.

Thanks for the info

I have another questio,, I am about buying second hand car with hire purchase loan from public bank, is it compulsory to buy insurance from bank itself? Or can I buy outside?
Also I notice that public bank will ask borrower to buy hire purchase life as wel.. And they said is a must..... Anyone managed to buy insurance from public bank but didn't buy hire purchase life?

I might miss if this info has been shared on earlier post

Hope all sifu can share your point of view and thanks again

This post has been edited by Galaxy Angel: Jul 12 2016, 08:49 PM

Yes, some finance hse will "force" you to buy insurance product from them.

Normal la.......try nego but if its a must , you have no choice , else they wont approve the loan.

Btw, how much they charge you interest for the loan ? any "football money" or admin fee needed ?

This post has been edited by digilife: Jul 12 2016, 08:50 PM

Sure . Will do thanks Ya .
Hope anyone success get their loan but without buying the life insurance can share. .

Btw, how much they charge you interest for the loan ? any "football money" or admin fee needed ?

Interest 4 percents loan for 40k, 7 year .
Ownership ship transfer plus runner fees total RM 445 ....
I believe this is their admin fees

The 4% is simple interest ? mean (4 x 7 ) x 40 k ?

RM455 is okay compared to some used car agent that charges abt rm2000

Yes , means 40000×0.04×7 total 11200 for interest.

Dear all sifu:

I have another question about car insurance.

My old car will be sell and will get second hand car, I wish to transfer my old car NCD (55%) to second hand car, understood I will need to withdraw the NCD from my old car to second hand car, question is only withdraw NCD or cancel insurance?

Means old car insurance will still active just without the NCD (means let it auto expiry), or I can just cancel the old car insurance and 55% NCD will auto transfer to my second hand car? As withdraw NCD and cancel insurance is 2 difference thing. I am worry if cancel insurance, then will not entitle 55% NCD for my second hand car insurance.

Hope all sifu can share your expertise.

I have got my loan approved by HLB without the provision to buy anything from them. I guess it is subjective to the each and every bank's policy and regulations.

In my case there is an admin fee for the hire and purchase loan agreement amounting to RM200+6% GST = RM212.

Some bank may insist that the ownership transfer be done by their runners thus explained the runner's fee but good thing HLB doesn't impose this kind of policy thus mine is all covered by the dealer himself.

Simple, this was what I did.

My "old" car have NCB of 55% , when I bought the new insurance for this "new" car, I withdrew my 55% NCB to be used in this new car insurance purchase.

So you may ask me how abt the "old" car's insurance & NCB ?

In my case , I will still keep my "old" car, and I just need to repay the balance of my old car insurance tenure [ which is abt 2mths ] of the difference of the NCB being withdrew. eg if the NCB when I bought the insurance of this "old" car was rm1000, I need to refund them the 3 mths of the rm1000. I duno how they calculate but they will knoe how to do it eventually.

If you decides to sell your old car, just cancel that insurance & you dun have to refund the NCB back to them and the new buyer of your old ar will need to purchase a new insurance premium then.


Can understand ?

Dear Digilife:

Thanks for the explaination, fFully understood.

Because the bank agent told me to withdraw NCD, not cancel, that time I not clear why can not just cancel as I no need to pay them back, after searching around, I think the reason bank agent ask for withdraw NCD not cancel cos if direct cancel, will need to go JPJ cancel the road tax first only then insurance company can proceed to cancel insurance. May be they don't want running 2 times to JPJ (cos transfer ownership is the last things to do and will need to JPJ again). Am I right?

Withdraw is the easiest, mine withdraw & buy new Insurance with the 55% NCB & refund the difference of the old car NCB , less than 30mins can do at the insurance ofis cause the NCB status can be seen online by them.

Ownership transfer at JPJ via biometric [ thumb print scanning ] takes less than 15mins if you early at 8.30 at JPJ if seller & buyer go together [ my case ]

Usually you can see on the bottom part of the current Car Registration Card [ not a card actually, its a 90g paper actually ] the Finance company name printed there.

And if its fully settle by the current registered owner, it will either stamped with " Hakmilik Dibatalkan " or " Dibatalkan oleh System "

But then again, in my case it was not even stamp with either of the chop as stated above although my previous owner have fully settled his pymt 2 years ago.

The finance co that he took out the finance have already link the status with JPJ system & it was automatically " BiBatalkan oleh System " when he settled the loan.

Anyway, if the loan is not settled, ownership transfer cannot be performed.

This post has been edited by digilife: Jul 19 2016, 08:14 PM

YEAH!! I met car dealer charging for RM2000 for my old car plate transfer to the new car.
If wanna ask for new number then 3k for normal number. Special number add on money.

So is it possible if I buy car from them then get to done by myself or maybe ask for a cheaper price/runner?

...........

Sorry for my late reply cause too busy & neglected this thread........

Anyway these is wat I am aware of as at now

1) Usually you need to purchase the insurance before you go for OT, else JPJ will not process the OT. Roadtax , you might be able to use back the seller's RT if he agrees but in my case I opt not to use the seller's existing valid RT cause I want the RT start date same with my Insurance date, if not I will have problem when his RT expires & I need purchase extension of my Insurance when his RT expires & that would be messy in calculation & I might need to pay more cause for extension insurance coverage calculation are always higher in pro rated calculation.......

2) Just withdraw the NCB from the old car to be used on the new car insurance purchase when you purchase the new car insurance but take note that you need to refund the old car NCB too. This is only worthwhile if the difference on savings is big. My case ~ the refund for the withdraw on the old car insurance is rm70 [ 2 mths bal of the insurance tenure of a third party fire & theft policy ] & NCB deduction for the new car is rm600 [ Comprehensive policy ]

3) My case, after the OT in front of the JPJ officer, I pay the seller the Cashiers Order [ bank draft ] on the spot. { prior purchase of the CO for the balance of the agreed sale price minus the deposit }

4) I am not too sure on this , however I was told any summon will follow the registered owner during the saman was issued not the car, meaning any summon unpaid, the owner will have to be responsible because the saman date will determine who is the ownership of the said vehicle. But usually if you have unpaid outstanding saman, JPJ will block the OT. Just do a simple sale purchase letter to be signed by yourself, seller & a witness on the purchase date just incase this might prove to be useful incase needed.



Usually a runner does this, but if you want to save cost, enquire from JPJ or a Runner [ usually a Runner work for a used car co but some Runner can help you do it and you pay them personally ]

i submitted loan to Maybank Auto Finance for 30k loan with 5 year period. They want the previous owner to do full settlement before they proceed with the loan. They dont do contra anymore. Is this the current practice ? what about other banks.

JPJ saman or PDRM saman might coz OT failed??