What is the ESS-S Relief Package?
Customer may apply to defer 80% of principal repayment of their SMEs secured loans and loans under the Enterprise Singapore. Under the ESS-S, borrowers are to pay monthly instalments comprising the remaining 20% principal and the full monthly interest of the loan.
The duration of the deferment of 80% of principal repayment depends on the sector in which your SME operates in, and when you apply. The tiering of sectors is aligned with the Jobs Support Scheme (JSS) administered by IRAS.
- Tier 1 and Tier 2 JSS Support Sectors:
Aviation and Aerospace, Tourism, Hospitality, Conventions and Exhibitions, Built Environment, Licensed food shops and food stalls (including hawker stalls), Qualifying retail outlets, Arts and Entertainment, Land Transport, Marine and Offshore.
- Tier 3A and 3B JSS Support Sectors:
All other Sectors not in Tier 1 and Tier 2
For details of JSS tiers, please refer to https://go.gov.sg/jss.
SMEs in Tier 1 and 2 Sectors can apply deferment of 80% of principal repayment from 1 Jan 2021 till 30 Jun 2021.
SMSs in Tier 3A and 3B Sectors can apply deferment of 80% of principal repayment from 1 Jan 2021 to 31 Mar 2021.
- Tier 1 and Tier 2 JSS Support Sectors:
How do I determine my company’s Tier from the JSS notice?
For JSS notices related to pay-outs before Oct 2020, you may determine your company's Tier based on the level of wage support received by your company.
For JSS notices related to pay-outs from Oct 2020 onwards, the company's Tier will be explicitly stated in the notice.
The table provides an illustration on how to determine your company’s Tier based on JSS notices across these two periods.
JSS Tier For notices related to payouts before Oct 2020 For notices related to payouts from Oct 2020 Tier 1 "Your company will receive $XX,XXX for JSS tier 75% in ..." "Your company is eligible for Tier 1 JSS support on the ..." Tier 2 "Your company will receive $XX,XXX for JSS tier 50% in ..." "Your company is eligible for Tier 2 JSS support on the ..." Tier 3 "Your company will receive $XX,XXX for JSS tier 25% in ..." "Your company is eligible for Tier 3 JSS support on the ..."
Is the relief under ESS-S available to all SMEs?
The scheme is available to all SMEs including sole proprietors and partnerships, with:
- Annual sales turnover of up to S$100 million; or
- Employment size up to 200 workers, subject to the following eligibility criteria:
- No overdue interest payments on loans under principal moratorium; AND
- All other loan repayments are no more than 30 days past due.
If I am a SME in a Tier 1 sector and apply for the ESS-S in end May 2021, will I receive 6 months of principal moratorium or only 1 month?
If I am a SME in a Tier 3 sector and apply for the ESS-S in end Feb 2021, will I receive 3 months of ESS-S relief or only 1 month?
In both instances, you may only receive up to 1 month of ESS-S relief, subject to the bank's determination of the effective implementation date of the ESS-S relief for you.
When can I start applying for the ESS-S?
The application period for:
- SMEs in Tier 1 and 2 Sectors is from 2 Nov 2020 to 15 May 2021.
- SMSs in Tier 3A and 3B Sectors is from 2 Nov 2020 to 15 Feb 2021.
How do I apply for the ESS-S for my loan(s)? Do I need to visit the branches to submit or sign documents?
Please contact your Relationship Manager for the ESS-S application.
(Please do not visit the branch unless necessary, and maintain social distancing if you do.)
When will my application be approved?
The approval period will depend on the volume of applications and the need to obtain additional information from you (e.g. JSS Notice from IRAS) to determine eligibility. We seek your patience in this regard.
Is there any fees payable to apply for the ESS-S?
A fee may be imposed for processing of the ESS-S application on case-by-case basis and at our absolute discretion.
Are my trade credit facilities or non-ESG unsecured loans covered under the ESS-S relief?
No, trade credit facilities and non-ESG unsecured loans are not covered under the ESS-S relief.
Is there a corresponding extension of loan tenure, if I opt into the ESS-S?
The ESS-S does not provide for a corresponding extension to the loan tenure.
A. EXTENDED SUPPORT SCHEME – STANDARDISED (ESS-S) FOR SMES