17/11/2024
12h21
DBS Car Loan

The DBS Car Loan is tailored to make car ownership accessible and stress-free. With flexible terms and a quick application process, it’s designed to help you get your car without unnecessary hurdles. Here’s everything you need to know to apply.

Who Can Apply for DBS Car Loan?

✅ Singaporean or Permanent Resident status.
✅ Between 21 and 65 years of age.
✅ Loan-To-Value (LTV) eligibility: Up to 70% financing for vehicles with OMV ≤ S$20,000, and up to 60% for vehicles with OMV > S$20,000.

What documents do you need?

✅ NRIC or other government-issued identification.
✅ Proof of income (via Singpass, payslips, or CPF statements).
✅ Vehicle purchase agreement or valuation certificate.

Approval is contingent on meeting these criteria, and DBS reserves the right to request additional documentation.

How to apply for your DBS Car Loan

Applying for the DBS Car Loan is quick and straightforward. Begin by logging into Digibank or using Singpass for a hassle-free process. This integration allows you to skip manual paperwork, saving time and effort.

Fill in the necessary details accurately, ensuring all required documents are submitted. Use the DBS loan calculators to check your eligibility and estimate your instalments before applying. Once your application is reviewed, you’ll be notified about the approval status. If declined, the bank provides feedback to help you make adjustments for a successful reapplication.

Paying off your DBS Car Loan

Managing your repayments is simple. Use Digibank for online payments, set up GIRO for automatic deductions, or pay via DBS/POSB ATMs.

Always align your payments with your income schedule and consider automating them to avoid late fees. Staying consistent ensures a smooth repayment experience and maintains your creditworthiness.

What does it cost?

The DBS Car Loan offers financing based on the vehicle’s OMV. Cars with an OMV of S$20,000 or below qualify for up to 70% financing, while vehicles above this threshold are eligible for 60%. Interest rates depend on the tenure, which can extend up to 7 years, providing flexibility for borrowers.

Other costs, such as late payment fees, will apply if repayments are missed. Plan your finances using DBS’s loan calculators for greater clarity.

What we think about DBS Car Loan

The DBS Car Loan stands out for its simplicity and flexibility, offering a practical solution for anyone looking to finance their vehicle. The integration with Singpass makes the application process seamless, reducing the need for extensive documentation. Additionally, the flexible repayment tenure ensures borrowers can find a payment plan that fits their budget.

On the flip side, borrowers should carefully evaluate the Loan-To-Value ratio to ensure they’re comfortable with the down payment. Interest rates are competitive, but understanding the total cost over time is essential to avoid surprises.

For example, financing S$50,000 for a car over 7 years with an interest rate of 2.78% p.a. results in monthly repayments of around S$754. This manageable instalment allows for financial planning while achieving the goal of car ownership.

A final tip for smart borrowing

To maximize your DBS Car Loan, plan your finances meticulously. Use DBS tools to calculate your loan and set up auto-payments to avoid late fees. If possible, pay slightly more than the required instalment to reduce interest costs over time. Staying proactive ensures you get the most value from this financial product.

Ready to take the wheel?

Explore how the DBS Car Loan can bring you closer to owning your dream car. Click below to learn more and get started on your application today. Financial freedom and convenience await you with DBS!