BSN car loan interest rate has 2 types, a fixed and floating interest rates. Fixed rates start as low as 2.35% per annum, while floating rates are structured at the Standard Base Rate (SBR) + 1.59% per annum. These rates are dependent on the vehicle segment and BSN’s credit evaluation process. BSN’s car loans are designed to accommodate a wide range of vehicles, including selected brand-new national and non-national cars, as well as unregistered reconditioned vehicles. The loan margin can reach up to 90% of the car’s selling price, with a tenure ranging from 36 to 108 months, subject to the borrower’s retirement age.
BSN Hire Purchase Interest Rate
How Does BSN MyAuto Compare to MyAuto-i?
BSN MyAuto and MyAuto-i both provide attractive vehicle financing options, but they differ in their underlying structures. BSN MyAuto operates under a conventional hire purchase agreement, offering a fixed interest rate. In contrast, BSN MyAuto-i is based on the Shariah-compliant Al-Ijarah Thumma Al-Bai’ (AITAB) contract, which involves leasing and subsequent purchase of the vehicle. Both products offer similar competitive rates, with the added benefit in MyAuto-i of adhering to Islamic financial principles. This distinction is important for those who prefer Shariah-compliant products.
Who Is Eligible for BSN’s Car Loans?
Eligibility for BSN car loans is broadly categorized based on the applicant’s employment and salary deduction facilities. Applicants with Salary Deduction Facility include federal government employees and employees of organizations with Biro Perkhidmatan Angkasa (BPA) enablement. They must be Malaysian citizens aged 18 and above but not exceeding 60 years old at the completion of financing. Applicants Without Salary Deduction Facility include employees from the private sector and selected organizations, such as private hospitals, telecommunications companies, and statutory bodies. These applicants must also be Malaysian citizens aged 18 and above, but not exceeding 65 years old upon loan completion.
What Documents Are Required for Application?
The documents required for a BSN car loan application vary based on whether the applicant has a salary deduction facility. For applicants with a salary deduction facility, the necessary documents include a signed application form, a copy of the NRIC, the latest pay slip, a valid driving license, and the BPA Form or Arahan Potongan Gaji BSN Form, along with an employer confirmation letter. For those without a salary deduction facility, additional documents such as three months’ latest pay slips, a bank statement or EPF statement, and a guarantor’s documents (if applicable) are needed.
How Can You Calculate Your Monthly Repayment?
BSN offers a loan calculator to help potential borrowers estimate their monthly repayments. By entering details such as the loan amount, loan period, and interest rate, applicants can get an approximate monthly payment amount. This tool is essential for financial planning, allowing borrowers to gauge their affordability based on their monthly income and commitments. It is important to note that the calculator provides an estimate, and the actual repayment may vary based on BSN’s final credit evaluation and loan approval.
What Happens in Case of Early Settlement or Late Payment?
Early settlement of a BSN car loan entitles the borrower to a rebate, which is a refund of the term charges for the unused tenure. This can be advantageous for borrowers who wish to pay off their loans ahead of schedule. Conversely, late payments will incur charges: 8% per annum on overdue instalments for fixed-rate loans or 2% above the prevailing rate for floating-rate loans. These charges are calculated daily from the due date until the payment date, emphasizing the importance of timely repayments to avoid additional costs.
What Are the Fees and Charges Associated with BSN Car Loans?
Various fees apply to BSN car loans, including stamp duty, which is RM10 for both the hirer’s and guarantor’s copies of the hire purchase agreement. Other services, such as the issuance of a yearly financing statement or certified true copy of security documents, incur additional charges. Borrowers are advised to review the terms and conditions thoroughly, as BSN reserves the right to adjust fees and charges with a 21-day notice.
BSN car loans offer a structured and competitive financing solution for Malaysians looking to purchase a vehicle. With different options available, potential borrowers can choose a product that aligns with their financial situation and preferences. By understanding the eligibility criteria, documentation requirements, and the potential costs involved, applicants can make informed decisions and manage their car loan effectively.