How Much Can You Borrow? Maximum Car Loan Amounts in Singapore Explained
How much you can borrow for a car in Singapore depends on the vehicle’s Open Market Value (OMV) and the Loan-to-Value (LTV) limits set by the Monetary Authority of Singapore (MAS). These rules exist to keep car loan borrowing at a sustainable level — here’s exactly how they work, and how to calculate your own maximum.
MAS Loan-to-Value (LTV) Rules Explained
In general, the maximum amount you can borrow is a percentage of the vehicle’s OMV, with the exact percentage depending on which OMV band the vehicle falls into — typically a lower LTV, and so a bigger required down payment, for higher-OMV vehicles.
| Vehicle age | Maximum LTV | Minimum down payment |
|---|---|---|
| Below 10 years old | 60–70% | 30–40% |
| Above 10 years old | 70% | 30% |
| COE renewal | 100% | 0% (subject to bank approval) |
MAXIMUM LOAN AMOUNT
How much you can borrow, by vehicle type
Below 10 years
70%
$50,000 value
× 70%
$35,000 max loan
Above 10 years
70%
$50,000 value
× 70%
$35,000 max loan
COE renewal
100%
$50,000 premium
× 100%
$50,000 max loan
Example based on a $50,000 value, for illustration only. Actual amounts depend on assessment.
Why Does MAS Limit Car Loans?
Unlike a home, a car loses value from the day you drive it out of the showroom. LTV limits stop buyers from over-borrowing against a depreciating asset by capping how much of a vehicle’s value a bank or financing company can lend against — the rest has to come from your own down payment.
Does It Matter If My Car Is New or Used?
What actually determines your LTV limit is your vehicle’s age, not whether it’s classified as new or used. A used car under 10 years old is treated the same as a brand-new car for LTV purposes; the lower limit only applies once a vehicle passes the 10-year mark.
Other Factors That Affect Your Maximum Loan Amount
Your income and existing debt obligations
Your credit standing
The lender’s own risk assessment, on top of the regulatory maximum
What If I Want to Borrow More Than the Limit?
You can’t legally borrow above the regulatory maximum from any licensed lender in Singapore. If you need financing beyond that limit, get in touch — we can advise on other options that may be available to you.
Frequently Asked Questions
No, the LTV limit does not apply to COE renewal loans. Accord Motor Enterprise is able to loan up to 100%.
No — the LTV limit sets the maximum loan amount regardless of down payment size; a larger down payment reduces how much you need to borrow, not how much you’re allowed to.
Lenders cannot legally lend above the MAS-mandated LTV limit — you would need to cover the difference with a larger down payment.
Yes, your credit score affects how much you can borrow. The LTV limit is a ceiling, not a guarantee, and individual lenders may approve less based on your credit standing.
The maximum loan amount you’re eligible for is based on your vehicle’s current market value, not the purchase price.
The LTV limit is a MAS regulation that applies only for banks. Other private lenders do use it as part of your assessment.
Yes — we don’t require proof of where your down payment funds come from, so a personal loan or credit line is fine.
A trade-in can effectively reduce the amount you need to finance, similar to a larger down payment — though the LTV limit itself is still based on the new vehicle’s OMV.
Yes — lenders factor in your existing debt obligations, including any current car loan, when assessing how much you can responsibly borrow.
Still Not Sure How Much You Can Borrow?
Talk to our team, or get your exact number with the calculator.