Published on August 9, 2021

5 Tips To Save More On Your Next Car Purchase

New Car FinanceUsed Car Loan FinanceVehicle Finance Solutions

Whether you’re looking to purchase a brand new car or a used one, there are many things to consider before taking the plunge. Unlike in other countries, buying a car in Singapore is a huge undertaking and it’s not something you can simply decide on, then reverse your decision; not unless you are willing to bear the depreciation cost.

Although the depreciation costs are something beyond your control, you can still learn how to find the right vehicle finance solution and save a significant amount of money when buying your next car with these 5 simple tips:

1. Research

Once you have finally decided on the type of car you want to buy, it’s time you do a thorough research and utilise the many resources available to find the relevant information on your dream car. Start by going on online car marketplaces like sgCarMart, joining car owner club forums, and automobile magazines to get the latest information. 

If you’re not getting the answers you need, try posting a question on these forums. Before you know it, you will have your enquiries answered by current owners.

Otherwise, if you know any mechanics, it helps to ask for their input and experience with other cars in the same model. This will help you gain more objective information and ease your buying process. Alternatively, you can learn more about purchasing new and used cars from vehicle finance solution companies like Swee Seng Credit.

2. Asses Financial Comfort Level

Before buying your next car, it is helpful to have an idea of what you can afford and plan your finances accordingly. Taking on a loan is more than just paying monthly instalments, you will also need to consider the running and maintenance costs of your car as well. Apart from taxes, there are also parking expenses, insurance costs, and other recurring costs of owning a car, like fuel costs to take into consideration. Thus, it is important to assess your weekly, monthly and yearly fuel charges depending on your usage and current petrol prices.

Cars typically consume more petrol while driving in urban areas compared to on highways. The safest way to estimate how much petrol you need is to add 40% to the budgeted fuel amount, because most car owners end up driving more than they anticipated.

Totalling up the numbers will give you a gist of the final sum. Before moving on to the next phase, ensure that you are comfortable with the numbers first.

3. Obtain A Finance Pre-Approval

For those who are looking to finance your next car, find a finance company that offers low rates. Before settling on one, it is important to take some time to research the different finance companies in Singapore to have an overview of the type of financing they offer. For those who are considering getting a used car for your next vehicle, you’ll get to finance up to 70% of your next car with Swee Seng’s used car loan deal and enjoy interest rates for as low as 1.68%!

When looking for a vehicle finance solution, make sure to get offer letters from all these finance companies to show to car dealers. This way, you will be able to receive better deals from them, as they are as good as cash.

Getting a good credit score is also crucial when buying a car, and your credit rating can be wounded from having several banks perform a credit check on you. Thus, it is important to check on the local credit bureau regulations in your country. For instance, some companies have a 14-day window in which all credit checks do not affect your credit score. These offer letters will give you an upper hand when it comes to dealing with a car dealership.

Observing the Car Market

4. Observe The Car Market

Keep a lookout for the launch of new cars and the improved versions to your old car models. Most of the time, newly launched cars come with discounts as well, but they also have other associated costs that equalises the seemingly lower price. Observing the car market will help to time your approach, especially during the end of the model year as that’s when car manufacturers usually offer discounts to get rid of their stock and prepare for the new batch of cars.

Room For Negotiations

5. Room For Negotiations

Even though there are add-on fees on the sales contract that may seem mandatory, keep in mind that there is always opportunity for negotiation. Do not hesitate to walk away from overly pushy salesmen or bad deals. It is important that you choose someone who listens to your needs and assists you calmly.

Finding The Right Vehicle Finance Solution

No matter how expensive cars get in Singapore, price is not going to stop some of us from wanting to purchase them. Even though a fancy new car may seem like an attractive deal, you need to consider all factors thoroughly before signing on those dotted lines. 


With finance companies like Swee Seng Credit, you’ll get to enjoy the best used car loan experience and attractive interest rates as well. Learn more about how we can help you save more on your next car purchase with our fast and transparent vehicle finance solution services.