Getting a hire purchase financing from a banking institution is a common way of purchasing a motor vehicle. However, it’s best that you know which banking institution to choose from as different banking institutions offer different rates for everyone. There are also some factors to consider before signing up the facility with the banking institution but most importantly, make a comparison of different banking institutions in terms of their rates and services.
Factors to consider :
- If you choose variable rate financing, would a marginal increase in the rates affect your repayment and can you afford it?
- Are there any other fees incurred during the tenure of your hire purchase financing?
- Does the banking institution have a branch near your home or office?
- What payment channels does the banking institution provide?
- Does the banking institution offer quality service in terms of efficiency and reliability?
| Banking Institution | Margin of Financing (max, %) |
Financing Tenure (max, months) |
Fixed Rate Term Charges (& p.a.) | Admin Charges(RM) | Late Payment Charges (% p.a.) | ||
| Minimum Rate/Range | APR for Minimum Rate | ||||||
| Affin Bank Berhad | |||||||
| 90 | 108 | 3.25 – 3.75 | 5.92 – 6.76 | - | 8.00 | ||
| Alliance Bank Malaysia Berhad | |||||||
| 90 | 108 | 3.40 – 4.10 | 6.17 – 7.68 | - | 8.00 | ||
| AmBank (M) Berhad | |||||||
| 90 | 96 – 108 | 3.75 | 6.00 | - | 8.00 | ||
| 90 | 84 | 3.50 | 6.00 | - | 8.00 | ||
| Bank Muamalat Malaysia Berhad | |||||||
| 90% | 108 | 2.85 | 5.00 | 600 | 1.00 | ||
| CIMB Bank Berhad | |||||||
| 90 | 108 | 3.25 | 5.92 | - | 8.00 | ||
| EON Bank Berhad | |||||||
| 90 | 108 | 3.40 to 4.10 | 6.22 to 7.48 | - | 8.00 | ||
| Hong Leong Bank Berhad | |||||||
| 90 | 60 | 3.40 – 3.85 | 6.36 – 7.16 | None | 8.00 | ||
| 90 | 72 | 3.60 – 4.00 | 6.67 – 7.36 | None | 8.00 | ||
| 90 | 84 | 3.60 – 4.00 | 6.61 – 7.30 | None | 8.00 | ||
| 90 | 96 | 3.75 – 4.10 | 6.82 – 7.40 | None | 8.00 | ||
| 90 | 108 | 3.75 – 4.10 | 6.76 – 7.34 | None | 8.00 | ||
| Malayan Banking Berhad | |||||||
| 90 | 108 | 2.70 – 4.30 | 5.10 | - | 8.00 | ||
| Public Bank Berhad | |||||||
| 90 | 108 | 3.25 to 3.50 | 5.95 to 6.39 | From 45 | 8.00 | ||
| RHB Bank Berhad | |||||||
| 90% | 108 | 3.50% to 3.75% | 6.54% to 6.76% | None | 8.00 | ||
| 90% | 108 | 3.25% to 3.50% | 6.09% to 6.34% | None | 8.00 | ||
Note : Minimum Rate / Range
Interest rate charged by banking institutions to borrowers considered most creditworthy. Minimum rate / range is in percentage (%).