Car Leasing Scams You Need To Watch Out For

There are many reasons why people rent a car in Singapore. Some people get a bigger rental car in Singapore to accommodate more passengers when travelling. Foreign visitors lease an automobile to roam around the country without the need for mass transport systems. Other people visit car leasing dealers in Singapore to rent a vehicle temporarily while waiting for their personal car to finish the repair.

Whatever their reasons are, it is evident thatcar leasing companies in Singapore help many in moments of their needs. Yet, it is still inevitable for some to take advantage of these situations.

Some of us are unaware of scams looming around car leasing services. Get the upper hand by knowing their tricks. This article will help shed light on these common car leasing scams.

Car Rental Scams You Need To Watch Out For

During the holidays, the demand for car leasing services in Singapore surges as many people travel and have their vacation during this period. Many travellers overseas also visit the country during its most awaited seasons.

And recently, the COVID-19 pandemic may have, at least, affected the demand for a rental car service in Singapore as it is safer, health-wise, than public transport systems. Rental cars have less contact and are more isolated than buses and trains.  And before you lease a car in Singapore, learn about these car rental scams first.

Insanely low price and inadvertent upgrade

Several factors drive the price ofcar rental services in Singapore.

Time of booking can determine the price of your rental vehicle. Expect a lower price if you lease a car in Singaporemonths earlier than the date you need it. However, if you book an automobile with a shorter lead time, expect the pay for it at a higher price.

The demand for the rental car also matters. If you choose to book a vehicle during the peak season when the bull market is high, expect the price to be higher than usual as supply is scarce.

However, if the dealer offers you the vehicle at an insanely low price, even with price factors currently playing at hand, it is most likely a scam. What would happen is your rental car in Singapore would be “unavailable” on the day you need it. The dealer will persuade you to upgrade and rent a vehicle currently available at a slightly higher price to troubleshoot the problem.

Fuel package

One of the tricks you can find in the books is a full tank of gas option. Before you get your hand behind the wheels, sly dealers offer drivers to buy a full tank of gas from them.

Who doesn’t want a fuel package at an allegedly reduced price? The driver doesn’t need to fill up the gas tank of his rental car in Singapore from the nearby fuel station.

There is nothing wrong with buying fuel packages from the dealers, but dealers accomplish the trick when the driver returns the car half full.

The driver only consumes half of the gas you paid for and returns the leftover fuel you bought to the car dealer. Then the dealer resells your leftover fuel to the next customer.

The only way to outsmart this scam is by returning the car with the tank empty. Make sure to maximise the gas when yourent a car in Singapore.

Insurance policies

Another old trick in the book is insurance policies. It may not be a problem for people without insurance in the first place because you definitely need one when driving a car.

However, if the driver has existing insurance, such as credit card coverage, it can be a problem when they lease a car in Singapore.

Car dealers persuade drivers to buy insurance policies, like collision damage waivers, personal accident insurance, and supplemental liability protection.

In reality, these are already covered by your existing insurance. And buying these insurance policies and waivers is only a waste because it doubles up your insurance unnecessarily.

When you rent a car in Singapore, remember that these policies are optional. It is also helpful to communicate with your insurance provider and credit card company for car rental coverage.


Hidden charges

Another reason why car leasing companies have insanely low upfront fees is the hidden charges. Many dealers entice customers with their competitive base fee only to unravel hidden charges minutes before sealing the deal.

Car dealers do not include taxes, surcharge fees, and licensing fees on their posted price. The cost of your rental car in Singapore increases dramatically once these fees pile up.

Before sealing the deal, make sure to ask your car leasing company in Singapore for the bill’s breakdown. Ask them ahead about these fees for clarification.

Damage claims

One of the most common scams in car leasing services is false damage claims. False damage claims usually occur days or even a week after returning the vehicle. Rouge dealers send customers emails claiming they have discovered damages on the car that possibly happened during the hire period. These issues could be dents, missing equipment, and damages the customer did not cause.

The dealer charges the customers for false damage claims. What customers can do is to take a picture of the rental car in Singaporebefore using it. You can also consult a lawyer for fraudulent practices.


It is extremely hard to evade these scams. Sometimes, they are so sophisticated that some people are unaware that they are already entering a fraudulent deal.

Protect yourself from these car rental scams in Singapore. The key is to be vigilant. Only trust a reputable car leasing company in Singapore. Read the contracts and policies before signing any agreement. Lastly, do research and read reviews and feedback. Expert advice and recommendations from trusted friends are reliable as well.

CDG Rent A Car

Only trust a credible and reputable car leasing company in Singapore. CDG Rent A Car only provides the best and transparent deals to their customers. Do you need to rent a car in Singapore? Visit CDG Rent A Car.

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