Will Zheng Hu Curb Car Leasing Soon?

kenntona

Well-Known Member
Legendary 10 Years
Given that the strategy of exorbitant COE prices is used to curb car ownership, while leasing offers an alternative to direct 10-year ownership of vehicles, wouldn't zheng hu comes in and put a halt on leasing?

To me, COE structure mimicks a leasing agreement with LTA.
 
Re: Will Zheng Hu Curb Car Leasing Soon?

I think they're gonna tighten and regulate leasing and not put a stop to it. For example, there are now (only a very very small handful at this moment) some dealers that offer leasing with a balloon financing element in it. This way, the monthly lease amount payable is much lower than the traditional form of leasing as the paper value of the car is not taken into consideration. This paper value will have to be paid at the end of the lease which will then give the lessee the right to take ownership of the car. In addition, the running and maintenance of the car falls on the lessee. I suspect the garment will put a stop to such kind of leasing. They may even create a new COE category for leasing.
 
Re: Will Zheng Hu Curb Car Leasing Soon?

rodders;1039250 said:
I think they're gonna tighten and regulate leasing and not put a stop to it. For example, there are now (only a very very small handful at this moment) some dealers that offer leasing with a balloon financing element in it. This way, the monthly lease amount payable is much lower than the traditional form of leasing as the paper value of the car is not taken into consideration. This paper value will have to be paid at the end of the lease which will then give the lessee the right to take ownership of the car. In addition, the running and maintenance of the car falls on the lessee. I suspect the garment will put a stop to such kind of leasing. They may even create a new COE category for leasing.
Is this how they do it in the USA? At the end of 3 years, they normally change a new car.
 
Re: Will Zheng Hu Curb Car Leasing Soon?

leasing company already start advertising leasing is cheaper, faster and better than buying liao

cheaper = low upfront
faster = get car immediately and many to choose from
better = no headache or risk for heavy loss and trade-in to change car every 2-3 years

huat ah!!!


Ahbengdriver;1039312 said:
Is this how they do it in the USA? At the end of 3 years, they normally change a new car.
 
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Re: Will Zheng Hu Curb Car Leasing Soon?

Zhenghu can start a car dealership selling the various marques like NTUC selling household products.
 
Re: Will Zheng Hu Curb Car Leasing Soon?

If there's more $$ to collect - why not ?

The COE for leasing would be higher in a different category and the plate would be different.

Road tax would also be higher as it is perceived that kiasu Singaporeans would make full use of it.

The leasing charge would definitely be subject to GST.
 
Re: Will Zheng Hu Curb Car Leasing Soon?

wt_know;1039313 said:
leasing company already start advertising leasing is cheaper, faster and better than buying liao

cheaper = low upfront
faster = get car immediately and many to choose from
better = no headache or risk for heavy loss and trade-in to change car every 2-3 years


huat ah!!!

1. Upfront may be lower but monthly payments are higher.
2. May not get car immediately as lessee will have to choose a new car of their choice first before dealer put in bid for the COE to purchase the car. The dealer will also have to look for financing for this car. Most times, they'll get the financing from the bank that provides them with their floor stock financing.
3. Lessee will have to pay a hefty penalty if they decide to break the lease.
 
Re: Will Zheng Hu Curb Car Leasing Soon?

Uncle wobbles teach you one Cantonese saying: "有无甘大只既岬癞随街跳?" where got such thing Ai Pi, Ai Kin, Ai Chi, Ai Dua Liap one? If leasing is really cheaper, better, faster, everyone would've been doing it, and I bet you, the Garhmen, thru one of its linked companies, would be the biggest leasing company in Singapore.

Otherwise, they'll tax the bejeesus out of anyone who's doing it.

The pattern is so predictable now, it's not funny :(
 
Re: Will Zheng Hu Curb Car Leasing Soon?

I firmly hold onto my belief ( for years already ) that with the increased spending on infrastructure for public transport in recent years, this would come at the expense of car industry here.

The govt will make it excruciatingly expensive for people to own cars and "force" them to take public transport.

It has begun and it will end ugly for the car industry.
 
Re: Will Zheng Hu Curb Car Leasing Soon?

TripleM;1039324 said:
I firmly hold onto my belief ( for years already ) that with the increased spending on infrastructure for public transport in recent years, this would come at the expense of car industry here.

