COE Renewal: How Do I Apply for A Loan During This Circuit Breaker Period?

COE renewal(Photo Credit: Straits Times)

Due to the extension of the COVID-19 Circuit Breaker, almost everyone has been affected one way or another. One thing is for sure, there is an evident need to be more frugal and prudent with regards to spending.


This is especially important to car owners with vehicles that are due for deregistration soon. If you fall under this group, you have two options: renew your COE or purchase a new car.

With a global recession looming on the horizon, purchasing a big-ticket item, like a new car, might not be the wisest decision. After all, people would prefer to have access to cash during times of crisis.

With that said, choosing to renew your COE instead of purchasing a new car would be the smarter choice at the moment. This is especially so if your vehicle is still in working condition.

If you are unfamiliar with the COE renewal process, do not fret. We have written down the steps that you will need to take to renew your COE during this Circuit Breaker period.

1) Determining the Prevailing Quota Premium (PQP)
For the benefit of those who don’t know, COE can either be renewed for 5 or 10 years. For a comprehensive guide about everything about the PQP, refer to our previous article here


You must understand what is PQP before you make any decision. After all, the financial aspect, along with the condition of your car, are the two most important factors when it comes to COE renewal.

2) Finding a COE Renewal loan provider

Since COE renewal is different from the purchase of a new vehicle, you will not be subjected to the usual car loans.

With that said, it would be advisable to compare across different platforms to see which best caters to your needs. However, with the Circuit Breaker in effect, you will only be able to compare these loans online.

Always be mindful of loan providers that over-promise. Also, always check the terms and conditions and find a reliable financial intermediary. As the saying goes, “if it’s too good to be true, it usually is”.

3) Loan Structure

Most, if not all, banks in Singapore would only allow loan tenures for up to 7 years for COE renewal.

This essentially means that if you’re looking at a 10-year renewal, you’d have to repay the amount in a maximum duration of 7 years. The minimum age to take up a loan is also generally at 21-years-old.

The financing rate for a COE renewal loan can be a 100%. However, this might vary across different loan providers. They might look at requirements such as your credit history, your intended loan amount, or your age.

Whatever the loan amount, you’d still need to set aside a certain amount of money to finance your loan

4) Application for COE renewal

Due to the COVID-19 social distancing measures, LTA’s Customer Service Centre at Sin Ming Drive will be closed during the period of the Circuit Breaker. Therefore, the only way to renew your COE is through OneMotoring.

Available from midnight to 6am daily, you will need an Internet Banking Account to make your payment.

To ensure the successful deduction of the PQP, please ensure there are sufficient funds in your bank account. Also, the payment amount should be set within your Daily Payment Limit. This limit can be adjusted via your Internet Banking account.

Your COE will be renewed once the payment is completed.

5) COE Renewal Through Motorist

If the process is too tedious and confusing, we at Motorist can actually help you simplify the entire process.

Not only will we source for the best COE renewal loan for you, but we will also help you find the most competitive motor insurance policy.

Paperwork? No worries. Our well-experienced team will handle all the necessary paperwork for you. This brings you an abundance of convenience, especially during this Circuit Breaker period.

By transacting with us, you really get to enjoy a peace of mind.

If you are still not convinced, you can read our positive reviews from our many satisfied customers for both COE renewal and Insurance.

As always, do adhere to the social distancing measures and stay safe!

Schedule a free COE renewal consultation session!


Read More: Circuit Breaker: Car Parks in Gardens, Parks and Nature Reserves are Now Closed


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