How much downpayment do you need for a used car in Singapore?

Short answer: at least 30% of the price for most used cars, and 40% for some. The Monetary Authority of Singapore (MAS) caps how much any bank or finance company can lend you for a car, and the rest is your downpayment. Which cap applies depends on the car's Open Market Value (OMV), and for a used car most buyers end up at 30%.

The MAS rules

MAS limits car loans by the car's OMV, the value customs put on it when it was imported:

The loan can run for up to seven years. These limits apply to new and used cars alike, and to hire purchase as well as bank loans.

Why most used cars qualify for 30%

For a used car, the OMV is first reduced in line with the car's age before the limit is applied. A car that cost well over $20,000 OMV when new can fall to $20,000 or under after a few years. That is why most older cars can be financed up to 70%, even continental and luxury ones. A younger premium car may still sit above the line and need 40% down.

We can tell you which limit applies to any car we sell before you commit.

The limit people forget: COE left

MAS allows up to seven years, but lenders will not lend past the car's COE. So the loan can be no longer than the COE that is left:

• a car with 6 years of COE left can have a loan of up to 6 years;
• a COE car with 3 years left, a loan of up to 3 years;
• a car with under a year left is usually bought outright.

A shorter loan means a higher monthly payment on the same amount, so check the monthly figure as well as the downpayment. Every car on our site shows the longest loan it can have and what it comes to a month.

A worked example

An illustrative car priced at $60,000 that qualifies for 70%:

• Downpayment: 30% of $60,000 = $18,000
• Loan: $42,000

Car loans in Singapore are usually quoted at a flat rate: interest is charged on the whole amount for the whole term. At an illustrative 2.5% a year flat over 5 years:

Interest = $42,000 × 2.5% × 5 = $5,250

Monthly = ($42,000 + $5,250) ÷ 60 ≈ $788

The same loan over 3 years, because the car only has 3 years of COE left, comes to about $1,254 a month. Rates vary by lender and by car, so treat these numbers as a guide and work out the real figure for any of our cars.

What the downpayment does not cover

Budget separately for:

• Insurance, which must be in your name before the car can be transferred to you;
• Road tax, if it runs out soon after you buy;
• Servicing, especially on an older car.

Choosing a car you can afford

Start from what you can put down, then compare cars on depreciation per year: what each one costs you for every year you can drive it. A cheaper car with little COE left can cost more per year, and need a shorter, dearer loan, than a slightly pricier one with more years to run.

Ask us about any car above and we will tell you its loan limit, the longest loan it can have and the monthly payment, before you come in.

Sources

Checked on 9 October 2026 against the official sources. Rules change, so check them again for any decision that depends on them.

• MAS: Motor vehicle loans
• LTA OneMotoring: COE renewal