For Brand New Car, the loan can be borrowed with the maximum term of 5 years hire purchase and the loan can be borrowed with maximum term of 3 years for a used car.
The Disciplines for Hire Purchase
- The same amount of interest and capital must be paid monthly with Amoritization Method with 11.5% interest rate per annum.
- Hire purchaser has to pay 0.5% of the borrowed amount that described in the hire purchase contract for taxation.
- Annually Comprehensive Insurance for Car must be done.
- Monthly Installment Payment must be paid with the first (7) days of every month. If the payment will be defaulted to pay within the period, 0.05% rate per day on the installment payment must be paid as late fee.
- 1% sale commission on the borrowed money must be paid by the Dealer.