By The Ledger desk · Last verified 4 October 2026
If credit card bills and personal loans have got away from you, Singapore has two structured ways back before bankruptcy. Credit Counselling Singapore (CCS), a non-profit social service agency, can assess your finances and, if you owe $10,000 or more in unsecured debt to two or more creditors, arrange a Debt Management Programme (DMP) with participating banks at a reduced interest rate. If a bankruptcy application has already been filed and your total debts are $150,000 or less, the court may refer you to the Official Assignee, who can place you on the Debt Repayment Scheme (DRS): a repayment plan of up to five years that keeps you out of bankruptcy.
Debt feels lonely, but it is a common problem with well-worn exits. The earlier you take one, the more choices you keep.
Quick facts
- CCS hotline: 6225 5227, Monday to Friday, 9am to 6pm.
- DMP: for unsecured debts of $10,000 or more owed to two or more creditors.
- DMP debts must be fully repaid no later than age 70.
- DRS: you cannot apply directly; it starts only after a bankruptcy application is filed.
- DRS limit: total debts of $150,000 or less, repaid over no more than five years.
- Bankruptcy can be filed for debts of $15,000 or more.
DMP, DRS or bankruptcy: how they compare
| Debt Management Programme | Debt Repayment Scheme | Bankruptcy | |
|---|---|---|---|
| Run by | CCS with participating banks and card issuers | The Official Assignee | The court and the Official Assignee or a trustee |
| How it starts | You contact CCS | Court refers a bankruptcy application | You or a creditor applies to court |
| Debt level | Unsecured debts of $10,000 or more, to 2 or more creditors | Total debts up to $150,000 | At least $15,000 |
| What you pay | Affordable instalments at reduced interest, in full | A repayment plan of up to 5 years | Your assets and income are dealt with by the trustee |
| Main catch | Credit lines cancelled; status reported to Credit Bureau Singapore until you finish | Strict eligibility; you avoid bankruptcy restrictions if you complete it | Travel needs permission, no directorships, credit restrictions |
How the Debt Management Programme works
- Contact CCS by phone or register on its website for a counselling assessment. Bring your statements and payslips.
- A counsellor reviews your income, spending and debts, and checks whether you can repay in full by age 70.
- If you qualify, CCS prepares a repayment proposal and sends it to your creditors.
- Once creditors approve, you pay agreed monthly instalments at a reduced interest rate until the debt is cleared.
- Your existing credit facilities are cancelled, and new credit is unlikely while you are on the programme.
- On completion, the DMP status is removed from your credit report.
The DMP covers unsecured debts such as credit cards, credit lines and overdrafts, personal loans, renovation loans and study loans. It does not cover secured loans like a mortgage or car loan. CCS also works with participating licensed moneylenders, and runs a separate service for business owners with personal or business debts.
Who qualifies for the Debt Repayment Scheme?
The DRS is a pre-bankruptcy scheme run by the Official Assignee at the Ministry of Law’s Insolvency Office. It is considered only after a bankruptcy application is made against you, by you or a creditor. The Official Assignee then checks that you meet all of these conditions:
- Total debts of no more than $150,000.
- You are in gainful employment with a regular income.
- You have not been bankrupt, on the DRS or in a court-based arrangement in the past five years.
- You are not a sole proprietor or partner in a business.
Filing your own bankruptcy application is not cheap: as of October 2026 the court lists a $60 filing fee plus a $1,850 deposit to the Official Assignee, which is not refunded if you are made bankrupt. Speak to CCS first.
The WahLiao Verdict
Call CCS the month you start paying one card with another, not the month a lawyer’s letter arrives. A DMP costs you your credit cards for a while; bankruptcy costs you far more, from travel to directorships. Stop new borrowing, list every debt with its interest rate, and take that list to a counsellor. If a bankruptcy application is already on the table and you owe $150,000 or less, ask about the DRS straight away.
Questions people ask
Will a DMP hurt my credit score?
Your DMP status is reported to Credit Bureau Singapore, and creditors are unlikely to grant new credit meanwhile. It is removed when you complete the programme. See our guide to credit scores.
Can I apply for the DRS myself to avoid court?
No. The DRS is only triggered by a bankruptcy application in the High Court, after which the court may refer you to the Official Assignee.
I run a small business. Can I use the DRS?
Not if you are a sole proprietor or partner. CCS has a separate counselling service for business owners.
What can a bankrupt not do?
You need your trustee’s permission to leave Singapore, cannot act as a company director without approval, and must disclose your bankruptcy when seeking credit of $1,000 or more.
Sources: Credit Counselling Singapore, Debt Management Programme; Credit Counselling Singapore, Debt Repayment Scheme; Ministry of Law on Ask Gov, how the DRS is initiated; Singapore Courts, filing for your own bankruptcy and fees; Singapore Courts, what being a bankrupt means. The Ledger explains; it does not advise.
Read next: Credit Card Late Fees and Interest · Borrowing From a Licensed Moneylender · Back to The Ledger
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