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Renew COE or buy new car

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PNGMK
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Re: Renew COE or buy new car

Postby PNGMK » Tue, 25 Apr 2017 7:56 pm

You've truly exposed what a stoopid idiot you are. I did not say increase the car population; I said stop scrapping the existing car population.
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Re: Renew COE or buy new car

Postby x9200 » Wed, 26 Apr 2017 7:15 am

They should emphasize on the export but I don't think it's Singaporeans, unless it is already easier right now to export than scrap. Why to scrap a 10yo, good and healthy car is also beyond me.

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Re: Renew COE or buy new car

Postby ecureilx » Wed, 26 Apr 2017 7:41 am

x9200 wrote:They should emphasize on the export but I don't think it's Singaporeans, unless it is already easier right now to export than scrap. Why to scrap a 10yo, good and healthy car is also beyond me.

At least one of the right hand drive countries in Asia has strict rules on importing cars older than 3 years.

Unless they were reconditioned, like how Japan does.

Most other RHD countries have heavy duties and taxes for importing used cars, it makes it cheaper to buy new ones.

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Re: Renew COE or buy new car

Postby x9200 » Wed, 26 Apr 2017 9:04 am

ecureilx wrote:
x9200 wrote:They should emphasize on the export but I don't think it's Singaporeans, unless it is already easier right now to export than scrap. Why to scrap a 10yo, good and healthy car is also beyond me.

At least one of the right hand drive countries in Asia has strict rules on importing cars older than 3 years.

Unless they were reconditioned, like how Japan does.

Most other RHD countries have heavy duties and taxes for importing used cars, it makes it cheaper to buy new ones.

Ok, I agree, it's more complex, especially if we really factor in some true eco friendliness but at the end of the day, I believe it's all about money and with the COE that high, there should be some more reasonable way to utilize those cars. We are talking about vehicles that already follow some environmental standards, so it is not like dumping some toxic wastes to underdeveloped countries. E.g. how about shipping these cars out to some other countries that could still make a use of them? Africa, South America? How much per car would it costs if they are shipped using a dedicated massive cargo? Less than a fek $k per car? It would be like 5-15% of the COE.

BTW, another example, pretty close to this topic is recycling. In Singapore common non-metal rubbish is not recycled but burnt. As far as I know, there is no recycling of the plastics. There is also no export of them. The reason: it would not be economically feasible and probably also environmentally reasonable to export it. Recycling comes at the environmental cost too. So does transporting the rubbish to the facilities.

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Re: Renew COE or buy new car

Postby PNGMK » Wed, 26 Apr 2017 9:24 pm

Well I paid $52,008 today in cash to renew my Forester's COE. I felt awful doing it but relieved after. I have 10 more years use of a decent, well maintained car and no debt.
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Re: Renew COE or buy new car

Postby bgd » Thu, 27 Apr 2017 9:47 am

PNGMK wrote:Well I paid $52,008 today in cash to renew my Forester's COE. I felt awful doing it but relieved after. I have 10 more years use of a decent, well maintained car and no debt.


Have 350k kms on one of those in NZ. Just regular servciing. You'll easily get another 10 years trouble free motoring.

But a brand new one is less than the COE :o

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Re: Renew COE or buy new car

Postby Strong Eagle » Thu, 27 Apr 2017 10:07 am

bgd wrote:But a brand new one is less than the COE :o


Until you add in the COE.

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Re: Renew COE or buy new car

Postby PNGMK » Thu, 27 Apr 2017 6:27 pm

bgd wrote:
PNGMK wrote:Well I paid $52,008 today in cash to renew my Forester's COE. I felt awful doing it but relieved after. I have 10 more years use of a decent, well maintained car and no debt.


Have 350k kms on one of those in NZ. Just regular servciing. You'll easily get another 10 years trouble free motoring.

But a brand new one is less than the COE :o


A XT forester is around $145k here. The problem as I keep telling Sinkies ad nauseum is not the COE but the damn PARF (import duty) which jumped from 100% when I bought mine 10 years ago to around 180% now. I seem to recall my Forester was $77,000 in 2007 with a 10k COE. By rights it should be around 77+40 (107,000) but it's not now because not only has inflation caught up (although the yen has dropped) but the PARF has jumped ...
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Re: Renew COE or buy new car

Postby bgd » Thu, 27 Apr 2017 7:03 pm

Strong Eagle wrote:
bgd wrote:But a brand new one is less than the COE :o


Until you add in the COE.

