OCBC has reported a major increase in its Eco-Care Car Loans, with numbers surging over sixfold in 2023 compared to their launch year in 2021.

This rise coincides with a growing environmental consciousness among Singaporeans and a governmental push towards electric vehicles (EVs) as part of the Singapore Green Plan 2030.

In response to the increasing availability of older used EVs, OCBC has expanded its financing options under the Eco-Care Car Loans scheme.

Originally limited to new and less than three-year-old used EVs, the scheme now includes vehicles up to ten years old.

This expansion aims to meet the rising demand, evidenced by a 50.5% increase in EV registrations in 2023, as reported by the Land Transport Authority. EVs now represent 18.1% of total car registrations, a significant rise from 11.7% in 2022.

The scheme has not only seen a remarkable uptake for older models, with loans for used EVs almost 30 times higher in 2023 than in 2021, but also continues to attract customers purchasing new electric cars.

Notably, nearly half of the loans issued for new car purchases in 2023 were for EVs, with Chinese brands like BYD leading in popularity.

In addition to car loans, OCBC also offers Eco-Care Home Loans, encouraging homeowners to adopt eco-friendly improvements by providing preferential interest rates and electricity bill rebates.

Sunny Quek

Sunny Quek, Head of Global Consumer Financial Services, OCBC said,

“Three years ago when we introduced OCBC Eco-Care Car Loans, consumer interest in EVs was still low and knowledge about EVs was not as widespread. We wanted to do our part to get the momentum going by providing that additional incentive, in the form of a preferential interest rate for OCBC Eco-Care Car Loans.

 

It has helped to reduce the barriers to entry to owning EVs. Three years on, the EV market has become more mature and demand has been increasing. More brands and used EVs are entering the market, making them more affordable.“

Featured image credit: Edited from Freepik