XPAT10728 wrote:Hiya,
I have two doubts about the effect of service obligation scheme.
1) What will happen if the person whom I had stood as guarantor for the SO scheme leaves SG permanently without paying the fine? Will I be prosecuted and blacklisted by the credit authorities in such a situation?
2) What happens if my guarantor for the service obligation scheme moves out SG? WiIll I be asked to produce another surety in such a case?
Thanks...
Hi,
Seen both. Been none, so not first hand experience. I know only of the loan taken in places like NTU, NUS by foreigners who come here and promise to serve 3 years on graduation ( for masters) and 6, I think for UG.
1. The person has to take you to ICA and get it signed off. There is a process in place at MOE/ICA. The student has to give a valid reason for leaving Singapore. In the case I know, he couldn't get a stable job for 6 months after graduation. He got an internship of sorts at a local firm, but they didn't have S Pass quota. MOE asked for rejection letters and proof that has indeed tried to secure. He asked a professor to testify ( he did try for several openings)and the firm he worked for to provide a letter that they cant issue a quota. He wrote a letter asking for lieu of the obligation and that he will refund the money as possible within the term ( its 20 years!). There is no 'fine'. He needs to refund the loan due plus agreed interest. All details are on the service obligation document. He is now back in India and is repaying via DBS in India. The loan amount was close to 10K, I think.In this case, the guarantor signed a document to relieve himself off it. This is the right way to do it.
If you have signed for someone and the person 'simply' disappears, I have no idea!
2. Yes or No. It depends on several aspects - if you have a job and are repaying already, the $$ left on your loan etc. A friend had a 12K loan and the guarantor left to US. They visited ICA/MOE ( am not sure which one) and explained. The remaining amount was less than 6K and she had a stable job with a bank here with a valid EP. So, MOE 'didn't' need a new guarantor, but needed a sign off from her employer. She had asked some of us if we can sign up though, but there was no need.
