Driving in Singapore: Car Leasing, Buying and Rules of the Road

Driving in Singapore can be challenging in terms of many things. This ranges all the way from buying a car to changing lanes when driving the kids to school. For many moving to Singapore to live and work, driving is a very different experience to home.

Buying a Car in Singapore

Let’s start with the acquisition of a vehicle. This may well be the most prohibitive part of the driving experience. And if you think that it’s prohibitive in Germany, the USA, Thailand or wherever you’re from then Singapore is about to change your perspective. In order to put a car on the road in Singapore, one  needs to pay for the COE (Certificate of Entitlement). This currently stands at just over S$70,000 for a car of 1600cc or below, or just over S$85,000 for a vehicle that is over 1600cc. The certificate lasts for ten years.

Car Leasing in Singapore

Luckily, there is an alternative which makes putting a car on the road a lot more straight-forward: car leasing. “Leasing a car takes away all the lump sums, payment headaches and long-term commitment that buying a car oneself brings”, according to Charyna Francisco from Avis Singapore. Regulation around loan-giving has recently tightened in Singapore, making it more difficult than ever to buy a car on credit.

Driving in Singapore can be an expensive activity if approached the wrong way.

Those who move to Singapore are faced with huge lifestyle and surroundings changes, and being free to drive around is an attribute that many expats and foreign nationals will not want to surrender upon arrival in Singapore.

In many cases, a car leasing agency in Singapore can have everything set up for you once you arrive in Singapore – the ideal thing is to make contact before you arrive here. Servicing & maintenance, Insurance & Road Tax and breakdown assistance are often included in the price. It is possible to choose car leasing of an economy-class car or premium-class car with varying price levels. In some cases it may be possible to arrange corporate car-leasing packages.

Driving in Singapore, according to the Rules

People who intend to reside in Singapore for longer than 12 months must convert their driving license to a Singapore driving license in order to drive in Singapore. Conversion to a Singapore licence is often possible by passing only the Basic Theory Test if the foreign issued licence has not expired. Now that you’re on the road, the challenge continues as drivers in Singapore can be tricky, despite the enormous fines threatened.

Speeding carries similar fines as many countries in Europe. The Driver Improvement Points System (DIPs) applies to anyone breaking the rules of the road, and the rules are strict. A driver may not accumulate 24 or more demerit points within 24 months before he becomes liable for suspension. If a driver has been suspended before, he may not accumulate 12 or more demerit points within 12 months from the date of his last offence.

When using the roads in the inner city area and expressways during peak hour, you will be expected to pay a toll. Singapore has outfitted every car with an In-Vehicle Unit (IU) which when a prepaid Cashcard is inserted, automatically deducts the cost of the toll when you pass through one of the gantries that stand at the start of the roads affected.

For more information on driving in Singapore and adhering to the rules, visit Avis’ driving guide.

Driving to Malaysia from Singapore

If you wish to drive into Malaysia you may cross at the Causeway at Woodlands, and at the “2nd Link” at Tuas. At both entry points a toll must be paid using the Singapore cash card. Tolls in Malaysia are paid separately using a Touch ‘n Go contactless smartcard which can be purchased at counters on many Malaysian highways and petrol stations.

Ask Avis about Driving in Singapore