When I was in University, I was lucky to only have lectures 2 days a week, each lasting 3 hours long. That meant I was only in class 6 hours a week, and I had a ton of free time.

Take note that I drove for Grab for 6 months in University, during that time Uber had already left the market and Grab was the only big ride hailing firm here in Singapore.

I also drove for Grab from graduation up till I found a job, for another 2 months. During that time, Go-Jek had come into the picture, but I am only talking about my experiences driving with Grab here today in this blog post.

I will be breaking down the post into a few different sections.

1. Process to getting a PDVL
2. Process to becoming a Grab Driver
3. Car Options for PHV
4. Fares
5. Hours to Drive
6. Petrol
7. Incentives
8. Pros
9. Cons

1. Process To Getting A PDVL

I was lucky that in the time I was applying to be a PHV driver, Grab had this scheme called Grab Fast Track.

This meant that I did not pay any upfront costs for the PDVL course and Grab had subsidized it for me fully. As I am below 25 years old, I also did not have a Skills Future account. You can pay for your PDVL course from your Skills Future account.

Now, you have to apply for your PDVL course yourself from this link. You have to pay a total of $155.15 upfront to complete and pass the entire course before you can take your temporary PDVL slip to Grab and apply to be a driver.

The PDVL requires you to do a compulsory medical check-up and also have a minimum GCE N or O Level English Grade D7 and above, or WSQ Conversational English (Competency Level 3).

At the point in time I was taking the PDVL, i was required to do a 1-day (10 hours) course at the Singapore Taxi Academy at The Herencia. This was then followed with an exam exactly 7 days after which consists of 2 papers, similar to BTT and FTT.

Once you pass the 2 papers, you will be issued with a temporary PDVL slip which you can take to the Grab office and start to apply for your driver account. However, do take note that they will not issue you the temporary PDVL slip if your medical results are not in yet.

2. Process To Becoming A Grab Driver

So if you already have your PDVL, congratulations! You can now apply for your driver account.

You will need to provide certain documents such as your personal information such as the basic NRIC, Driving License, Proof of Residence etc. and also your vehicle information such as Certificate of Insurance, Vehicle Log Card, Rental Agreement etc. to register as a driver.

For me, I had about a 1-day downtime. I collected my vehicle on a Monday morning from my rental company, and proceeded to activate my account at the Grab office the same afternoon. It took about 3 hours in total and I was able to leave by the evening. The account was only up and ready for use the next day (Tuesday).

Please ensure that you are free and not rushing off on the day you go to the Grab Office as there can be quite a queue. There is also a compulsory training that you have to undergo on the day itself. This includes a 30-minute video you have to watch and a simple MCQ quiz that you have to pass afterwards.

3. Car Options For PHV

There are many options out there in the market today of course. Just to name a few:

1. Your Own Car
2. Rental Car
3. LTO (Lease To Own Schemes)

Personally, I drove with a rental car when I was in University for 6 months.

Cost For Each Car Option

Your Own Car.

• A cheap car’s depreciation: $6500-7500/year
• Z10 Commercial insurance: $1600-1800/year
• Vehicle Road tax: $600-800/year

Total Damage: $725 -850/month ($8700-10100 per year)

A rental car can cost you anywhere from $1200 per month to $1800 or even $2000 per month. I was driving at the rental rate of $435/week for a Honda Grace Hybrid.

4. Fares

Now, to the point that everyone is interested in. How much exactly can we make?

Based off my experience, these are the average per hour fares:

• Weekday Peak Hours: $25-35/hour
• Weekday Non-Peak Hours: $20-25/hour
• Friday/Saturday Nights: $30-35/hour
• Weekends Other Hours: $25-30/hour

My best bet would be to normally aim for $20-30/hour in fares before commission.

Simply put, if you drive 8 hours a day, expect to make about $160-240 in fares before commission for that day.

5. Hours To Drive

Each driver has his or her own style of driving. Some prefer to drive in the night. Some prefer to drive in the day.

Some prefer to cherry-pick for good fares, while others prefer to accept all jobs that come in for the incentives.

Personally, i would drive from 6am-10am in the morning, and subsequently 4.30pm-8.30pm in the evening. That would make up about 8 hours of driving a day on weekdays.

For weekends, i would drive any hours that I’m free because the fares are generally quite similar throughout the day, except for Saturday nights where its slightly higher.

6. Petrol

There is one aspect we have yet to discuss – petrol.

