Credit Counselling Singapore (CCS) is an independent, non-profit organization. As a registered charity and a trusted credit counseling Social Service Agency, we have helped over 28,000 individuals address their unsecured debt problems through education, credit counseling, and facilitated debt restructuring since 2004.
The SIP is a temporary program, implemented to deal with the fallout of COVID-19. It is meant to sit alongside the existing insolvency regime under the IRDA. Where the statutory processes under IRDA are better suited to companies with substantial assets, the SIP is aimed at providing solutions for micro and small companies. The application process for both programs entails the company making an application to the Official Receiver (“OR”), who assesses the eligibility requirements.
- Imparting knowledge, developing financial management skills, and encouraging change in behavior towards better credit and debt management.
- Conducting credit counseling, restructuring debts, and providing continual support to alleviate the debt-distressed out of their situation.
- The proposed simplified insolvency programme will provide simpler, faster, and lower-cost proceedings for eligible MSCs to restructure their debts or wind up the company in an orderly manner.
Specified eligibility criteria
The SPP scheme will be administered by Credit Counselling Singapore, with the support of The Association of Banks in Singapore, Monetary Authority of Singapore (MAS), Enterprise Singapore (ESG), and the Participating Financial Institutions under the ESG loan schemes. To qualify for the Simplified Insolvency Programme, MSCs must meet certain specified eligibility criteria as follow-
- the aggregate total liabilities of the company,
- the number of creditors and employees,
- the amount and value of realizable assets in winding up.