Hi,

i wondered if any bank offered a low interest loan for buying motorcycles such as Harleys ?
Maybank's rate is non negotiable almost 10% interests (variable) over 7 years, which is kinda expensive.

Shop around with other banks.

I think it’s normal due to high rate of default and price depreciation.

If you have other assets, why not pledge it as collateral or refinance to get better rates?

This post has been edited by kelvinlym: Oct 6 2021, 01:07 PM

Thanks ! Do you think they'd accept a 2020 car as collateral ? What kind of rate do you think one could get with collaterals, such as a house, investments, ... ? I always wondered.
Does using a collateral involves changing the owner of the item, or just signing an agreement ?

Why stretch it if you cant afford it?

Multiple reasons, the money paid cash for the motorcycle would do way better if invested (4%++ vs typical 2.5% loan interests), and also i can take a loan for a toy like this, but not for other kinds of payments (months rent advance payment, private hospital treatments, ...). It just seems like the smart thing to do, to take a loan if it's possible.

AEON credit. U should ask the dealer they would know. Conventional bank don’t give good motorbike loans.

Also do I know how much is insurance for these bikes ?

AEON offers the same rate, 5% fixed aka 10% variable, it's high risk for the bank && high cost for the consumer. Perhaps i'll just take a 1 year loan and be done with it, instead of paying it over 7 years as i'd do with low interests.

Insurance seems to be around 3k for a 80k bike, not sure though.

Take personal loan better.

Seems a little better, sitting at 4% minimum i believe.

Survey around.

Aeon credit. Bank Islam oso have iinm.

MBSB. Surely get brlow 10%

Thansk ! I'll just reduce the tenure, seems like the best choice i can get will still be ~75% more expensive than a car loan.

No banks will take a car as collateral.

Property can be refinanced.

Your investment portfolio can be pledged. However, usually, you need to have at least priority banking status. Depends on investment types, can borrow up to 95% if in timed deposits (FD). For equity usually up to 50% only.

Interest can be as low as 1% pa.

The bank still makes any profit at 1% ?

It’s zero risk to the bank because the collateral is liquid. They can force sell. This is essentially zero risk whereas your refinancing has default risk and foreclosure risk due to property being illiquid and hard to value.

Usually, they make money on the spread. Note that usually they don’t lend you in RM. It’s almost always based on the investment you pledge, usually USD. It’s usually LIBOR plus a spread. Current LIBOR is 0.08% + spread. The spread varies with bank but I’ve seen as low as 0.75% pa.

That’s why I like to have equity investments. There’s no need to sell your profitable investments like those bursa traders. Lend against it and your dividends usually more than covers the interest.

But be careful too because if the market makes large moves, margin call or forced liquidation will happen.

This post has been edited by kelvinlym: Oct 6 2021, 03:34 PM

Just swipe CC and convert to monthly payment. Interest free 😜

HSBC cc did offer cash advance for 2.88%

So high now interest back on 2013 when im buying streetfighter 848 only around 4.2% on rhb bank why you try rhb first

D bike how much?

Cash advance usually short dated loan one

5yrs max..