Looking for a car loan to purchase that vehicle you’ve been wishing to get your hands on for like, ever? Car loans are amongst the most popular types of loans in Singapore after personal loans and the car market in Singapore is one of the leading markets in Southeast Asia. There are several banks and financial institutions offering car loans to Singaporean citizens, Permanent Residents and Foreigners as well. Among the various financial institutions offering car loans, Hong Leong Finance is one of them.
Hong Leong Finance is a leading financial institutions that offers a spate of banking and financial products to Singaporean citizens, Permanent Residents and Foreigners. HLF offers personal loans, home loans, refinancing options, car loans, and more. So, if you are looking for the ideal financial institution to help finance your vehicle’s purchase, Hong Leong Finance might very well be your go-to source.
Let us look at various aspects of the car loan product offered by Hong Leong Finance in Singapore. Note that Hong Leong Finance offers loans for both used cars as well as new cars. As much as the new car market has grown in Singapore, the used car market has posted a near equivalent growth trajectory.
If you are purchasing a new car and you would like to borrow S$15,000, the monthly instalments will be as shown in the table given below based on the loan tenure ranging from 1 to 7 years:
|Tenure of car loan (Years)||Applied Interest Rate (% p.a.)||Effective Interest Rate (% p.a.)||Monthly Instalment|
|3||2.48||5||S$448 (last instalment S$436)|
|4||2.48||4.92||S$344 (last instalment S$320)|
|6||2.48||4.82||S$240 (last instalment S$192)|
|7||2.48||4.77||S$210 (last instalment S$174)|
If you are purchasing a used car and you would like to borrow S$15,000, the monthly instalments will be as shown in the table given below based on the loan tenure ranging from 1 to 7 years:
|Tenure of car loan (Years)||Interest Rate (% p.a.)||Effective Interest Rate (% p.a.)||Monthly Instalment|
|1||2.78||6.03||S$1,285 (last instalment S$1,282)|
|2||2.78||5.72||S$660 (last instalment S$664)|
|3||2.78||5.59||S$452 (last instalment S$431)|
|4||2.78||5.5||S$348 (last instalment S$312)|
|5||2.78||5.43||S$285 (last instalment S$270)|
|6||2.78||5.37||S$244 (last instalment S$178)|
|7||2.78||5.32||S$214 (last instalment S$157)|
There are basically two types of loans offered by Hong Leong Finance in Singapore. They’re:
Let us look at some salient features of each of these loan product offerings:
Even foreigners can apply for the Hong Leong Car Loan. If you are a foreigner who wishes to apply for the Hong Leong Car Loan, you will need to submit your work permit, your employment pass, latest payslips, and a copy of your Passport. You will also be required to have a minimum work experience of 2 years in Singapore.
The following eligibility parameters need to be met in order to eligible for a Hong Leong Car Loan:
If you wish to apply for a car loan, you are required to submit the following documents along with your duly-filled application form.
The HLF Car Loan Calculator comes in handy if you wish to apply for a car loan and calculate your monthly payments. The car loan calculator requires you to enter the loan amount, the down payment you intend to make towards your loan, your loan interest and your chosen tenure. Accordingly, the calculator will compute your monthly payments that remain fixed through the course of your tenure.
The Hong Leong car loan comes with an array of features and benefits. Let us take a look at the most prominent features:
If you have any queries in relation to your car loan, you can call the customer service centre on 6579 6777 from Mondays to Fridays, 8:45 a.m. to 6:00 p.m. except public holidays. If you have any questions in relation to loan payments and settlements for a hire purchase agreement, you can call 6579 6738.
You can also request for a call back from HLF by filling in their online Callback Form available on the new/used car loan webpages.
Car loans are secured loans, as the vehicle itself behaves like collateral for the bank. If your income is at a decent level (meets the bank’s norms) and your employment stability is satisfactory, your loan application will be approved even if you are lacking slightly in the credit score front. However, your credit score needs to meet the minimum value (usually varies from bank to bank).Q. Are repayments fixed throughout the tenure of the loan?
Car loan interest rates are fixed interest rates. Repayments, thus, remain fixed throughout the tenure of the loan.Q. Can I purchase a car insurance from Hong Leong along with my loan application?
You can purchase the car insurance from your dealer directly. All new cars come with an insurance policy that is provided to the buyer by the car dealership. If you are purchasing a used car and the insurance is almost expiring, you can purchase a Hong Leong car insurance.Q. Can I opt to refinance my loan through HLF?
Yes, if you wish to refinance your car loan, you will need to contact the Hong Leong Finance. Refinancing of car loans are done on a case to case basis.Q. Can I close my car loan before its tenure ends?
Yes, you can close your car loan before the end of your tenure. However, you will be required to pay a pre-closing charge that depends on your total tenure and the number of years completed.