Car loans provide financing options for credit-constrained households with a critical need for a car. The Monetary Authority of Singapore's (MAS) restrictions on motor vehicle loans granted by financial institutions are principally to encourage households to borrow prudently. MOT works closely with MAS to monitor motor vehicle loans in Singapore. The latest data shows that very few borrowers default on their motor vehicle loans granted by financial institutions, which provide the majority of such loans. Moreover, motor vehicle loans do not constitute a significant share of overall household debt and have remained low and stable in terms of value.