Commercial Vehicle Loan Rates in Singapore (2026)
In Singapore, commercial vehicle loan interest rates typically fall between 2.5% and 5% per annum, varying by lender, vehicle type, loan amount, and borrower profile. Unlike car loans, commercial vehicle loans are available to both individuals and business entities (SMEs, sole proprietors, partnerships, and companies).
In 2026, commercial vehicle financing rates remain competitive. The table below provides a general indication of rate ranges based on common scenarios.
Indicative Rate Ranges by Scenario
| Scenario | Loan Amount | Indicative Rate (p.a.) | Typical Tenure |
|---|---|---|---|
| Van Replacement (SME) | S$40,000–S$60,000 | 3.0%–4.5% | 36–60 mo |
| Lorry Purchase (Sole Proprietor) | S$60,000–S$90,000 | 3.5%–5.0% | 36–60 mo |
| Fleet Expansion (Company) | S$80,000–S$150,000 | 2.8%–4.2% | 48–60 mo |
| Mini-Bus / Passenger Transport | S$50,000–S$80,000 | 3.2%–4.8% | 36–60 mo |
| Prime Mover / Heavy Vehicle | S$80,000–S$150,000 | 3.0%–4.5% | 48–60 mo |
| Used Commercial Vehicle | S$20,000–S$70,000 | 3.5%–5.0% | 24–48 mo |
Rates are indicative and subject to lender assessment. Actual rates depend on credit profile, vehicle age, and loan amount. Updated June 2026.
Factors That Affect Your Rate
Several factors influence the interest rate offered by lenders for commercial vehicle financing in Singapore:
- Credit profile — A strong credit history and score typically secure lower rates.
- Business financials — For SME borrowers, revenue stability, profitability, and years in operation matter.
- Vehicle type and age — Newer vehicles and standard models (vans, lorries) tend to attract better rates than specialised or older vehicles.
- Loan-to-value ratio — Lower LTV ratios (smaller loan relative to vehicle value) often result in more favourable rates.
- Tenure length — Shorter tenures (24-36 months) may have slightly lower rates than longer tenures (48-60 months).
Comparing Commercial Vehicle Loan Offers
When comparing commercial vehicle loan offers, look beyond the advertised interest rate. Consider the effective interest rate (EIR), which factors in fees and charges, early repayment penalties, processing fees, and the total repayment amount over the full tenure.
Using a broker like CoeLoans can help you compare multiple offers at once, saving time and ensuring you see a range of terms from different lending partners. Visit our Commercial Vehicle Loans page for more details.
Frequently Asked Questions
Commercial vehicle loan rates may be slightly higher due to the different risk profile of business borrowers and commercial vehicle depreciation. However, rates remain competitive across the market.
Fixed-rate commercial vehicle loans are common in Singapore, providing predictable monthly repayments throughout the loan tenure.
Typical requirements include business registration, financial statements, vehicle particulars, and personal identification of directors or guarantors.
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