Car loan question

[k3nny]

Was just wondering abit about the way banks approve/decline loans in malaysia...http://www.bmwclubmalaysia.com/forums/html/emoticons/wink.gif

If someone doesnt qualify for a loan, would the loan still be approved if the downpayment for the car was more than 50%?

Say maybe the downpayment for a 400k car was 200k.
So therefore borrowing 200K+interest.

Would the loan be approved? Because in a sense, the bank's money is secured as it will definitely be recovered when they repossess the car and auction it.

Just wondering.

Thanks alot

Best regards,
k3nny

 

[trex92]

hmmm.. it depends also on the type of car and whether the bank feels got re-sale value or not. If you wan the loan to the approved, just get another person as guarantor such as ur dad or bro or sis.

 

[soulseaker]

The Finance Company will consider.

Maybe previousely yes, but now most probably no.

Even you come out with more then 50% downpayment of the car, the finance company will most probably ask you for a guarantor. this is because based on your income, you dont have substantial income to cover the monthly installment.

Maybe you can go and consult finance company first by giving them the details of the car and you financial background. You can try getting the finance company approval first before putting a downpayment for the car.

Different finance company have different policies.

Good Luck in getting your dream car.

 

[zan]

yeah, agree wit soulseeker. it doesnt matter whether we are borrowing 50%, 75% or just RM10,000.

the problem will come at monthly instalment - are we capable of paying back?
they will check from FIS (sumthing to do with our Financial record or service) and its accessible to every banks and financing company in Malaysia.

normally, they wont allow more than 1/3 of your monthly gross salary for installment. they always make believe the other 1/3 is for home expenses while the last 1/3 is personal expenses.

they also can check our credit card history, whether the spending is more than payment and things like that.

i hope this helps.