Official 2026 Rates · Verified

Car Loan Calculator (2026)

Calculate monthly car loan repayments based on Singapore's 70% LTV and 7-year tenure limits.

70% LTV limitSource: MAS
verified_userBy Smart Calculator Editorial · ONN Group LLPupdateVerified Jan 2026open_in_newSource: MASFor reference only — verify with official sources before financial decisions.

What is a Car Loan Calculator?

A car loan calculator estimates your monthly repayments based on the loan amount, interest rate, and tenure. In Singapore, car loans are regulated by MAS with a maximum LTV of 70% (for OMV up to $20,000) or 60% (for OMV above $20,000) and a maximum tenure of 7 years.

Quick Answer

For a $100,000 car loan at 2.78% flat rate over 7 years, total interest is $100,000 × 0.0278 × 7 = $19,460, so monthly repayment is ($100,000 + $19,460) / 84 = approximately $1,422. Effective APR is roughly 5.2%. MAS caps car loans at 70% of the purchase price (60% for cars with OMV above $20,000), so expect a minimum 30–40% downpayment.
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DBS, OCBC, UOB quote flat rates. Effective rate is ~1.8–1.9× the flat rate over 7 years.

infoMax 7 years tenure, 70% LTV (MAS regulation)

Result updates as you type

Monthly payment

$1,495

7-year loan · 70% LTV · 2.80% flat = ~5.22% effective APR

Downpayment

$45,000

Total Interest

$20,580

Total Repaid

$125,580

Loan breakdown

Car Price$150,000
Loan Amount (70% LTV)$105,000
Downpayment (30%)$45,000

Based on MAS regulations: max 70% LTV, max 7-year tenure for cars. Verify with your bank or financial institution.

For reference only — not financial advice.

Quick Reference

  • Max LTV: 70% for OMV up to $20,000, 60% for OMV above $20,000
  • Max loan tenure: 7 years (84 months)
  • Typical flat interest rates: 2.48% – 3.28% p.a. for new cars
  • Flat rate of 2.78% is roughly equivalent to 5.2% effective rate
  • Car loans use flat rate interest — effective interest rate (EIR) is roughly double the flat rate
  • Early repayment penalty: typically 1–2% of outstanding amount within lock-in period
  • Car loans cannot be paid using CPF savings — cash or cash equivalent only

How Car Loans Work in Singapore

Car loans in Singapore are regulated by the Monetary Authority of Singapore (MAS). The maximum Loan-to-Value (LTV) ratio is capped at 70% for vehicles with an OMV up to $20,000, meaning you must put down at least 30% of the purchase price as a down payment.

The maximum loan tenure is 7 years (84 months). Most Singapore car loans use a flat interest rate structure, with typical rates around 2.48% to 3.28% per annum. A flat rate of 2.78% is roughly equivalent to an effective interest rate of about 5.2%.

When calculating your car loan, remember to factor in the total purchase price including COE, ARF, registration fees, and dealer markup — not just the car's list price. The loan amount is based on the full purchase price with COE. Use our COE Calculator to estimate registration costs, and the Total Ownership Cost Calculator to see the true all-in monthly cost.

Worked example: A car costs $150,000. The OMV exceeds $20,000, so the maximum LTV is 60% — meaning maximum loan = $90,000 and minimum downpayment = $60,000. At a flat rate of 2.78% p.a. over 7 years (84 months), monthly repayment = $90,000 × (1 + 2.78% × 7) / 84 = approximately $1,571. Total repayable: $132,000. Interest cost: $42,000.

Car loans in Singapore use a flat rate (not reducing balance), which means interest is calculated on the original principal throughout — making the effective interest rate (EIR) roughly double the advertised flat rate. A 2.78% flat rate is equivalent to approximately 5.3% EIR. When comparing car loan offers, always compare flat rates (or EIR) on an apples-to-apples basis. Early repayment typically attracts a penalty of 1–2% of the outstanding balance during the lock-in period.

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LTV Cap

70% max loan for OMV up to $20,000

Minimum 30% down payment required

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Max Tenure

Maximum 7 years (84 months)

5 years is the most common choice

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Interest Rates

Typical flat rates: 2.48% to 3.28% p.a.