.
I was talking about NZ, no COE :D

I also saw that the Triumph Explorer is around 20K, NZ again. I remember looking at them in Sg in 2012 and they were 45K. Would hate to think what they are now with latest increases.

Just goes to show how much cheaper cars and bikes are outside of Sg. And NZ has nothing on the US.

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Re: Renew COE or buy new car

Postby PNGMK » Fri, 28 Apr 2017 9:32 am

bgd wrote:
PNGMK wrote:Well I paid $52,008 today in cash to renew my Forester's COE. I felt awful doing it but relieved after. I have 10 more years use of a decent, well maintained car and no debt.


Have 350k kms on one of those in NZ. Just regular servciing. You'll easily get another 10 years trouble free motoring.

But a brand new one is less than the COE :o


Oh I agree. The turbo model unfortunately runs hot (IMO) so needs more maintenance and the shitty plastic radiator tops crack (and I have had to do a rebuild last year due to overheating on the CTE thanks to that) but the costs of doing all that is still way way below what buying a new car AND maintaining same new car would be. Although I am a member of some forester forums the one tip they need to sticky is not there... replace the plastic radiator with a full alloy one before you hit 100,000km. I've just crossed 160,000 km at 10 years and our rate of driving is dropping so I expect that if we stay here another 10 years we will hit around 300,000 km.

Subaru Canada released a few years ago a 500,000km (yes, half a million km) maintenance schedule for the foresters so it's not at all unrealistic to think I could keep this car 30 years. Younger Singaporeans of course think it will fall apart as soon as I cross the causeway.

http://www.subaruforester.org/vbulletin ... ay-111032/
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Re: Renew COE or buy new car

Postby archcherub » Sat, 24 Jun 2017 6:49 pm

yeah me thinking of renewing COE too.
it seems a good choice now given most cars run pretty well even after a decade of running!

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Re: Renew COE or buy new car

Postby archcherub » Mon, 26 Jun 2017 12:05 am

i just read this article - coe renewal loans

i contacted the sales guy and he said there is no GST on his loans. Is that possible? :o

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Re: Renew COE or buy new car

Postby Strong Eagle » Mon, 26 Jun 2017 1:58 am

archcherub wrote:i just read this article - coe renewal loans

i contacted the sales guy and he said there is no GST on his loans. Is that possible? :o


Provision of loans is exempt from GST collections, so yes, it is very possible.

What is less understandable is what is being used as collateral for a COE loan. The underlying value of a 10 year old vehicle is unlikely to cover the costs of COE, so you either need to put up another personal asset, or they are offering a personal note without collateral, something I find highly unlikely.

There may be provision that if you fail to make a payment, you are required to scrap to car to get a PARF refund which would go directly to the creditors, along with whatever the scrap value is.

I don't see how this works, except for possibly amazingly high interest rates.

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Re: Renew COE or buy new car

Postby PNGMK » Wed, 28 Jun 2017 4:08 am

Strong Eagle wrote:
archcherub wrote:i just read this article - coe renewal loans

i contacted the sales guy and he said there is no GST on his loans. Is that possible? :o


Provision of loans is exempt from GST collections, so yes, it is very possible.

What is less understandable is what is being used as collateral for a COE loan. The underlying value of a 10 year old vehicle is unlikely to cover the costs of COE, so you either need to put up another personal asset, or they are offering a personal note without collateral, something I find highly unlikely.

There may be provision that if you fail to make a payment, you are required to scrap to car to get a PARF refund which would go directly to the creditors, along with whatever the scrap value is.

I don't see how this works, except for possibly amazingly high interest rates.



SE - I'm surprised you missed this but I did too until a mate here explained it - the COE itself is the collateral. They loan you the money but hold the COE - the first payment you miss they scrap the car and cash in what is left on the COE and body value. As the COE on a non-parf car is a straight line depreciation over 5/10 years it's a very low risk deal and if they hold the paper (title or name change) it's easily secured. Second thing you may not be aware of is that scrap car paper is becoming a money laundering business because you can turn cash into legitimate LTA issued cheque so there is a margin there as well.
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Re: Renew COE or buy new car

Postby Strong Eagle » Wed, 28 Jun 2017 6:16 am

^^^^^^
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