Hi,

My hire purchase loan just got approved.
But the banker asking me to pay 1 month installment when go to sign the loan agreement.
My friends told me they were not subjected to such terms.

Is this normal procedure?

Not the norm for car HP.

But for industrial HP (purchase of industrial machineries), it's the norm to pay 1 advance instalment.

So is there some hanky panky going on...how do i make sure i get the receipt when i make my payment....by the way...know any bank offering lower than 2.49 intrest rate...damn ambank increased my intrest from 2.47 to 2.49 when i changed to a lower priced car....

This post has been edited by carnby77: Oct 23 2013, 10:14 AM

Usually instalment no. 1 is due 1 month after the HP agreement date.

0.02%...how much difference can it make? My advice is don't bother.

Yup usually it's 1 month after the agreement date. At least that is the case in my experience

I have Toyota Capital, AmIslamic, Hong Leong, Public Bank, Public Islamic, Affin, u name 'em all, ALL also 1 month after HP Agreement date

Then why ah the banker ask me to pay 1 month installment when i come to sign the hire purchase?

Only 1 possibility - you're late to sign the HP agreement

HP agreement date is the date your loan is approved. E.g. bank approved on 1st Oct, but ur officer forgot to inform u or u no time go bank, now it's already 23rd Oct, that's why he/she suggest u to terus pay 1st instalment when go sign?

But i applied only last week...and when approve already approve she said the condition is i pay 1 month installment when i sign my agreement.

Which bank is that?

I'd suggest, u get ready the money, BUT take a look at the HP agreement first. Look at front page (called "The Schedule"), see when is the 1st payment due.

Okay going on Friday o sign the hire purchase agreement..aolready ready the money...but justthat if no need to pay when sign, then i can double enjoy Deepavali...

Maybe i suspect the banker trying to make do for unmet sales quota!

So when is the next repayment date ? Is it from the date i sign the HP?

Date of 1st instalment due date will be clearly stated...if it's still a long way (more than 2 weeks away), dun bother paying. you don't NEED TO.

So lets get it clear, I see when is the next payment due.
If it is more than 2 weeks, then i don't pay the advance that they asked.

If due date is less than 2 weeks, then i pay. i n which the next due payment will be 30 days after i pay the advance right?

E.g. 1st payment due 30th Oct
2nd will be 30th Nov
3rd will be 30th Dec

REGARDLESS OF WHEN U PAY 1ST INSTALMENT

hehehehe..okay..so usually ah, the repayment date will be the date they approve the loan in the first place right?

Yes, usually.



This post has been edited by Pink Spider: Oct 23 2013, 10:26 PM

As long as u don pay the banker directly can ady.

Ask him give u the Account no and you bank in yourself

Yes, pay at the counter, and make sure get printed receipt.

ok will do so today. thanks for the advise.

Hi there,

wanna ask something regarding HP installment. When I got my car last month, the bank told me that the 1st payment should be made in four days after receiving my car. Since I got the car on the 22nd Oct, the due date for the payment shall be in the 26th Oct.

But if I fail to pay before or on 26th, or paid on the 27th, do I get the interest charge to my installement? and is it possible for me to call the bank and ask to change the due date to maybe 27th or 28th?

inb4, my bank is cimb.

Look the your HP agreement, the due date for instalments would be printed there.

Changing it can or not...I dunno. But I'd advise not to do it, it would be a lot of hassles. Just adjust a bit your finances, by 2nd or 3rd month u should manage it ok. I presume your salary must be coming out around 20th++ of each month.

Miss payment 1 or 2 days I think would be fine, but don't do it often i.e. don't let the bank see a recurring pattern.

haha, you got me

the thing is my salary coming out on 25th, and the due date based on the agreement sent to my house is on 24th

i planned to have the due date at least same day as my salary, if not 1-2 days later, so i can pay once i got my salary. if the due date is at the end of my salary month (eg 24th), i think it's hard for me to save all the way till 24th to pay i dont want to pay tooo early too.

but if i can pay on the 25th consistenly without getting the interest charge, that would be fine with me

U can TRY talk to your banker

But if u ask my advise, I'd say squeeze your wallet tight for this month, by 2nd or 3rd month you've adjusted to it.

Once u get your salary on 25th, u have 2 options:
(1) Put aside the instalment money, DIE DIE ALSO CANNOT TOUCH IT, pay to bank by 20th or so
(2) Pay in advance once u get your salary

Pay EARLY, NEVER pay late.

This post has been edited by Pink Spider: Nov 13 2013, 01:50 PM

turned out that officer just wanted me to pay one month advance so that end of the month i can pay for my other car insurance and road tax that i own and still under ambank finance....so i can skip 1 month later...so good ah the bank officer?

This post has been edited by carnby77: Nov 13 2013, 04:32 PM