apply, wait for your approval letter then sign the disbursement form before your school fee payment is due.
Following which, you will receive the cashier’s order, which you can use to pay for your school fees.
Once done, just monitor how your loan is being repaid through online banking.
Easy, quick, fuss-free.
For both Flora and Leonard, the entire process was made even easier with the help of their FRANK Ambassadors.
Said Flora, “When I went to orchard gateway to enquire about the FRANK Education Loan, the FRANK Ambassador, Kemund Lin, was very helpful. He gave me a lot of advice, and within a week, I got my loan approved. I was worried about getting the disbursement, but he also helped to make a special arrangement for the collection of the cashier’s order.”
“It was one of my better experiences with banks and loans. I was surprised at how fast they processed everything!” she enthused.
Even with the necessary checks and documentations, Leonard was still impressed with how hassle-free and easy the whole application process for the FRANK Education Loan was.
“Coming from someone who has no prior experience with bank loans, I am amazed at how fast and simple the entire process is. It took less than 2 weeks for the loan amount to be disbursed.
Likewise, he credits the FRANK Ambassador who assisted him in ensuring the process went smoothly.
“Special mention has to be given to Kemund, a FRANK Ambassador located at orchardgateway. His advice and help rendered throughout the process proved to be of critical assistance. His knowledge of the product was comprehensive, his explanation extremely detailed and his service was impeccable. Such service with a "personal" touch is rare these days and I am grateful to have attained his guidance to this matter.”
6. Get perks while you study
Your loan is approved! What’s next?
You will receive a FRANK Visa Debit Card that is tagged to your loan servicing account, which you can use to withdraw cash both locally and overseas. Plus, enjoy great deals like rebates and discounts exclusive to FRANK cardmembers.
Apart from the card benefits, Leonard also appreciates the ease and convenience of the internet banking platform.
“FRANK, being an initiative of OCBC Bank, opens up another avenue of banking services for me. The ingenious initiative evokes freshness in every aspect of banking. The internet banking function allows me to transfer funds whenever, wherever at a rapid speed and more importantly, securely.“
Flora, attracted by the stylish designs of the FRANK debit and credit cards, is also a fan of the FRANK Account. The fact that there is no minimum balance for account holders below 26 years old is as an added plus.
She adds, “I like that my FRANK study loan is tied to my bank account. Another thing I find extremely useful is the savings goal feature in my FRANK Account. It helps me put aside a sum of money to save for my goals. This is money I know I can’t spend. So in a way it keeps me disciplined with my finances. It’s very convenient because you can do it online or through mobile banking.”
With the FRANK Education Loan, you can now focus on what matters. Achieving your education goals.
* Disclaimer: (EIR is 5.17% per year) to fund your studies in Singapore or overseas. Effective Interest Rate (EIR) is assumed on a 2-year course with repayment period of 8 years and Standard Repayment Method. The EIR comprises of 4.5% per year interest rate which is calculated on a monthly rest basis and 2.5% of processing fee of the approved loan amount that is applicable upon disbursement of loan.