Certificate of Entitlement (COE), Vehicular Emissions Scheme and Additional Registration Fee are terms, which we are familiar with but have no love for. The Government implements these schemes in a bid to curb the population of cars on our roads and as a result of that, many of us are unable to own a car.
The rest of us who do own one have to take out long-term bank loans even after forking out a 30 or 40 percent downpayment. On top of that, pricey insurance premiums often lead to car buyers steering away from comprehensive insurance plans. And needless to say, owning a private vehicle means you'll have to take care of administrative matters such as vehicle maintenance and inspections.
So where does that leave you if buying a brand new car makes no financial sense? One option you can consider is car leasing. Here are several sensible reasons why leasing a car makes more sense than buying brand new.
Most car leasing firms will take care of administrative matters, which help to alleviate some of that financial burden. These include insurance, vehicle inspections, servicing, replacement of wear and tear parts, and repairs.
To sweeten the deal even further, car leasing firms like EHB Limousine Pte Ltd provide pick-up and drop-off services, and a courtesy car for times when yours is out of commission. You won't even have to worry about taking your ride into the workshop for a service or to Vicom for an inspection.
EHB will send someone over to your location to pick up your vehicle, hand over a courtesy car and drop yours off at the same location once it's ready.
EHB Limousine Pte Ltd
Address: 70 Ubi Crescent #01-12 Ubi Techpark Singapore (408570)
Contact number: +65 9146 0488
Email: [email protected]
Facebook:Â www.facebook.com/EHBLIMOUSINE13/
Buying brand new not only requires more cash up front, it's also more time consuming. Settling matters such as insurance and outstanding loans will affect the entire process, which can take up a lot of time
In the event you decide to sell your beloved, you'll most likely have to spend a significant amount of time searching for a buyer and working out the details with them.
However, leasing a car with a firm like National Car Rental affords you the freedom to upgrade or switch over to another car of your choice once your contract has expired. It is also possible to transfer your deposit from the previous car to the new one. You will just have to top up the difference if the new car comes with a higher price tag.
National Car Rental Singapore
Address: 10 Fourth Lok Yang Road Singapore (629707)
Contact number: +65 9777 7073
Facebook:Â http://bit.ly/2sJ0ku9
Website:Â www.nationalcarrentalsg.com
One major pain in the neck with owning a car is depreciation. All cars depreciate, it's just a matter of how much. Add to that a sizeable downpayment and monthly bank instalment, and you've got yourself a steady stream of unnecessary monthly expenditure.
However, leasing a car with a firm such as One2Rent Cars eliminates these costs. Since you do not own the car when you lease, you won't have to lose sleep over yearly depreciation.
The amount you pay for the monthly leasing fee is constant throughout the contract period. This also means that there are no interest rates, which are commonplace in bank loans.
One2Rent Cars Pte Ltd
Address: 70 Ubi Crescent #01-12 Ubi Techpark Singapore (408570)
Contact number: +65 9146 0488
Facebook:Â www.facebook.com/One2RentCars
Website:Â www.one2rentcars.com/
Parting with your hard earned money can cause severe separation anxiety, especially if it's a 30 to 40 percent downpayment for a brand new car. In addition, taking a bank loan is a serious commitment not to be taken lightly.
As such, leasing a car takes the worry out of financial liabilities such as a hefty downpayment and bank loan. Car Cove Leasing, for example, only requires a deposit and a monthly fee for the entire leasing period.
This simply translates to more financial freedom without having to be tied down to a bank loan for up to seven years or shelling out a substantial amount of money for the downpayment.
Car Cove Leasing Pte Ltd
Address: 1 Commonwealth Lane #02-04Â One Commonwealth Building Singapore (149544)
Contact number: +65Â 6204 8228/+65 8718 8228
Facebook:Â www.facebook.com/carcoveleasing/
Website:Â www.carcove.com.sg/
Hertz and Avis, like many others, will cover your leased car's insurance
Purchasing a new car does come with many perks. These may include warranty periods, which cover servicing, defects and even roadside assistance. However, these benefits are only effective during the warranty period, which varies between dealers.
That could potentially escalate into a more serious problem in the future, especially towards the end of a car's 10-year COE lifespan, which may lead to costly repairs.
Most companies like Hertz Singapore and Avis Car Rental will cover insurance, servicing packages and 24/7 roadside assistance. Some even provide a 24/7 customer hotline and will replace wear and tear parts such as tyres and brake pads for free.
Hertz Singapore
Address: 305 Alexandra Road #03-01/ Basement 1 Vantage Automotive Centre Singapore (159942)
Contact number: +65 6734 4646
Website: https://www.hertzsingapore.com/
Avis Car Rental
Address: 390A Havelock Road #01-07 Waterfront Plaza Singapore (169664)
Contact number: +65 6737 1668
Website:Â www.avis.com.sg/
Buying a car brand new can have its advantages over leasing one. Authorised distributors generally offer aftersales support in the form of warranties, which include servicing packages and replacement parts. But this route requires a substantial amount of money up front. Car leasing, on the other hand, offers more financial freedom, peace of mind and makes your life a whole lot easier.
