Car owners in Singapore have several compelling reasons to consider scrapping their vehicles. Here are some of the most prevalent factors:
- Vehicle Age: In Singapore, a prominent reason for scrapping a car is its age. The country imposes a 10-year lifespan limit on cars, after which they must either be scrapped or undergo a costly revalidation process.
- Repair Costs: When the expenses for repairing a car surpass its market value, opting to scrap car in Singapore and purchase a new one often makes better economic sense.
- Expired COE: Cars in Singapore are required to possess a Certificate of Entitlement (COE) for registration and road use. COEs have a limited lifespan, necessitating renewal or car scrapping once they expire.
- Emissions Standards: Singapore enforces strict emissions standards for vehicles. If a car fails to meet these standards, it might be rendered unfit for road use, making scraping the only viable option.
- Other Circumstances: Additional reasons for car scrapping in Singapore can include involvement in a severe traffic accident or the car simply no longer being required by its owner. Check 5 Simple Steps of How to Scrap Car in Singapore
Pre-Scrapping Measures to Take
Before proceeding with the scrapping process, there are some essential steps to follow:
- COE Expiry Check: Verify the expiration date of your COE. If the COE has lapsed, you must either scrap the car or renew the COE to keep it roadworthy.
- Paper Value Assessment: Calculate your car’s “paper value,” which is the total of the COE rebate and PARF rebate. It’s important to note that PARF rebates are applicable only to cars under 10 years old, while COE rebates are granted upon vehicle deregistration before COE expiry. The amount of COE rebate varies depending on the timing of the deregistration.
- Debt Settlement: Clear any outstanding loans or traffic fines associated with the car to avoid legal complications.
- Insurance Cancellation: Cancel your car insurance to prevent unnecessary premium payments. Cancellation may make you eligible for a prorated rebate on the remaining premium, saving you money.
- Personal Belongings Removal: Before handing your car over to the scrapyard, ensure all personal items, such as cash cards, coins, and attached car accessories, are removed.
Choosing a Reputable Scrap Car Agent
To scrap your car safely and legally, you can select from LTA-appointed scrap yards or reputable car scrapping agents. Here’s how to find a reliable car scrapping agent:
Online Search: You can look for trustworthy car scrapping agents online, where you’ll often find customer reviews and ratings to assist in your decision.
Recommendations: Seek recommendations from friends or family who may have had positive experiences with car scrapping agents.
Car scrapping agents typically offer competitive scrap values and a more convenient, hassle-free process, handling all aspects of car scrapping.