Last Updated: 04 Dec 2024
Liquidated damages
You need to pay for the liquidated damages if there are changes to your course status or if you decide to buy out your bond.
Changes in course status
Withdraw or terminated from a course
- You will be liable for liquidated damages.
- The amount liquidated damages is calculated based on the total grant amount you have received, plus 10% interest per year, compounded at the end of each academic year, including GST.
- Payment should be made in one lump sum through electronic fund transfer.
- If you do not pay the liquidated damages within 1 month after receiving the Letter of Demand, you will not be eligible to receive Service Obligation grant for your new course of study.
- There may also be implications on your future application to work or stay in Singapore.
- You are strongly advised to consider the implications before withdrawing from your course.
Continue the remaining course without Service Obligation grant
- You will be liable for liquidated damages.
- The amount liquidated damages is calculated based on the total grant amount you have received, plus 10% interest per year, compounded at the end of each academic year, including GST.
- Payment should be made in one lump sum through electronic fund transfer.
- If you do not pay the liquidated damages within 1 month after receiving the Letter of Demand, you will not be eligible to receive Service Obligation grant for your new course of study.
- There may also be implications on your future application to work or stay in Singapore.
- You are strongly advised to consider the implications before withdrawing from your course.
Change of course
Same institution
You do not need to pay liquidated damages if you meet both requirements:- Successfully enrolled into another course of the same level, within the same or following semester.
- Took up Service Obligation grant in your new course.
- If you do not take up Service Obligation grant in your new course, you will still be liable for liquidated damages.
- The amount is calculated based on the total grant amount you have received, plus 10% interest per year, compounded at the end of each academic year, including GST.
Different institution
- You need to show the proof of your enrolment and take up Service Obligation grant in your new course to avoid paying liquidated damages. Do check with the institution on your Service Obligation grant eligibility.
- If you do not take up Service Obligation grant in your new course, you will still be liable for liquidated damages.
- The amount is calculated based on the total grant amount you have received, plus 10% interest per year, compounded at the end of each academic year, including GST.
Bond buy-out
Buy out bond while studying
- You will be liable for liquidated damages after you have submitted a bond buy-out request through the TG&S portal.
- The amount is calculated based on the total grant amount you have received, plus 10% interest per year, compounded at the end of each academic year, including GST.
- Payment should be made in one lump sum through electronic fund transfer.
- After your bond buy-out, you will pay full fees for the remainder of your course.
Buy out bond while employed
- To initiate a bond buy-out, submit your request via the TG&S portal under "Programs – Application for Bond Buy-out".
- When you submit a bond buy-out request, you will be liable for liquidated damages. Payment should be made in one lump sum through electronic fund transfer.
- Update your employment status promptly and completely, including all supporting documents, through the TG&S portal under "Programs – Employment Updates". This ensures accurate calculation of liquidated damages due.