Flat rate ~2.78% = ~5.2% effective rate

Who This Calculator Is For

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First-Time Car Buyers

Understanding loan eligibility and monthly repayment.

  • Max LTV: 70% (OMV ≤$20,000) or 60% (OMV >$20,000)
  • Max tenure: 7 years
  • TDSR: Monthly obligations ≤55% of gross income
  • Down payment: Minimum 20% or 30% upfront cash/CPF
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Loan vs Full Cash Buyers

Evaluating finance cost vs opportunity cost.

  • Loan rates: 2.5–3.5% flat p.a. (effective ~5–7%)
  • Invest excess: If returns > loan rate, financing may be better
  • Cash purchase: No interest cost but loses liquidity
  • CPF: Cannot be used for car loans
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Used Car Buyers

Loan structure differences for used cars.

  • LTV rules: Same 70%/60% apply to used cars
  • Short COE: May affect loan tenure approval
  • COE under 5 years: Some lenders restrict loans
  • Interest: Higher rates may apply for older used cars
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Expats on Work Passes

Loan eligibility considerations for pass holders.

  • Eligibility: EP holders eligible for car loans
  • LTV rules: Same as citizens for PR and EP holders
  • Assessment: Monthly repayment assessed against Singapore income
  • History: Some banks require longer employment history

Car Loan vs Full Cash Purchase: Total Cost of Ownership

FactorCar Loan (70% LTV, 5 years)Full Cash Purchase
Upfront payment30% of price + fees100% of price + fees
Monthly commitmentFixed monthly repaymentsNone
Total interest cost5–7% effective per yearZero
Cash liquidityHigherLower
FlexibilityLocked in for loan tenureCan sell anytime
TDSR impactYes — counts toward 55% capNo

Frequently Asked Questions

What is the maximum LTV for a car loan in Singapore?expand_more

The Monetary Authority of Singapore (MAS) caps car loans at 70% Loan-to-Value (LTV) for vehicles with an Open Market Value (OMV) up to $20,000, and 60% LTV for vehicles with OMV above $20,000. This means you need at least a 30-40% down payment to purchase a car in Singapore.

What are typical car loan interest rates in Singapore?expand_more

As of 2026, typical car loan interest rates in Singapore range from 2.48% to 3.28% per annum for new cars. Rates vary depending on the bank, loan tenure, and your credit profile. Used car loans generally have slightly higher rates. Most Singapore car loans use a flat interest rate rather than a reducing balance rate.

What is the maximum car loan tenure in Singapore?expand_more

MAS limits the maximum car loan tenure to 7 years (84 months) in Singapore. Shorter tenures mean higher monthly payments but significantly lower total interest paid. A 5-year tenure is the most common choice, balancing affordability with total cost.

Can I refinance my car loan in Singapore?expand_more

Yes, you can refinance your car loan in Singapore to potentially get a lower interest rate. However, some banks charge early repayment penalties, typically around 1-2% of the outstanding loan amount. Compare the savings from a lower rate against any penalties before refinancing.

What is the difference between flat rate and reducing balance for car loans?expand_more

Singapore car loans use a flat rate, where interest is charged on the full original loan amount for the entire tenure. This means if you borrow $90,000 at 2.78% flat for 7 years, you pay 2.78% × $90,000 × 7 = $17,514 in total interest regardless of how much principal you have repaid. In contrast, a reducing balance loan charges interest only on the outstanding principal — making flat rate loans more expensive than they appear. The effective interest rate (EIR) on a typical Singapore car loan is roughly 5–6%.

Can I refinance my car loan?expand_more

Yes, car loan refinancing is available in Singapore. You can refinance to a lower rate (if market rates have fallen since you took the original loan) or to reduce monthly repayments by extending the tenure. However, refinancing is only worthwhile if the interest savings exceed the early repayment penalty and any refinancing fees. Note that the total loan tenure (including the refinanced portion) cannot exceed 7 years from the original registration date of the vehicle.

Sources

  • Monetary Authority of Singapore (mas.gov.sg) — Vehicle loan LTV limits and maximum tenure regulations
  • Land Transport Authority (lta.gov.sg) — Vehicle registration and OMV classification