Maybank Car Loan Review: Is it Worth Considering?

Maybank Car Loan Review: Is it Worth Considering?

Maybank's car loan is one of the more expensive options, due to its high interest rate.

Good for

  • Individuals that are not approved for cheaper loans
  • Individuals interested in Islamic vehicle financing options

Bad for

  • Individuals seeking the cheapest car loan possible
  • Borrowers seeking to refinance their existing car loan

Editor's Rating

3.0/5.0

Maybank's car loan rates are not particularly competitive compared to those of other loans available in Singapore, due to its high interest rate of 3.25%. Therefore, it is best to view the bank as a backup option if you are not approved for other sources of vehicle financing.

Summary of Maybank Car Loans
High Interest Rates: 3.25% p.a.
Loan Tenure: 1 to 7 years
Maximum Loan Amount: Up to 60% or 70% of vehicle price

Table of Contents

What Makes Maybank's Car Loans Stand Out to Borrowers

Maybank charges a much higher interest rate of 3.25% for its car loans than other lenders in Singapore, making it a less affordable option. For example, over the course of a 5-year S$50,000 loan, Maybank's car loan costs S$1,175 more than typical car loan with a 2.78% interest rate. With that said, borrowers that are unable to obtain a car loan from other banks may want to keep Maybank in mind as a an alternative to other lenders. It is also worth noting that Maybank offers Islamic auto financing, which may be of interest to prospective borrowers. However, Maybank does not provide additional details about this product on its website, making it difficult to assess its affordability compared to other loans.

Total Cost of Maybank's Car Loans

Duration (Years)Flat RateMonthly PaymentTotal Interest Cost
13.25%S$6,023S$2,275
23.25%S$3,106S$4,550
33.25%S$2,134S$6,825
43.25%S$1,648S$9,100
53.25%S$1,356S$11,375
63.25%S$1,162S$13,650
73.25%S$1,023S$15,925
Assuming loan of S$70,000

Who Can Apply: Eligibility Criteria

Consider this if you are not able to obtain a cheaper car loan

Interest Rate 3.25%
Maximum Principal Up to 60% or 70% of car price
Maximum Term 7 years

Maybank offers its car loans to Singaporean Citizens, Permanent Residents and foreigners residing in Singapore. Applicants must be at least 21 years old. Foreigners applying for a car loan from Maybank must apply with a local guarantor. Additionally, Maybank offers the largest loans for new and used cars possible under MAS rules, with principals of up to 60% or 70% of the vehicle's value.

Maximum Loan Principal

Vehicle's Open Market ValueMaximum Loan
S$20,000 or less70% of the purchase price or valuation price, whichever is lower
Greater than S$20,00060% of the purchase price or valuation price, whichever is lower

Other Charges and Fees

Maybank does not provide details of any fees associated with its new or used car loans. Typically, lenders charge fees for late payments or for fully repaying a loan before the end of its tenure. We strongly recommend that you understand the fees associated with any financial product before applying. This also true for car loans, as expensive fees can increase the total effective cost of owning your vehicle.

How to Apply: Application Process

Individuals interested in applying for Maybank's car loans must complete an application form and provide documents proving their identity, income and employment. Maybank also requires applicants to complete a hire purchase agreement form, if applicable.

Examples of Required Documents:

  • Photocopy of NRIC/Passport
  • Computerised payslip
  • CPF Statement of Account
  • Latest Income Tax Notice of Assessment
  • Transfer of Vehicle Ownership (if applicable)

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