What Is A Car Loan? A car loan (or auto loan) is a sum of money a consumer (you) borrows from a lender (usually a bank or financial inst
What Is A Car Loan? A car loan (or auto loan) is a sum of money a consumer (you) borrows from a lender (usually a bank or financial institute) in order to purchase a car. By taking up a car loan, the borrower agrees to pay the loan amount included with an agreed interest rate back to the lender in instalments over a period of time. This agreement is called the Hire-Purchase Agreement. If the borrower fails to service (pay back) the loan, the car will be repossessed by the lender to cover the loan. To check how much the monthly commitment is on your next car loan, be sure to use the WapCar Car Loan Calculator Malaysia Tool and determine if you are able to afford your next perfect car. Here are 10 best car loan lenders in Malaysia according to imoney car loan website: RHB Bank Car Loan, Public Bank Car Loan, Maybank Car Loan, Hong Leong Bank Car Loan, CIMB Bank Car Loan, Bank Muamalat Car Loan, Bank Islam Car Loan, AmBank Car Loan, Alliance Bank Car Loan, AFFINBANK Car Loan. In addition to banks that offer a car loan, a few car brands also provide car loan for their customers for example Mercedes-Benz Services Malaysia and BMW Financial Services Malaysia. Four Basic Parts Of A car loan calculator Malaysia 1. Car Price Refers to the price of the car as stated on the purchase order 2. Down Payment Refers to the initial sum you pay for the car purchase. The higher the down payment sum means you have lower monthly repayments on your car loan. 3. Car Loan Interest Rate Car loan interest rate Malaysia is based on the Type of car purchased, age of the car, the loan amount, loan repayment period, financial standing of the borrower and other factors as determined by the lenders. 4. Car Loan Period Refers to the time frame where you have to settle the repayments for the car loan. Typically, in Malaysia a car loan period is between a minimum of 3 years to a maximum of 9 years. Frequently Asked Questions about car loan in Malaysia How Does The Car Loan Work In Malaysia? Most car loans in Malaysia offers up to 9 years car loan repayment period and a maximum margin of financing of 90%. The percentage of Margin of finance stands for how much you want to borrow from the back, and the car loan repayment period is the length of time that you have to repay the car loan amount. Here are some takeaway car loan ideas: If you want to pay less instalment amount every month for your car loan, you can choose a longer car loan period. Pay a higher down payment amount to lower your monthly repayments. Choose a loan provider that give you the lowest interest rate. All terms and conditions are subject to the financing guidelines by the lender. Get a fixed or variable car loan interest rate Malaysia? Car loans in Malaysia have two different types of car loan interest rate: fixed rate and variable rate. The biggest difference between variable interest rate loans and fixed interest rate loans is whether your car loan’s interest rate will fluctuate according to the Base Lending Rate Malaysia. In Malaysia, most car loans are of a fixed interest rate. However, those who wish to settle their car loan before the car loan tenure ends may consider a variable interest rate as this will reduce their interest payment. What monthly payment can I afford? When selecting the monthly car instalment on your car loan, it's important not to overestimate your financial situation. Once you are behind on your monthly repayments, it will lower your credit rating and affect your chances of securing another loan in the future. In the worst-case scenario, you might have your car repossessed by the bank! It is best to take up a monthly instalment that suits your financial situation. You can place a higher down payment amount, take up a longer loan period or even go for a cheaper car if you have to! Can I have a co-borrower on the car loan? In Malaysia, the Hire Purchase Act prohibited the existence of a co-borrower on the car loan. However, a guarantor on your car loan is allowed. A guarantor refers to someone with a strong(er) financial standing that can guarantee the borrower will repay his/her car loan. How to Use the WapCar Car Loan Calculator Malaysia? Can’t work out the math for your car loan monthly instalments? Use the WapCar Car Loan Calculator Malaysia to determine your monthly instalment on your car loan in 5 easy steps! 1.Enter car price in Malaysian Ringgit (RM). 2.Enter down payment amount in Malaysian Ringgit (RM). 3.Enter car loan interest rate Malaysia in percentage. 4.Enter car loan period in years. 5.Enter loan interest rate in percentage. Besides Car Loan Calculator, you can also find other useful car calculators Malaysia like Car Insurance Calculator and Road Tax Calculator on WapCar.my Tools after you have found your perfect car!
