Extended Support Scheme For Reno Loan Customers
Continuous support for homeowners through COVID-19
Apply to extend your renovation loan tenor by three years.
Frequently asked questions
|Am I eligible for the Extended Support Scheme (ESS)?||
You are eligible if you have lost employment or if your monthly income has decreased by 25% after 1 February 2020. Before submitting an ESS application, you cannot have missed more than three months of payment.
We reserve the right to review each application on a case-by-case basis.
|For how long can I extend my loan tenor?||
If you have previously enrolled in the Renovation Loan Payment Deferment Scheme and received a loan tenor extension for your deferment period, your loan tenor extension under the ESS will be:
Loan tenor extension under ESS = 36 months - the period of loan tenor extension under the Renovation Loan Payment Deferment Scheme
If you have not enrolled in the Renovation Loan Payment Deferment Scheme, or you have but did not apply for a loan tenor extension, your loan tenor extension under the ESS will be three years.
|What will happen to my instalment after I enrol in the ESS?||
As your outstanding loan amount is paid over the remaining extended loan tenor, the monthly instalment after enrolment in the ESS will be lower than your current monthly instalment. However, the total interest paid over the extended loan tenor will be more than if the loan tenor had not been extended.
|How will I know what the revised monthly instalment is?||
We will advise you on the revised amount.
|When will I resume my monthly instalment payment under the ESS?||
You will resume payment for your renovation loan from January 2021 if you have previously enrolled in the Renovation Loan Payment Deferment Scheme. The ESS is not a payment deferment scheme. Borrowers must continue to service their renovation loan in a timely manner.
|How will interest be calculated?||
Interest will be calculated based on the interest rate applied when the renovation loan was first granted. Based on the loan tenor extension period, interest will be calculated accordingly based on a monthly rest rate computation. The total interest paid over the extended loan tenor will be more than if the loan tenor had not been extended.
|When do I need to submit my application?||
Applications received by the 20th of each month will come into effect the following month.
Opting into the scheme will result in higher interest charged. Interest is charged on the principal loan amount, based on the interest rate applied when the renovation loan was approved.