Car Details
Loan Details
Singapore Car Loan Rules (MAS 2026)
Car loans in Singapore are tightly regulated by the Monetary Authority of Singapore (MAS). The loan amount is based on the combined car price + COE price (the total vehicle price), not just the car price alone.
| OMV of Vehicle | Max Loan-to-Value (LTV) | Min Down Payment | Max Tenure |
|---|---|---|---|
| ≤ S$20,000 | 70% | 30% | 7 years |
| > S$20,000 | 60% | 40% | 7 years |
Singapore Bank Car Loan Rates 2026
| Bank | Flat Rate p.a. | EIR (approx.) | Notes |
|---|---|---|---|
| DBS Car Loan | 2.78% | ~5.35% | Available for new & used cars |
| OCBC Auto Loan | 2.78% | ~5.35% | Competitive fixed rate |
| UOB Car Loan | 2.88% | ~5.55% | Fast approval via MyInfo |
| Maybank Car Loan | 2.68% | ~5.15% | Often lowest rate in market |
| Standard Chartered | 2.98% | ~5.75% | Good for foreigners/EP holders |
What is COE in Singapore?
The Certificate of Entitlement (COE) is a government-issued permit that grants the holder the right to register and use a vehicle in Singapore for 10 years. COE is obtained through a bidding system and can range from S$50,000 to over S$100,000 depending on vehicle category and demand. COE forms a large part of the total vehicle cost and can be included in your car loan financing.
Understanding ARF (Additional Registration Fee)
ARF is a tax levied by LTA when registering a vehicle. It is based on the vehicle's Open Market Value (OMV):
- First S$20,000 of OMV: 100% ARF
- Next S$30,000 (S$20,001–S$50,000): 140% ARF
- Above S$50,000: 180% ARF
ARF is included in the car dealer's on-the-road price. It is not separately calculated for loan purposes but affects the total vehicle cost.
New vs Used Car Loans in Singapore
- New cars: Full MAS LTV rules apply. Financing typically easier with dealer-arranged packages.
- Used/reconditioned cars: Loans available but banks may apply higher rates. Remaining COE tenure affects resale value and loan eligibility.
- Parallel imports: Some banks are selective. Confirm financing options before purchase.
Frequently Asked Questions
Is the COE included in the car loan in Singapore?
Yes. Most Singapore banks allow you to include the COE in your car loan. The LTV limit (60% or 70%) is calculated on the combined car price and COE. This calculator adds COE to the vehicle price before computing the loan amount.
Can I get a car loan in Singapore without a salary slip?
Banks typically require 3 months' payslips or CPF contributions as income proof. Self-employed applicants can use a Notice of Assessment (NOA). Some dealers work with finance companies that have more flexible criteria, but typically at higher interest rates.
What happens if I sell my car before the loan is paid off?
You must settle the outstanding loan amount with the bank before transferring ownership. If the sale proceeds are less than the outstanding loan, you must pay the shortfall from your own funds. This is known as being in "negative equity".
Can foreigners get a car loan in Singapore?
Yes. Employment Pass (EP) and S Pass holders can apply for car loans in Singapore. Most banks require an annual income of at least S$40,000–S$60,000 and a valid work pass with at least 1 year remaining validity. Some banks may require a larger down payment for foreign applicants.
What is the maximum car loan tenure in Singapore?
MAS caps the maximum car loan tenure at 7 years for all vehicle types. The COE is for 10 years, so a 7-year loan gives you 3 COE-free years before renewal or de-registration.