The Fee Protection Scheme (FPS) serves to protect students’ fees in the event a private education institution is unable to continue operating due to insolvency, and/or regulatory closure. The Fee Protection Scheme also protects students if the private education institution fails to pay penalties or return fees to the students arising from judgement made against it by the Singapore courts.
EduTrust-certified private education institutions are required to adopt the Fee Protection Scheme to provide full protection to all fees paid by their students. All fees refer to all monies paid by the students to be enrolled in a private education institution, excluding the course application fee, agent commission fee (if applicable), miscellaneous fees (non-compulsory and non-standard fee paid only when necessary or where applicable, for example, the re-exam fee or charges for credit card payment etc,) and GST.
Private education institutions can choose to adopt either the escrow scheme, insurance scheme, or a combination of both to provide fee protection to all their students.
i. Fee Protection under the Escrow Scheme:
Under the escrow scheme, private education institutions are strictly not allowed to to collect any money from their students. Instead, the students are to deposit all their fees into the escrow bank account which their private school has opened with any one of the Council for Private Education-appointed banks. Funds in the account are disbursed to the private education institution on a regular basis only if specific conditions are met.
The Council for Private Education-appointed banks include the:
- Development Bank of Singapore (DBS);
- Hongkong and Shanghai Banking Corporation (HSBC); and
- Standard Chartered Bank (SCB).
Uptrend College has appointed HSBC Limited to be the FPS Escrow Scheme provider for our students.
HSBC Fee Protection Escrow (FPS)
ii. Fee Protection under the Insurance Scheme:
Under the fee insurance scheme, private education institutions will purchase insurance protection from any one of the Council for Private Education-appointed insurance companies for every one of their students to protect their fees.
EduTrust-certified private education institution are allowed to collect fees of up to a maximum of 12 months (6 months for non EduTrust-certified private education institution) of the student's course duration
The Council for Private Education-appointed insurance companies are Hongkong and Shanghai Banking Corporation (HSBC) Insurance Singapore and Lonpac Insurance Bhd.
HSBC Fee Protection Insurance (FPS)
For full and detailed information on the fee protection scheme, please visit CPE's FPS webpage