On an average, I drive 30-50km an hour, including all picking-up distance, and also driving around to look for pings. Based on an average day at 40km per hour, I will be clocking about 320km on my car.

I was driving a Honda Grace Hybrid that has a fuel consumption of about 18-22km/L.

• Daily driven: 320km
• Fuel consumption: 18-22km/L
• Petrol used: 16-20 L
• Price of petrol: $2.42/L (at that point in time)

Total Price for Petrol: $38.70-$48.40/day before discount

After 20% PHV discount, we are looking at an average of $35/day for petrol.

7. Incentives

I know a lot of people are wondering, how about incentives?

Drivers ourselves will know that Grab has not been giving out good incentive returns ever since UBER left the market here in Singapore. Incentives were as good as non-existent in the time of my driving.

I was able to fight for about $50-100 worth of incentives if I wanted to. This generally meant I had to be hitting 50-100 trips a week, but I would have to keep my acceptance rates and cancellation rates good which I wasn’t able to do 90% of the time. Thus, there was barely any incentives left for me.

Incentives are of course higher for drivers who have great acceptance rates and low cancellation rates which is difficult for most part-time and new drivers because some fares can be quite low. Cancelling will mean bringing up our cancellation rates. Cherry picking drivers will definitely be called out.

Also, there are different tiers for every grab driver, more senior drivers who have been driving longer of course have a better incentive rate.

8. Pros

Of course, I enjoyed that short 6-months as a Grab driver. I was able to plan my time as and when I wanted and worked for no boss. I got up when I wanted and had the flexibility to do whatever I pleased whenever I wanted to.

I also had a vehicle to use whenever I needed, for my own personal errands or to go to school.

I was able to work harder and put in more hours on the road on weeks that I needed more money. I had a machine to make some money whenever I needed it, and could comfortably live day by day.

9. Cons

Sometimes, driving for long hours is not easy. Full concentration is required which means you have to be well-rested. Unlike working a desk bound job where you can doze off if you are sleepy, you can’t doze off on this job.

On the road, you are more at risk of accidents. Accidents are not only dangerous, but can be extremely expensive if you are involved in one. I was barely even profitable, who knows what would have happened if I got involved in any accidents?

I had to give up time, some events and also social opportunities because I could not just take the day off whenever I wanted. Everyday was a payable rental day and I had to make sure I had enough to pay off the car everyday. It was like a cat and mouse race.

Final Note

I hope this serves as a review, to all that may be out there wondering if they can make a quick buck or have their own vehicle just by driving a couple of hours a day on Grab.

All i can say is, long gone are the days of car ownership just by driving a few hours a week.

The only drivers who are making a decent living off driving for Grab are very likely full-time drivers that are driving at least 44-48 hours a week, at least.

Purchasing a used car may help you save some money compared to purchasing a new car, but it comes with a whole new set of problems.

A new car is simple, the mileage is at 0 kilometers, there is no wear and tear yet, and basically everything is brand new.

But, with a used car, it is a completely different ball game.

You may not know what the previous owner(s) may have done with the car, whether or not for a fact the vehicle has been in any major accidents, or even if the mileage on the car has been tempered or not.

There are a whole set of different problems with second-hand cars.

So, the big question is:

“What happens if I realize my car is faulty after I drive it off from the dealership?”

Here is where the lemon law comes into play.

In Singapore, all used cars sold are protected under the lemon law for 6 months.

This means that should there be any defects on the sold vehicle within the first 6 months of purchase, the buyer may seek compensation or redress for the car.

“What if it has been over six months?”

If there is a way to prove that the defect on the car happened at or before the time of handover to the customer, then the seller in this case will still be liable and responsible for the repairs.

“What kind of reimbursement can I seek?”

1. You can request for the seller to fix the defects.

For example, if it is a minor scratch or paint job chip, you can send it back to the car dealership to get them to redo the spray job at the small area for you.

2. You can return the car and request for a refund.

Should there be a major problem with the car, e.g. engine or chassis damage, if you can prove that the damage was done before the handover of the car to you, you can request to return the car for a full refund.

3. You can ask for a reduction in price.

If there is a defect with the car, but you are not looking to return it for a refund, this may be an option. You can ask for a partial reduction in the price of the car sold and do the necessary repairs.

“Is there anything I can do to to protect myself before a sale?”

Before purchasing a car, you can request for the used vehicle to be inspected by a third party provider such as STA or VICOM to check for any existing damages or wear and tear that may be present.

