RHB Bank Car Loan

About RHB Bank

RHB Bank Berhad was established as a public limited company in Malaysia on 24 August 1994, under DCB Holdings Berhad. Furthermore, RHB Bank’s core purpose is to act as a financial provider that provides complete solutions to customers through differentiated segment offerings ranging from retail products to corporate products that provide customers with options and selection. Meanwhile. RHB Banking has also established a presence in nine ASEAN countries, and in Malaysia, RHB Banking has 278 branches. It is located at RHB Centre, 426, Jln Tun Razak, Royal Selangor Golf Club, 50400 Kuala Lumpur, Federal Territory of Kuala Lumpur.

What is a car loan?

A car loan is also known as a hire purchase in Malaysia, and it is when you apply for a loan from a selected bank to finance the purchase of your vehicles, whether new, used, or reconditioned.

The maximum loan tenure is 9 years, with a finance margin of up to 90% or 100% (depending on the bank), with the remainder considered as your down payment.

What type of car loan does RHB offer?

RHB Bank offers 1 type of car loan, RHB Auto Financing.

What are the eligibility criteria to apply for RHB Auto Financing?

  • 18 years old and above
  • Individuals, sole proprietorships, or partnerships
  • Employees of private limited companies or public limited companies
  • A guarantor is required for:
    • Individuals under the age of 21
    • Individuals over the age of 60
    • Non-Malaysian
    • Individual who do not demonstrate affordability in meeting repayment obligations

What are the benefits of RHB Auto Financing?

  • Rapid approval thanks to a simplified application process
  • High margin of financing of up to 90%
  • Most flexible repayment period of 9 years
  • Monthly payments can be made via RHB internet banking, interbank GIRO, ATM, CDM, or in person at any RHB branches
  • Comprehensive auto insurance

Who should I contact for further information about RHB Auto Financing?

  • Call them at +60392068118 OR
  • Email customer.service@rhbgroup.com OR
  • Visit the nearest RHB branches

What are the fees included in RHB Auto Financing?

  • HP agreementRM10 per agreement for stamp duty
  • Supplementary HP agreementRM20 per agreement for stamp duty
  • Road tax renewalRM10 per transaction
  • Redemption statementRM30 per request
  • FIS Data Reference (FIS) chargeRM4.20 per transaction
  • Request for document retrieval and copyingRM22 per request

How do I make my monthly payments for RHB Auto Financing?

RHB Bank provides the most convenient channels to make monthly payments, including Internet Banking, Interbank GIRO, Standing Instructions, Cash Deposit Machines, ATM (Interbank), Cheque Deposit Terminals, Selected POS Malaysia Berhad, and RHB Bank and RHB Islamic Bank branches.

Do I need any insurance coverage for RHB Auto Financing?

You must obtain insurance coverage, which you can get directly from RHB Insurance Berhad because the bank also acts as an insurer. You may, however, use the services of other insurers or Takaful operators.

What are the common terms of car loan?

  • “Auto equity loan”This form of loan, also known as a title loan, uses the equity you have in your vehicle in return for your title. You get a cash loan, and the lender returns your car title once you’ve paid it back.
  • “Balloon payment”A balloon payment reduces monthly payments on a vehicle loan, but it necessitates a hefty amount after the term.
  • “Buydown”When buying a new or used automobile, the buyer may be given the option of lowering their car loan’s interest rate.
  • “Cashback refi”A form of refinance loan that allows you to utilise the equity in your automobile to get cash while refinancing it.
  • “Credit”A term that refers to your credit history and can help determine whether you will be able to repay a car loan.
  • “Interest rate”The interest rate is the percentage that the bank will charge on top of the principal amount or the amount that must be repaid.
  • “Down payment”The upfront payment for a car covering a portion of the cost. It is typically 10% of the total cost of a new car and 20% of the total cost of a used car.
  • “Margin of Finance (MOF)”The loan amount granted by the financial institution is expressed as a percentage of the property’s value pledged to secure the loan.
  • “Loan period”The total number of months or years required to pay off your loan.
  • “Guarantor”Someone who is legally obligated to repay your loan if you cannot do so.
  • “Instalment”The monthly payment you must pay to the bank to pay off your loan.
  • “Default”The borrower violates the loan agreement, most commonly by failing to make the agreed-upon monthly payments.