Under MAS rules, a bank or finance company can lend at most 70% of a car's purchase price if its OMV is $20,000 or less, and at most 60% if the OMV is higher, for up to 7 years. For a used car, the OMV is reduced for the car's age, so many older cars fall into the 70% band.
| Open market value (OMV) | Maximum loan | Maximum tenure |
|---|---|---|
| $20,000 or less | 70% of the purchase price | 7 years |
| More than $20,000 | 60% of the purchase price | 7 years |
What are the MAS car loan limits?
MAS sets the maximum loan amount and tenure for anyone borrowing from a financial institution to buy a new or used car, including hire purchase, where the agreement to buy is on or after 27 May 2016. The limits are in the table above. The purchase price they apply to includes the relevant taxes and the COE. Motorcycles and commercial vehicles are not covered by these limits (MAS, Motor Vehicle Loans, read 19 October 2026).
How is the OMV worked out for a used car?
Because a used car has lost value, the lender adjusts its OMV for age before deciding which band applies: OMV minus (age in months divided by 120, times the OMV). MAS's own example is a car with an OMV of $25,000 bought 37 months after its first registration: $25,000 minus 37/120 of $25,000 gives $17,292, so the 70% limit applies. A car imported as a used vehicle uses a slightly different formula (MAS, Adjusting the Value of Used Motor Vehicles, read 19 October 2026).
What does that mean for your down payment?
The rest of the price is your down payment, paid in cash. As an illustration only: on a $60,000 car in the 70% band the most you can borrow is $42,000, so you pay at least $18,000 up front; in the 60% band you can borrow up to $36,000 and pay at least $24,000. Your bank or finance company decides the actual amount and rate.
Can you refinance a car loan later?
Yes. MAS allows refinancing up to the full outstanding amount if you meet the lender's credit assessment. For cars bought on or after 26 February 2013, the longest refinancing tenure is 7 years minus the years since the first loan was paid out.
What should you ask before you commit?
Ask the seller for the car's OMV and its first registration date, so you know which band applies, and ask your lender for the interest rate and the total cost over the loan. Then compare the monthly instalment with the car's depreciation figure, so you budget for the full cost of owning it.
Related: Buy a used car from Star Performance Motor. Official rules and figures: LTA OneMotoring.
Frequently asked questions
Do the MAS loan limits apply to used cars?
Yes. They apply to new and used cars bought with a loan from a financial institution on or after 27 May 2016. For a used car the OMV is adjusted for age first.
Can I get a 100% car loan in Singapore?
Not from a bank or finance company for a car covered by the MAS rules: the most is 70% or 60% of the purchase price, depending on the OMV.
What is the longest car loan tenure?
Seven years, for both OMV bands.