However, these costs will be borne by the buyer unless the seller misrepresents the state the car is in. (e.g. telling you that the car has no problems, but STA or VICOM’s inspection shows otherwise)

The buyer can request the seller to fix all the existing problems found before handover. However, when this route is taken, the buyer is no longer covered under the 6 months of lemon law.

“Does this mean that I can claim for the repairs of an accident within the first 6 months of purchase?”

NO.

There are exclusions to the lemon law, of course. You will not be covered under the lemon law if you do any of the following.

1. Misuse or send the car for any kind of unauthorized repair.
2. If the defect is caused by wear and tear, not an existing defect on the car.
3. If you knew that there was an existing problem with the car when you purchased.
4. If you feel like changing your mind.
5. If you purchased the car from a personal seller, and not a car dealership/company.

“What is the difference between warranty and the lemon law?”

Warranty can be issued from the original agent that sold the car. For example, a BMW can still have it’s warranty under Performance Motors.

The lemon law covers all vehicles sold, regardless of whether or not the company you purchase it from offers you an in-house or agent warranty.

Some used cars when purchased still have their existing agent warranties that may last for a couple of years.

Thoughts

In Singapore, car prices can be exorbitantly high. Depreciation costs can easily go over 5 digits a year here for mid-range luxury cars.

Price is a concern and deciding factor for most car buyers. It is important to understand your rights and protection against sellers who may understand the vehicles more than you do.

If you’re looking for a car dealership that covers you under the lemon law, take a look at Carro’s range of used cars here! Contact Clarice @ 91824752 for a discussion on your new vehicle today.

Purchasing a car in Singapore can come with a hefty price tag. Even though tempting, mid-ranged luxury brands like BMW, Audi and Mercedes-Benz can cost easily over S$200,000 when purchased brand new.

Just based off affordability, many turn to purchasing second-hand cars instead. But is purchasing a second-hand car really not as good as a brand new one?

Let me bring you through the 10 reasons why purchasing a second-hand car is a pretty great idea!

1. Less Financial Burden

This part is simple.

Car A costs $100,000 and can be driven for 10 years.

Car B costs $50,000 and can be driven for 5 years.

Even though the depreciation of the car may be the same at $10,000 a year, how much do you really have in the bank?

Considering you have $30,000 to set aside in down-payment for a car, it is a $20,000 loan VS $70,000 loan.

Depending on the time frame of the loan, interest itself can set you back differences of thousands.

You may think that you will take another loan for another car once your COE expires anyway so it does not make a difference.

However, there is too much uncertainty. You may have saved more money in the bank in this 5 years for your second car.

There may be a scrap value for your first car which you can put into funding for your second car.

Either way, you may not need to take that high of a loan after all. This saves you thousands on loan interests.

2. More Available Information on the Car

If you are purchasing a new car made in the year 2019, you may not be able to find a lot of reviews or information on the car online yet.

However, if it is an older car, there will be lots of reviews on car forums readily available for you to read about.

Fuel consumption, reliability and comfort is something that is best heard first-hand from another person who has already owned and driven the car.

3. Opens Up Options

If you want to purchase a Toyota Altis, you have the option of purchasing different manufactured versions of it.

Same cars from different registration years look different, and may have different specifications as well.

You can choose and pick based off your requirements, budget and preference.

4. No More Worrying About COE!

When buying a first-hand car in Singapore, you will have to bid for your 10-year COE. There are car dealerships that guarantee you COE on your first bid.

However, sometimes the COE is not guaranteed.

The price of COE in Singapore is also not guaranteed and it may fluctuate from month to month.

The price for COE may go up in the month that you are purchasing your new car. This way, you may end up paying up to thousands more just for the same COE.

5. Less Wait Times

As per our previous point on COE, it is not guaranteed.

In this case, you can only bid for COE once a month in Singapore.

If you are unable to get it in your first bid, you will need to wait for the next bidding in the following month.

This will mean delayed wait times for you to actually be able to purchase and collect your vehicle.

6. Lower Depreciation

This is self-explanatory.

We all know that cars depreciate more in the first few years of their lifespan, and less after that.

Buying a second-hand used car basically just means someone else paying off the higher depreciation portion for the lifespan of your car.

Some cars can lose up to half their value in just the first three years.

THE STRAITS TIMES

More dollars for you in your bank, yay!

After all that,

Always remember that a car serves the purpose of bringing you from one point to the other. If you can save money on that, why not?