Welcome Guest ( Log In | Register )

Outline · [ Standard ] · Linear+

 Hire Purchase Loan Procedure

views
     
TSxtracooljustin
post Oct 9 2021, 03:01 AM, updated 3y ago

Joining the 1K Club
******
Senior Member
1,602 posts

Joined: Aug 2005
From: KL/SG


Im selling a car and I have an interested private buyer. This is the first time Im dealing with a buyer who is taking a loan, my previous buying and selling dealings has always been cash basis.

Buyer has proceeded to arrange for a HPL with a local bank. The bank officer in-charge has created a groupchat between buyer and seller for coordination purpose and to keep the flow of information.

I ve been ask to sign a few forms from the bank, namely an invoice and some consent forms. Same with the buyer. Subsequently, the buyer's application has been approved with a Letter of Undertaking (LU) stating the the bank will pay the Buyer this sum of money for this car with these details (reg no, chassis no, engine no etc). No mention of Seller's details at all. The bank officer just ask me to screenshot my bank statement showing my bank, account no. and address only, which I have done.

I have proceeded to get my Puspakom B5 and B7 done and approved.

The Buyer has also deposited the difference amount (transaction price minus approved financing) to the said bank today. The bank today has issued e-hakmilik form to be able to proceed to go to JPJ next week to do the name transfer to Buyers name with claim by bank. All remains is for the Buyer to get the car insurance from the Bank's insurance division and also get a minimum 6 months road tax to complete the whole procedure.

I have requested 2x from the bank officer to give me a document or letter of undertaking stating that the bank will transfer this sum of money to Seller after transfer of ownership at JPJ. I even asked for copies of the forms I signed. The officer merely said that the forms are for internal use only and cannot be issued out. The bank officer said the only documentary proof that I will get is that the money will be transferred to my given account in 2 weeks time after transfer of ownership. I expressed my concern that there is no clear documentary proof which shows the seller and Bank's obligation in this matter. If I do not see the money 2 weeks after ownership transfer, what grounds to I have as an individual buyer against a mighty financial institution?

I would like to ask experienced forummers here whether this is the usual SOP for banks in HPL. Or am I just being too cautious in asking for documentation?

Appreciate if you can share your own experience.

sisiisgood P
post Oct 9 2021, 12:04 PM

New Member
*
Probation
22 posts

Joined: Sep 2021
2 weeks is quite slow, my seller got his money just 2 days after i got the e-hakmilik & transfer of ownership with claim by bank.
TSxtracooljustin
post Oct 9 2021, 01:44 PM

Joining the 1K Club
******
Senior Member
1,602 posts

Joined: Aug 2005
From: KL/SG


QUOTE(sisiisgood @ Oct 9 2021, 12:04 PM)
2 weeks is quite slow, my seller got his money just 2 days after i got the e-hakmilik & transfer of ownership with claim by bank.
*
I’m not so concern about the timeline of payment.

I’m more concerned about the lack of documents provided to Seller. So I’m suppose to work on trust that the money will be transferred after I have “given away” the ownership of the car?
sisiisgood P
post Oct 9 2021, 10:52 PM

New Member
*
Probation
22 posts

Joined: Sep 2021
QUOTE(xtracooljustin @ Oct 9 2021, 01:44 PM)
I’m not so concern about the timeline of payment.

I’m more concerned about the lack of documents provided to Seller. So I’m suppose to work on trust that the money will be transferred after I have “given away” the ownership of the car?
*
Its weird…for my case, seller and me went to bank together to sign agreement
What bank is that? Mine is HLB
ulet
post Oct 11 2021, 07:05 AM

Regular
******
Senior Member
1,674 posts

Joined: Jan 2003
From: Kuala Lumpur


QUOTE(xtracooljustin @ Oct 9 2021, 03:01 AM)
Im selling a car and I have an interested private buyer. This is the first time Im dealing with a buyer who is taking a loan, my previous buying and selling dealings has always been cash basis.

Buyer has proceeded to arrange for a HPL with a local bank. The bank officer in-charge has created a groupchat between buyer and seller for coordination purpose and to keep the flow of information. 

