Scrap car is the process of dismantling an old vehicle to obtain its individual parts or for recycling. In terms of scrap car Singapore is very strict. Shops authorised by the LTA can only perform car scrapping services. The vehicle scrapping process is two-fold. First, the shop removes working parts of the vehicle for selling. Then, they crush the rest of the vehicle using a machine. After that, they send it to a hammer mill or industrial shredder for reducing into smaller pieces of metal. Before you retire your vehicle to the scrap car yard, you have to deregister car in Singapore.
The thought of scrapping a worn-out vehicle down may sound like a lot of money. But it’s actually a cost-efficient process where you’ll even earn money. Here are the top reasons why your vehicle needs to go through the scrap car process.
A vehicle’s COE lasts only ten years. If you have a car that’s entering its tenth COE year, it’s better to scrap your car. Your other options are to renew the vehicle’s COE, or sell it. However, these options are not feasible. Renewing your vehicle’s COE would cost you thousands of dollars, from the process of renewing, down to its maintenance. And we all know that maintaining an old vehicle costs more than buying a new one. Selling your vehicle is possible but difficult given that it is older than other used vehicles. Buyers would rather purchase a vehicle that’s five years old because it will require less maintenance.
Purchase a New Car
So you know that your vehicle’s COE is near expiry and your ride needs replacement. Bring your vehicle to a scrap car yard to get rid of it. Then use the cash from selling parts to buy that new car.
If you are thinking of doing ridesharing, then you also need to let your old vehicle go for scrapping. That way, you can have cash to buy a new car for your ridesharing business.
High Cost of Maintenance and Repair
Maintenance and repairs are costly for vehicles that are old or damaged by accidents. Let’s say that your vehicle is less than a decade old, but has gone through a lot of major accidents. Its maintenance and repair costs may be as expensive as an old car. Hence it may make more sense to bring your vehicle to the scrap car yard.
Provide for Monetary Needs
If you need to pay for something really important and quick, then scrapping your car is another option. Careful though, as you might be thinking in haste when you do this, especially if your vehicle is relatively new. Think thoroughly if you need to scrap your car for money. There may be another way you can address this problem in another way.
Remember, when looking for a scrap car yard, go for one that has LTA authorisation and years of experience in the business. So that until the end, your vehicle is in safe hands.