MAS BACK TRACK on Car Loan !!!!!!!

[Ticklish8]

LOAN RESTRICTIONS LIFTED TEMPORARILY FOR PURCHASE OF PRE-EXISTING STOCK OF USED CARS; RESTRICTIONS EXTENDED TO CREDIT COMPANIES NOT REGULATED BY MAS

 

Singapore, 5 April 2013 ... The Monetary Authority of Singapore (MAS) will lift the current restrictions on car loans for a period of 60 days for the purchase of used cars1 that were part of car dealers

[Ticklish8]

http://www.news.gov.sg/public/sgpc/en/medi...7c-be70386326f1

 

 

[RadX]

first time ever i see a policy backtrack like that......used to only see this in Malaysia

[Ticklish8]

Gomen tighten the Hire Purchase Act...

 

COE going down...

 

 

[200sx]

WTF is this man. This is going to make the used car dealer more yaya man!

[RadX]

WTF is this man. This is going to make the used car dealer more yaya man!

 

 

so that a certain dealer no need to sell his other houses liao...he sold one aldy [laugh]

[RadX]

with this, i see more CASEs involved and more going to small courts...muahahahh

[Lurpsexx]

first time ever i see a policy backtrack like that......used to only see this in Malaysia

 

Goes to show this Govt is more $$$$ minded and Pro Business, than it has the moral fibre to stand by its principles...

 

What will be next U-Turn the Policy? Restaurant can again hire more FT/FW??? They can KaoPeh like the Used car dealers and hope to get their way??

 

We shall see... 2016 is not that far away.... and we will remember....

[Jamomatt]

first time ever i see a policy backtrack like that......used to only see this in Malaysia

 

I remember last time got the taxi restrictions on where they can stop in town. Every 2 weeks change rule.

 

Anyway not really backtrack lah. Only apply to used cars and got criteria to fulfil. Also time limited to 60 days. What is welcome is now they enforce the financing rules to all moneylenders and hopefully this will help bring down COE and car prices.

Edited April 5, 2013 by Jamomatt

[Strat]

so COE will chiong the next round ?

[Benarsenal]

Only valid for two months. So fire sale ahead.

 

This really shows that our Govt never really think nowadays before implementing policy. Anyhow whack only.

[Mkl22]

a partial backtrack. the dealers will need to clear them within 60days. to eligible for the 100% loans. wait till after 60days lor.. or maybe the marginal buyers will now rush in and grab what they can.

[Royho1979]

first time ever i see a policy backtrack like that......used to only see this in Malaysia

 

Indeed. We have always been a country where prior to any policy is being passed there will be very very close scrutiny to ALL the possible impacts, and once something is passed ppl can cry father and mother all they want and gov wouldnt budge because if there are ANY -ive consequences, they would have been considered and deemed acceptable collateral.

 

This is how far our civil service and policy makers (once a pride of ours) is falling short of the high standards set by their predecessors.

[Jamomatt]

so COE will chiong the next round ?

 

Used cars already have COE. No need bid.

[Airwaver]

No wonder some dealers up their selling price.

[Mockngbrd]

2 MAS had also earlier indicated that the scope of the financing restrictions will be extended to all entities that finance car purchases, including those that are not regulated by MAS. This will now come into effect. The Ministry of Trade and Industry has today issued new regulations pursuant to the Hire Purchase Act to ensure that MAS’ financing restrictions on the purchase of cars apply to these non-MAS regulated entities as well. The Ministry of Law has also today required licensed moneylenders to comply with MAS’ financing restrictions.

 

3 The lifting of the financing restrictions on purchases of used cars under the TTS as of 4 March 2013 takes into account the distinct conditions in the used car market currently. The inventory of used cars acquired by dealers at relatively high in-built Certificate of Entitlement (COE) values before the introduction of the financing restrictions has made it particularly challenging for them to adjust to the new market conditions. Demand has also fallen more sharply in the used car market compared to that for new cars.

 

1 All references to cars include goods-cum-passenger vehicles.

 

2 On 25 February 2013, MAS announced restrictions on car loans granted by financial institutions:

 

(i) For a car with open market value (OMV) that does not exceed $20,000, the maximum loan-to-value (LTV) is 60% of the purchase price, including relevant taxes and the price of the Certificate of Entitlement, where applicable; and

 

(ii) For a car with OMV of more than $20,000, the maximum LTV is 50%.

 

(iii) The tenure of a car loan will be capped at 5 years.

 

 

Hooot liao

Edited April 5, 2013 by Mockngbrd

[RadX]

I personally was damn proud of the policy making process that 'left no stone unturned' before. Watertight to the max and you could not fault them for it. Now, well, you see, even the death thingy they want to abolish.....wtf.

 

Druggists should be put down...PERIOD. No buts and Ifs

[RadX]

go tell ur kaki there hoot all the used F10 un mkt.,....muahahah