The govt will make it excruciatingly expensive for people to own cars and "force" them to take public transport.

It has begun and it will end ugly for the car industry.

Nah.....I dun tink so loh.....

They enjoy collecting so much from COE and Taxes from each new car why would they break their own 'Rice Bowl' ??

They also know our 'Pattern' .....either die die also buy car or just complain or Vote for the Oppositions.....

Wat say you Pak?
 
Re: Will Zheng Hu Curb Car Leasing Soon?

TripleM;1039324 said:
I firmly hold onto my belief ( for years already ) that with the increased spending on infrastructure for public transport in recent years, this would come at the expense of car industry here.

The govt will make it excruciatingly expensive for people to own cars and "force" them to take public transport.

It has begun and it will end ugly for the car industry.
Maybe an ugly end for the current ruling elites too?
 
Re: Will Zheng Hu Curb Car Leasing Soon?

One reason why COE prices are still so high is because many of the bids from car dealers are actually from their leasing business. Business is indeed very good for them. Sadly, many consumers are not aware of the hidden costs from leasing. They only see what they want to see ie no heavy upfront down payment.
 
Re: Will Zheng Hu Curb Car Leasing Soon?

rodders;1039338 said:
One reason why houses, cars, COEs, cost of living, everyday prices are still so high is because many of the taxes imposed on them, directly or indirectly, go toward paying the million dollar salaries of those running the political business. Business is indeed very good for them. Sadly, many citizens are not aware of the hidden costs from politics. They only see what they want to see ie more good years ahead.

Honestly, rodders, I just changed a couple of words, switched a couple of sentences, and I swear, you were writing a commentary on the sad state of the cost of living here in Singapore.

Go join something before someone tells you to :lol2:
 
Re: Will Zheng Hu Curb Car Leasing Soon?

wobbles;1039379 said:
Honestly, rodders, I just changed a couple of words, switched a couple of sentences, and I swear, you were writing a commentary on the sad state of the cost of living here in Singapore.

Go join something before someone tells you to :lol2:

Hello my words are copy right one hor. Don't suka suka change them hor or else I'll engage a famous lawyer from this forum to sue you.
 
Re: Will Zheng Hu Curb Car Leasing Soon?

rodders;1039380 said:
Hello my words are copy right one hor. Don't suka suka change them hor or else I'll engage a famous lawyer from this forum to sue you.

:lol2::lol2: OK, OK... I gave you fair acknowledgement mah, hehehehe. Besides, Robot already helped the laMWyer buy his M5 liao, and I don't wanna be an additional contributor to his new M6GC purchase fund!
 
Re: Will Zheng Hu Curb Car Leasing Soon?

wobbles;1039382 said:
:lol2::lol2: OK, OK... I gave you fair acknowledgement mah, hehehehe. Besides, Robot already helped the laMWyer buy his M5 liao, and I don't wanna be an additional contributor to his new M6GC purchase fund!

Maybe he might consider leasing it.
 
Re: Will Zheng Hu Curb Car Leasing Soon?

Hi, PM me price for M6 cabrio with COE. Sincere buyer. Cash
 
Re: Will Zheng Hu Curb Car Leasing Soon?

MW;1039390 said:
Hi, PM me price for M6 cabrio with COE. Sincere buyer. Cash

Hi, interested in leasing your future M6 cabrio with COE. Bro-to-bro price, kopi with the lian bang meis. Win-win!
 
Re: Will Zheng Hu Curb Car Leasing Soon?

MW;1039390 said:
Hi, PM me price for M6 cabrio with COE. Sincere buyer. Cash

If you need to get around MAS Notice 642 to get a higher QOF, please PM me to tell you how.
 
Re: Will Zheng Hu Curb Car Leasing Soon?

It's only a matter of time before MAS imposes MAS Notice 642 on car dealers buying cars for leasing. As it is right now, they are not subject to it and hence are able to get a higher QOF.

There are also some banks that are offering an old and almost forgotten form of financing to selected expensive high end car buyers. Its known as a Bill Of Sale financing. This form of financing allows the car buyer to get a higher QOF thereby getting around MAS 642. The QOF can be as high as 90%.
 
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