What is Car Insurance? In general, car insurance (or auto insurance) is an agreement between a car owner (you) and an insurance company
What is Car Insurance? In general, car insurance (or auto insurance) is an agreement between a car owner (you) and an insurance company (your insurance provider). Under the terms of this agreement, the car insurance is designed to safeguard your car from damages in the event of an accident. Is car insurance a mandatory requirement in Malaysia? Yes, car insurance is a compulsory requirement in Malaysia. Motor insurance can be purchased from insurance service providers. According to JPJ Malaysia, car owners will not be able to apply for road tax without purchasing a car insurance first. Here are top 5 car insurance Malaysia 2019 according to iBanding: AXA car insurance Malaysia, Allianz car insurance, Tokio Marine car insurance, Etiqa motor insurance, MSIG Malaysia car insurance. Why is car insurance important? Malaysia recorded a total of 548,598 road accidents last year and have one of the highest road fatalities in the region. If your car is not insured and is involved in an accident, you may be slapped with a huge repair bill. Having a comprehensive car insurance can cover the expenses for the damages done onto your car.Do note that bodily injuries from the accident are not covered by car insurance, but personal accident insurance. How many types of car insurance are there in Malaysia? In Malaysia, there are many types of motor insurance policies available and you can pick one that is suited to your needs. These are the four main car insurance coverage types: Act Cover Under the Road Transport Act 1987, act cover is required by the JPJ and is the minimum coverage for any car. The act cover covers legal liability for death or bodily injury to a third party. The act cover might be the cheapest car insurance coverage you can have in Malaysia; it is not recommended because there is no insurance coverage for you and your car Third Party Cover Third party cover insures you against claims for third party bodily injuries or deaths caused during a car accident. Besides that, third party cover also covers losses or damages down to the third-party property. Third Party, Fire and Theft Cover Third party, fire and theft cover insures you against claims for third party bodily injury and death. Similar to the third party cover, this type of insurance also covers third party property loss or damage under the case of accidental fire or theft. Comprehensive Cover Comprehensive cover, also known as the first party policy, offers the widest coverage, which includes third party bodily injury and death, third party property loss or damage caused by your vehicle as well as loss or damage to your own vehicle due to accidental fire, theft or an accident. Comprehensive cover is also the most expensive car insurance policy to purchase but it offers a total coverage for your car and third-party damages. In most occasions, you only need to consider the third party cover or the comprehensive type. Car Insurance Malaysia terms explained Sum Insured: the sum insured of your car is basically a maximum amount the insurer is willing to pay out for your claim after a car incident. The sum insured will cover some, if not all, of the costs or losses due to the accident. For car insurances that follow agreed value policies, the sum insured will be according to the market value of your car. At-fault: the party that is responsible for causing the accident Bodily injury: physical injury suffered by you or the other victims. Car insurance Malaysia: an agreement reached between a car owner and insurer subject to the Law of Malaysia to protect future damages during a road accident. Car Insurance Premium: the cost charged to car owners by the insurance service provider Quote: the price the insurance service provider offers to have your car insured. Renewal: refers to the period of time (usually every 6 or 12 months) while your current car insurance is expiring and a new policy term is set to begin. During the renewal session, the insurer will re-evaluate your policy risk by checking your driving record and adjust your car insurance rate accordingly. VIN (Vehicle Identification Number): this is the identification number for your car. VIN contains a bunch of useful information, like model variant, body colour, and origin of the car. NCD (no claims discount): No Claims Discount (or no claims bonus) is awarded to a car owner has bought car insurance without making a claim during the policy period. NCD reduces the cost of car insurance premium. Deductible: the deductible is the portion of the damages the car owner will need to cover before the car insurance being activated. If the car owner chose a high deductible, he/she will be viewed as a lower risk and will then reward you with a lower premium. Depreciation: depreciation