Retrenchment Protection Plan
The Retrenchment Protection Plan is an exclusive plan to protect you from being suffocated in the event of retrenchment.
Through this plan, Cars & Stars, and our financing arm Speed Credit Pte Ltd, will assist you in paying your car loan repayments should you get retrenched. This will allow you to conserve your savings, and also channel your resources into necessary living expenses and getting a new job.
The Retrenchment Protection Plan offers 3 areas of protection for you:
1. Financial Protection
By helping you pay your car loans, we make sure that in times of no income, your savings can go into ensuring daily needs are met, and also channeled into preparations for securing a new job. Also, you will be able to avoid late charges imposed on you by the bank should you default payments.
2. Car Ownership and Credit Rating Protection
You might lose your job, but you will keep your wheels. Usually banks will attempt to repossess a car once the loan payment have been defaulted two or more times. With us taking care of your loan repayments, you can continue owning the car, and more importantly, protect your credit rating with the banks.
3. Peace-Of-Mind Protection
Losing a job can be extremely stressful for some people. This is primarily because of the sudden drop in income, and the need to go through a process of job hunting and interviews. The Retrenchment Protection Plan can remove some of these worries for you, allowing you to cope with the income loss better, and continue having a car so you can comfortably and easily travel to new employment opportunities and job interviews.
Am I eligible for this plan?
Any of Cars & Stars customers can apply for this plan.
When can I apply for this plan?
You can only apply for the Retrenchment Protection Plan along with the signing of the Sales Order.
What if I am not taking a loan?
No problem, you can still apply for the Retrenchment Protection Plan, and we will pay you a pre-determined amount per month when approved and if you get retrenched.
Will my private info be shown to external parties?
Cars & Stars follows the CaseTrust-SVTA policy of safeguarding your information privacy, and your information will be used only for the purposes of internal record keeping and completing sales transactions.
How soon will I know if my application is successful?
You will know the status of your application for the Retrenchment Protection Plan within 3 working days after your loan is successfully approved. You will be invited to come down and complete the application once we notify you of the success of your application.
What will the Retrenchment Protection Plan Agreement cover?
The Retrenchment Protection Plan agreement will essentially cover all the necessary important details such as the start and end dates for your protection coverage, the assistance we will be rendering to you should you activate the protection.
When will my protection coverage start?
The protection coverage provided by the Retrenchment Protection Plan to you will start on the day your new car is registered.
When will my protection coverage last?
The protection coverage will last for 1 year from the starting date. While you are covered by the Retrenchment Protection Plan, in the event that you get retrenched, you can activate the protection.
How do I activate my protection in the event I get retrenched?
Simply call your sales consultant, and he or she will assist you in activating your protection./
For how long will Cars & Stars make payment on my behalf?
Depending on the assessment, you can expect between three to six months of activated protection, where Cars & Stars will pay your loan installments on your behalf..
Can I activate my protection more than once within the protection coverage period?
No, you will not be able to activate your protection more than once. Once you first activate your Retrenchment Protection Plan, your coverage will effectively end when you have either a) secured a new and stable employment, or b) we have finished paying for your car installment based on the initially agreed upon activated protection period.
Can I transfer my Retrenchment Protection Plan to another car or person?
The Retrenchment Protection Plan is exclusively for you alone, and is non-transferable.
Do I have to notify Cars & Stars the moment I get retrenched?
No, you do not have to. As long as your protection coverage is still active, you can choose to activate the protection as and when you deem suitable.
What happens if I switch jobs while the protections is still active?
You are required to inform Cars & Stars, and your Retrenchment Protection Plan agreement will have to be reassessed.
How do I know that Cars & Stars have already made the payment to the bank?
Upon sending a cheque out, our staff will call and let you know we have already sent out the cheque. At the same time, we will email you a scanned copy of the cheque along with all relevant documents. In addition, you may call the bank personally to verify they have received the cheque, and the payment is already made in good order.
Are there any administrative charges involved?
There is a non-refundable one-time administrative charge of $180.00 payable upon signing of the offer letter.
Will I have to repay Cars & Stars the amount paid on my behalf?
The amount paid on your behalf by Cars & Stars will have to be repaid back under a reasonable schedule and interest rate.
What is the interest rate for the payment to Cars & Stars?
The interest rate is fixed at average local bank prime + 3% flat for the entire amount Cars & Stars have paid on your behalf.