Demand for private car rental rising, but conditions apply

More people are renting out their cars and the practice could become even more popular as the Government looks into liberalising its Private Car Rental Scheme.

The scheme, which began in 1996, allows owners to let others use their cars for a fee. Details of potential liberalisation measures are not yet known.

Currently, the scheme allows for the renting of cars only on weekends and public holidays.

Still, numbers continue to rise.

iCarsclub, which links owners with hirers, has seen its numbers jump of late. When it started in December last year, only five car owners signed up. This figure jumped to 280 last month and now stands at over 400.

Meanwhile, the number of people signing up to rent a car started off with about 90. This went up to 800 last month and has now doubled to 1,600. The company attributed the jump, over the last month in particular, to the high car prices and stiffer conditions for vehicle loans.

Join ST's WhatsApp Channel and get the latest news and must-reads.