Document background
The Car Installment Agreement serves as the primary legal document for vehicle financing transactions in Singapore. It is commonly used when individuals or businesses wish to purchase vehicles through structured payment plans rather than full upfront payment. The agreement must comply with Singapore's Hire-Purchase Act and related regulations, which provide specific protections for consumers and requirements for lenders. The document typically includes detailed vehicle specifications, payment terms, interest calculations, insurance requirements, and default provisions. This agreement type is particularly important in Singapore's context, where vehicle ownership is strictly regulated and significant financial commitments are involved in car purchases.