is the decreased value of a car due to its age and market value. Generally, the older a car is, the higher its depreciation. What is the best car insurance for me? When searching for car insurance Malaysia, there are three things you need to consider: budget, coverage type and the coverage amount. - Budget for the best car insurance This is very similar to the process where you need to choose a suitable car loan when buying a new (second-hand) car. Be realistic about your budget. Again, go easy with your payment scheduled for the car insurance. Always slot a portion of your expense to prepare for an unexpected emergency. - Best car insurance coverage type You can choose the car insurance coverage that meets your needs most. Remember to scrutinise the terms and conditions when signing up the car insurance contract, including things listed explicitly and the insurance policy will not cover. - Coverage amount The best way to decide how much coverage you need is to look at the market value of your car. Once you know how much your car is worth, insuring 95% of that value would be sufficient. Besides that, you also need to choose between insuring your car for a set amount or its market value. Take Adrian for example, if he chose to insure his Perodua Axia GXtra brought for RM 35,000 in 2019 in 5 years’ time, the insurance company may only value the car at RM 17,500 due to depreciation. But if he chose an agreed value of RM 20,000, then he may receive the same amount regardless of the car’s value in the market. How to use WapCar Car Insurance Calculator Malaysia? You can now calculate your yearly car insurance payment by following six simple steps below when using the WapCar car insurance calculator Malaysia. 1.Enter car price in Malaysian Ringgit (RM) 2.Select which coverage type you would like to use 3.Choose the location where you bought the car 4.Enter the engine capacity of your car (cc) 5.Select the NCD percentage 6.Choose that car you owned. Besides Car Insurance Calculator, you can also find other useful car calculators Malaysia like Car Loan Calculator, Road Tax Calculator on WapCar.my Tools after you have found your perfect car!
What is a car road tax in Malaysia? Road tax by its definition is an annual tax that must be paid for the car to be driven on Malaysian
What is a car road tax in Malaysia? Road tax by its definition is an annual tax that must be paid for the car to be driven on Malaysian roads. Road tax needs to be paid before you are allowed to drive the car on Malaysian roads. The tax amount is based on the engine capacity, vehicle body type and region. There are two types of definition to vehicle body type: Saloon Vehicles and Non-Saloon Vehicles. Saloon Vehicles refers to sedans, hatchbacks, convertibles and coupes. Non-Saloon Vehicles refers to MPV, SUV, Pick-up and Commercial Vehicles. Vehicles registered in East Malaysia pay a lower road tax because the road tax rates there are cheaper to compensate for the difference in road conditions, facilities and infrastructure compared to Peninsular Malaysia. What to do if my road tax is expired? Will I get penalised? Driving a car with an expired road tax is a serious offence. In the event of an accident, you will not be able to make an insurance claim for the damages. If you are caught driving with an expired road tax, you will be required to attend a court hearing where the judge will decide on the following offence: 1) Driving without valid road tax 2) Failure to display valid road tax 3) Driving without valid insurance If plead guilty, you will be fined up to RM 1,000. How to renew the road tax in Malaysia? To renew road tax in Malaysia, you can head to any JPJ (Road Transport Department) branches or Pos Malaysia service counters to perform the renewal. All you need to do is to make sure you have a valid car insurance policy and bring along the vehicle owner’s original MyKad (Identification Card). You can also renew your insurance online through authorised 3rd party service providers like MyEG and have your road tax delivered to you. This option would require additional delivery fee and service charge. How much road tax should I pay for my car? Road tax is dependant on your car’s engine capacity, body type, type of vehicle ownership and location of the car is registered. How to use WapCar Car Road Tax Calculator Malaysia? You can now calculate your car road tax by following four simple steps below when using the WapCar car road tax calculator Malaysia. Enter the engine capacity of the vehicle 1.Choose the region 2.Select the type of vehicle ownership 3.Select the body type of the vehicle 4.Besides Car Insurance Calculator, you can also find other useful car calculators Malaysia like Car Loan Calculator, Car Insurance Calculator on WapCar.my Tools after you have found your perfect car!
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