Living under a heavy burden of debt may be unpleasant and harmful to both your physical and mental health. Debt can develop for some causes, such as excessive spending, job loss, or unforeseen medical costs. Whatever the cause, having debt can seem like an overwhelming issue. But through their Debt Repayment Scheme, Credit Counselling Singapore (CCS) provides those who are drowning in debt with a way out. (DRS).

What is the Debt Repayment Scheme?

The Official Assignee is in charge of the pre-bankruptcy Debt Repayment Scheme (DRS). (OA). Debtor escapes bankruptcy and all of its constraints and social stigma when successfully placed on DRS. After agreeing to the terms of the DRS and making payments to repay creditors under a repayment plan for a maximum of five years, the debtor gets the chance to start over financially.

Eligibility for the Debt Repayment Scheme

The DRS is not open to applicants who are debtors. Instead, the DRS is only started when the debtor files for bankruptcy on their own or if the creditor files a bankruptcy application with the court and the entire amount of debt does not exceed $150,000. After that, the case will be forwarded to the OA, who will determine whether the debtor is qualified and appropriate for the DRS.

To be eligible, the debtor must fulfill all of the following criteria

  • Total liabilities do not exceed $150,000
  • Gainfully employed and earning a regular income
  • Not filed for bankruptcy or placed on the DRS within the last five years
  • Have not been subject to a court-based arrangement in the last 5 years

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Benefits of the Debt Repayment Scheme

The Debt Repayment Scheme offers a variety of benefits to debtors, including:

  • Avoiding bankruptcy and its restrictions
  • Avoiding the social stigma of bankruptcy
  • The opportunity to start anew financially
  • The ability to repay debts over a maximum period of 5 years
  • Protection from creditors taking legal action during the repayment period

Credit Counselling Singapore also offers other debt management services such as self-administration, lump-sum settlements with discounts, debt consolidation plans, and business debt restructuring. It is important to seek professional help and advice when dealing with debt to ensure that the best possible outcome is achieved.


The Debt Repayment Scheme is an excellent solution for Singaporeans struggling with debt. It offers a fresh start financially, protection from creditors, and a repayment plan that can be managed over a maximum period of 5 years. However, it is important to note that debtors must meet eligibility criteria to be considered for the scheme. If you are struggling with debt, it is advisable to seek the advice of a financial counselor or seek assistance from Credit Counselling Singapore.