Car loan uses something called Flat Interest Rate, you can convert it to Effective Interest Rate(something similar to FD) using some online calculator . https://loanstreet.com.my/calculator/flat-t...rest-calculator

3% flat rate for 7 years is about 5.57% effective interest rate.

In summary,
Scenario 1
if you take RM50,000 car loan for 7 years and dont touch the FD, you will have RM 65,796.59 in FD after 7 years compounding.

Scenario 2
if you pay with FD money and put the monthly installment you have to pay every month into FD, you will have RM 62,989.57 68,942.99 in FD after 7 years.

This post has been edited by weichong: Jun 25 2018, 09:42 AM

scenario 1 is take loan

scenario 2 is use FD money, then monthly installment put back into FD

You are right, i count it wrongly, most likely messed up somewhere in the excel.