Sambung bayar dilemma

[minivan]

I'm only telling you what i've seen, but do assess it at ur OWN RISK on the issue...

There are quite a lot of sambung bayar cars out there. There are even people who do it as a business. They will prepare argreement with lawyer, then file a police report to state that this car is now being driven by 'new driver' and the responsibility is on him on any related cases. Onwers will also usually ask for like 3-4 months instalment up front, maybe more (as deposit) over and above the selling price minus settlement amount, just in case 'buyer' misses instalment instalment, etc. On seller side, he usually has to sign jpj form k3 up front. Also seller doesnt surrender spare key... seller puts buyer as name driver in insurance....

Thats abt it from what i've seen.... again assess at OWN RISK... safest is still settle loan...

 

[nizan1979]

"Sambung Bayar" is actually unlawful and if convicted can be fine up to RM25,000 or 3 years jail or both. You have no right to "transfer" or "sambung bayar" a person's loan facility to another person.

Act 212, 36A. Any owner, dealer, agent or person acting on behalf of the owner who collects any payment in respect of a hire-purchase agreement other than a payment listed in the Second Schedule or a payment permitted under this Act shall be guilty of an offence under this Act.

36B. Any person not being an owner, dealer, agent or person acting on behalf of the owner who collects any payment from a hirer in respect of a hire-purchase agreement shall be guilty of an offence under this Act.

38. Every person who, by the disposal or sale of any goods comprised in a hire-purchase agreement, or by the removal of the goods, or by any other means, defrauds or attempts to defraud the owner shall be guilty of an offence under this Act and shall, on conviction, be liable to a fine not exceeding twenty five thousand ringgit or to imprisonment for a term not exceeding three years or to both.

It is also unlawful for any person, dealer, agent or a company to receive, take or accept any kind of deposits without a valid license - Act 1989: Section 25(1).

It is also unlawful for any person, dealer, agent or a company to advertise the illegal taking of deposits - Act 1989: Section 27(A).

I advise the public not to engage in any kind of "Sambung Bayar" as whatever agreement you have does not comply to the laws of the land. There is a provision in the laws for hirer if he/she feels that they are no longer able to serve the loan, they can return back the car to the bank.