I ve been ask to sign a few forms from the bank, namely an invoice and some consent forms. Same with the buyer. Subsequently, the buyer's application has been approved with a Letter of Undertaking (LU) stating the the bank will pay the Buyer this sum of money for this car with these details (reg no, chassis no, engine no etc). No mention of Seller's details at all. The bank officer just ask me to screenshot my bank statement showing my bank, account no. and address only, which I have done.

I have proceeded to get my Puspakom B5 and B7 done and approved.

The Buyer has also deposited the difference amount (transaction price minus approved financing) to the said bank today. The bank today has issued e-hakmilik form to be able to proceed to go to JPJ next week to do the name transfer to Buyers name with claim by bank. All remains is for the Buyer to get the car insurance from the Bank's insurance division and also get a minimum 6 months road tax to complete the whole procedure. 

I have requested 2x from the bank officer to give me a document or letter of undertaking stating that the bank will transfer this sum of money to Seller after transfer of ownership at JPJ. I even asked for copies of the forms I signed. The officer merely said that the forms are for internal use only and cannot be issued out. The bank officer said the only documentary proof that I will get is that the money will be transferred to my given account in 2 weeks time after transfer of ownership. I expressed my concern that there is no clear documentary proof which shows the seller and Bank's obligation in this matter. If I do not see the money 2 weeks after ownership transfer, what grounds to I have as an individual buyer against a mighty financial institution?

I would like to ask experienced forummers here whether this is the usual SOP for banks in HPL. Or am I just being too cautious in asking for documentation?

Appreciate if you can share your own experience.
*
A bit suspicious. LOU will have seller name. Usually will write payment willl be made to seller.

Roman Catholic
post Nov 27 2022, 10:08 AM

Look at all my stars!!
*******
Senior Member
3,030 posts

Joined: Feb 2017
QUOTE(xtracooljustin @ Oct 9 2021, 03:01 AM)
Im selling a car and I have an interested private buyer. This is the first time Im dealing with a buyer who is taking a loan, my previous buying and selling dealings has always been cash basis.

Buyer has proceeded to arrange for a HPL with a local bank. The bank officer in-charge has created a groupchat between buyer and seller for coordination purpose and to keep the flow of information. 

I ve been ask to sign a few forms from the bank, namely an invoice and some consent forms. Same with the buyer. Subsequently, the buyer's application has been approved with a Letter of Undertaking (LU) stating the the bank will pay the Buyer this sum of money for this car with these details (reg no, chassis no, engine no etc). No mention of Seller's details at all. The bank officer just ask me to screenshot my bank statement showing my bank, account no. and address only, which I have done.

I have proceeded to get my Puspakom B5 and B7 done and approved.

The Buyer has also deposited the difference amount (transaction price minus approved financing) to the said bank today. The bank today has issued e-hakmilik form to be able to proceed to go to JPJ next week to do the name transfer to Buyers name with claim by bank. All remains is for the Buyer to get the car insurance from the Bank's insurance division and also get a minimum 6 months road tax to complete the whole procedure. 

I have requested 2x from the bank officer to give me a document or letter of undertaking stating that the bank will transfer this sum of money to Seller after transfer of ownership at JPJ. I even asked for copies of the forms I signed. The officer merely said that the forms are for internal use only and cannot be issued out. The bank officer said the only documentary proof that I will get is that the money will be transferred to my given account in 2 weeks time after transfer of ownership. I expressed my concern that there is no clear documentary proof which shows the seller and Bank's obligation in this matter. If I do not see the money 2 weeks after ownership transfer, what grounds to I have as an individual buyer against a mighty financial institution?

I would like to ask experienced forummers here whether this is the usual SOP for banks in HPL. Or am I just being too cautious in asking for documentation?

Appreciate if you can share your own experience.
*
TS nice story, so how did your transaction go ?

What I find really weird although I am way behind time reading this, why on earth is the bank giving to the buyer instead of giving you the money, once the transfer is completed ?

This post has been edited by Roman Catholic: Nov 27 2022, 10:09 AM

 

Change to:
| Lo-Fi Version
0.0121sec    0.18    5 queries    GZIP Disabled
Time is now: 29th March 2024 - 12:45 AM