Nissan Car Lounge - Almera, Juke, Latio, Qashqai, Sylphy, Teana Owners > Latio

Penalty for early loan settlement

<< < (2/2)

josho:
Just move on ba.. no choice.  :zipped:

Anyway, keep the money if you see 'no flower' to pay the interest.

Mine is Maybank and was told there's penalty involve if I want to settle the payment earlier. :devil2:

HumbleCar:

--- Quote from: josho on May 15, 2008, 09:38:20 AM ---Just move on ba.. no choice.  :zipped:

Anyway, keep the money if you see 'no flower' to pay the interest.

Mine is Maybank and was told there's penalty involve if I want to settle the payment earlier. :devil2:

--- End quote ---
Ya lor.  What to do.  Mine is UOB.  That means TCM got tie-up with at lesat two banks.  I thought it has only one in-house finance partner and one in-house insurance partner.  Looks like it is true only for the latter.

ashocker:
K, just sharing my knowledge, so dun shoot me ya :)

1. For car industry in Singapore, the car loans are "monopolised" by the car agents. You cannot go to the financial institution directly (unless they do not have any tie-ups with the finance institution you are interested in, which is rare).

2. Each of the package offered by the financial institutions are different from time to time. Eg, you may be offered package A on Wk1, but come Wk2, the offer may be different. Also certain agent may be close to certain financial institution thus may seem as thought they are promoting a particular financial institution (probably because of higher commision or better package/deal offered). Eg - my loan for my Latio was from Maybank.

3. There is rarely such thing as in-house financing. Reason is because of expertise - car companies are experts in selling cars, not managing car loans. What they do instead is to tie up with a financial institution to package a loan for them - ie on the front may seems as though the car company is offereing the loan, but at the back is actually a particular bank that administer. Not sure if you recall there was once this case where the customers pay the money to a car company that closed shop, and are surprised to find out that the bank has siezed their car as the car company did not make payment to the bank.

4. The margin earned by the bank is much lower than you all think. That is why we always say, pls squeeze the car agent as much as possible for incentive to buy from them. And that is also why the banks usually discourage early-repayment.

5. It is not the bank that cheats you, but the poor service of the car agents. As I explained earlier, there is no way the bank can inform customers as the loans are offered by the car agents. As such, we have to trust the agents to be upfront when offering the loan to us. For me, I read thru all the clauses first before signing. The agent? Of course she is more interested to sign the doc and just tried to brush aside, say it is the usual T&Cs. And yes, Maybank's also have this 20% clawback clause back then.

6. Do plan your maths properly before shopping for a car. Only take as much as you need and do not drag the loan over too long a period. That way, you will not find yourself breathless trying to make ends meet... Nothing is free - some of the free stuff is by the car company, while some are packaged into the loan, thus reason why some bro find their car loaded with free stuff when take a 10yrs loan compared with someone who takes a 1yr loan.

Navigation

[0] Message Index

[*] Previous page