A simple guide to COE renewal: How & when should you renew
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PUBLISHED ONSeptember 01, 2020 4:37 AMByJames Chan
Cars are very expensive in Singapore.
Sure, you could buy a new car when your current COE expires, but COE renewal is always the most logical (and economical) choice - provided that your car is well-maintained, in good condition and gives you little to no problems.
We've taken some frequently asked questions about COE renewal and compiled them into an article.
Why you need to renew your COE?
When your COE expires, you will need to renew it to keep the vehicle registered under your name.
If you do not renew your COE, your vehicle will have to be deregistered and scrapped or exported.
When to renew your COE?
You can renew your COE before the existing COE expires. It can even stretch up to one month after the COE expiry date! However, you won't be able to drive your vehicle until you renew your COE.
Furthermore, a late payment fee will apply.
| Vehicle type | Late renewal fee |
| Motorcycle | $50 |
| Private motor car (1,000cc and below) | $50 |
| Private motor car (1,001cc to 1,600cc) | $100 |
| Private motor car (1,601cc to 2,000cc) | $150 |
| Private motor car (2,001cc to 3,000cc) | $200 |
| Private motor car (more than 3,000cc) | $250 |
| Business service passenger vehicle (company car) | $250 |
| Goods vehicle and public service vehicle | $250 |
| Others | $250 |
How much does COE renewal cost?
To calculate the COE renewal price, you'll have to take the past three-month average of COE premiums.
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This average is also known as the Prevailing Quota Premium (PQP).
For example, the April CAT A COE PQP is the average of the CAT A COE price from January, February and March. It's pretty straightforward to calculate.
The PQP rate depends on the date you choose to renew your COE and your COE expiry date.
For example, if your COE expires on April 3, 2020, you can choose to
1. Renew early before your COE expires
If you choose to renew your COE for five years, you will have to deregister your car when it expires
- You can find out the PQP for March 2020 after the second bidding exercise in Feb 2020. You can renew your COE using the March 2020 PQP on the Friday after the second bidding exercise in Feb 2020.
- Your new COE period will start on April 1, 2020.
- In this case, you have until the end of March to do this.
*Note that the unused portion of your COE will be forfeited (including COE rebates)
2. Renew in the month your COE expires
- You can find out the PQP for April 2020 after the second bidding exercise in March 2020, and renew your COE on the Friday after the second bidding exercise in March 2020.
- Your COE period will start the day after your current COE expires (which in this case is April 4, 2020)
- You will have until the end of your COE to do this. (3 April)
Check out the latest COE bidding results here.
Should you renew your COE for five or 10 years?
You can choose to renew your COE for either five years or 10 years.
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Five years - You will not be eligible to renew your COE any further, and you will have to deregister your vehicle when it expires.
On the plus side, you'll only have to pay 50 per cent of the PQP.
10 years - No limit to how many times you want to renew your COE.
Writer's general advice: If you don't want such a huge financial commitment or don't see yourself driving the same vehicle for the next 10 years, go with a five-year renewal instead.
How to renew your COE?
1. Renew your COE online
via the OneMotoring website here.
You'll need to have an internet banking account with any of the following banks
- DBS/POSB
- UOB
- Citibank
- Standard Chartered
- OCBC
Please ensure you have sufficient funds in your bank account and remember to increase your daily limit.
2. Renew your COE by snail mail
Complete the application form and mail it to
Land Transport Authority (LTA)
Customer Service Centre
10 Sin Ming Drive
Singapore 575701
If you are paying by Cheque, make the Cheque payable to 'LAND TRANSPORT AUTHORITY' and cross 'A/C Payee Only'. Don't forget to write your vehicle and contact number on the reverse side of the Cheque.
If your COE has expired, LTA only accepts cashier's orders. Do not send cash payments by post.
Your COE renewal application date is the date that LTA receives the application. Best to mail at least two weeks before your COE expires.
3. Renew your COE via LTA's customer service centre
Complete the application form and submit it along with your PQP payment to the LTA customer service centre @ 10 Sin Ming Drive 575701.
Opening hours:
8.00am to 4.30pm on Mondays to Fridays
8.00am to 12.00pm on Saturdays
If your COE has not expired yet, you may pay by Cash, Cashier's order, NETS or Diners Club card, Cheque (for cheques, your COE will only be renewed when the Cheque is cleared)
If your COE has expired, you will be charged a late fee on top of the PQP. You may pay by Cash, Cashier's order, NETS or Diners Club card
Some downsides with COE renewal
1. PARF and COE Rebate forfeiture
Once you renew your COE, the Prevailing Additional Registration Fee (PARF) and COE rebates for your car will be forfeited.
You may refer to the table here to calculate your PARF. Read more about 'How much will you get back when you deregister your car'.
| Age at deregistration | PARF rebate |
| Not more than 5 years | 75 per cent of ARF paid |
| Above 5 but not more than 6 years | 70 per cent of ARF paid |
| Above 6 but not more than 7 years | 65 per cent of ARF paid |
| Above 7 but not more than 8 years | 60 per cent of ARF paid |
| Above 8 but not more than 9 years | 55 per cent of ARF paid |
| Above 9 but not more than 10 years | 50 per cent of ARF paid |
| More than 10 years | Nil |
2. Increase on road tax every year
There's a 10 per cent increase on your road tax every year (capped at a maximum of 50 per cent). Therefore, if your road tax was $1000 before you renewed your COE,
How can you get a COE renewal loan?
When you renew your COE, you can get a full 100 per cent loan from banks to pay the PQP!
All you have to do is just go from bank to bank, compare interest rates, apply for the loan and wait for approval.
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Is there an easier way? Here's where sgCarMart can help you.
Expert advice for any queries you have
We can guide you along, step by step, answering any questions you might have, to ensure a smooth COE renewal process.
Maximum savings, minimum hassle
We will help you to find the best coe renewal loans in Singapore, additionally, all LTA documentation will be handled for you!
To top it all off, we'll even throw in a complimentary pre-COE car inspection for your vehicle to help you make a well-informed decision!
This article was first published in sgCarMart.