Most new cars nowadays got a lot of engine issues after 5 years. So its better take 5 years or lower loan. Incase u have to dump the car after the warranty period ends

If u have to stretch to 9 years so u could pay lesser, that means u can't afford the car.

lol, car interest is low btw, for me get 9 years coz im not really change car so often. monthly pay lower, add the balance to the asb, well about the same as 5 years, plus u got cash in hand,

whatever works to you btw. different people different priority. that is their choice. i saw many ppl saying 5 years better coz interest high if 9 years, then go pay 5 years for ur houseloan

U can get a 9 year loan for whatever reason.. just don't get it because you cannot afford a five year loan

9 years are better if you invest ur extra cash, if you choose 9 years because you want to own something that you cant afford in 5 years loan, then you are financially illiterate.

I honestly really hate people who give the one-liner “if you can’t do it in 5 years you can’t afford it”

There’s so much more to that decision than what meets the eye

For some people that has more one their plate compared to others, a 9 year loan brings them some degree financial freedom

I honestly do have friends that come from poor families etc that’s still helping their parents, and at the same time having families of their own, who took a 9 year loan for a persona

It’s a good car. Spacious, well priced, and very practical, but they just have other commitments in life that come first

To lump people like that into a single statement to me is very undermining their hardship and troubles

Thus my statement, there’s no one formula that fits all

However, if you buy it on a 9 year loan to show off then it’s a different story ofc

Agreed^

Too many variables in life -

Some can live with just rm500 monthly savings, some wanna push to rm5k or more and just prefer to have better cashflows

Some would just prefer living in a 1000sq ft apartment with monthly commitment that maxes out at 2k a month, some die2 wanna live in landed prop and dont mind forking out more than 4k for a mortgage, summore gotta travel further to the workplace

Some just hantar their kids to Kebangsaan schools, having to fork out costs just for books and daily duit belanja, some prefer to spend 20-30k a year per kid for a supposedly better school

It's all just trade offs, unless you have deep pockets and are able to afford the best of everything

Depend on people, for me salary more then 9k. I brought Peugeot 208 serving 9 years loan.
Peugeot SC really suck, but I still driving it so far no problem

Why not lease???

it depends on what you do with your savings. if youre a salary earner with no other investments or side business, then just pay it off, the shorter the better. if you have investments or business that may use this extra savings to channel more income, then drag 9 years.

quite good article. thanks

usually you are not frequent car change. u could opt 9 year loan. use till 10 yrs plus then change new

while u could maximize your loan tenure to ease your repayment. althought can partially withdraw from EPF (1st house)

I think low-middle class bumiputera should take advantage of 9 year low interest car financing by investing in asb the difference in monthly commitment of 5 vs 9 years loan.

I'd done the calculation and indeed one can get some extra money within 9 years by doing so. Of course it depends on your car financing interest rate, so everyone should calculate it themselves.

For non-bumi, it depends on our life priority and situation. Both has pros and cons. We are essentially paying the car with " more money" or "more time". I

If you have money, the shorter the tenure the better.

org first time beli kereta je yg ambil 9 tahun. dulu masa aku mula2 ambil kereta 9 tahun. member2 sindir "first time ambil kereta ya bang"
mana aku paham time tu.

kereta hutang 9 tahun kalau u nak jual atau trade in u kena settle 4 tahun pertama. itu interest bank.kena settle

Ive been selling cars for years and honestly,

90% of my customers took 9 years loan for their cars.
The 10% are mostly rich ones who has their own business.

What brand though?

for me 5 or 7 year is ok, 9 is a no no.
then, ensure to get good interest rates. u see we take local car, price is cheaper than other but get slapped with higher interest rates. take proton pre-geely (now post geely get special rates interest), boom 3.5-3.8% for 5, 7 years. take honda, toyota, get 2.5-2.6% same 5-7 years loan.

resales value also need to take care. proton car especially the cvt equipped values is down to the drain. I have purchased the Iriz premium 2015 at rm24k last year. the car was priced closed to 60k 3 years back.



This post has been edited by ayamxxx: Aug 9 2019, 09:38 AM

the monthly money saved between 6yrs and 9 is very very small sum

it probably cant even be enough for you to go travel europe

there's a thread in /k that compared between those 2, with the additional money from high/low DP put into bank for interest and see which one yields better/more return

nuvi share your thread about high/low DP for car purchase...