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Refinance Car Loan?


Soya
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Currently most car loan are 1.88% fix all the way. Why would one need to refinance?

 

Plus OCBC put "Depending on your loan tenor, OCBC Car Loan Refinancing Promotion EIR ranges from 3.08% to 3.25%."

 

What is the point?

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Currently most car loan are 1.88% fix all the way. Why would one need to refinance?

 

Plus OCBC put "Depending on your loan tenor, OCBC Car Loan Refinancing Promotion EIR ranges from 3.08% to 3.25%."

 

What is the point?

 

this offer is at 1.6% bro.. see carefully... based on 1.6%, the EIR is about 3.2%

 

for 1.88%, the EIR is actually about 3.7%. furthermore those who bot cars earlier would be at >2% so worth it to re-finance in the long run

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Currently most car loan are 1.88% fix all the way. Why would one need to refinance?

 

Plus OCBC put "Depending on your loan tenor, OCBC Car Loan Refinancing Promotion EIR ranges from 3.08% to 3.25%."

 

What is the point?

 

People who need cash can consider refinancing car, anytime better than applying a personal loan.

"Bo tai bo chi" (for no reason) who will want to refinance their car? Itchy backside ?

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this offer is at 1.6% bro.. see carefully... based on 1.6%, the EIR is about 3.2%

 

for 1.88%, the EIR is actually about 3.7%. furthermore those who bot cars earlier would be at >2% so worth it to re-finance in the long run

 

i tot of refinancing my car loan to take advantage of the low interest rate now....

but i have to double chk my current interest rate,

also need to take into consideration the early repayment penalty how much....

if its the same or few 2-3 hundreds diff, den no point lar...

 

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(edited)

refinance only applies to cars less than 3 yrs old right? Correct me if im wrong.

 

i think 3 years refer to the minimum loan period

Edited by Ericongy
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can someone explain by the term of refinancing?

 

Take me for example, i own a Chery t11 July 2010.......10yr loan with Maybank....each mth 320 installment

 

Now if i do refinance, what does it helps?

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can someone explain by the term of refinancing?

 

Take me for example, i own a Chery t11 July 2010.......10yr loan with Maybank....each mth 320 installment

 

Now if i do refinance, what does it helps?

 

ur monthly repayment amount will be lesser.but u need to check your full settlement amount first and then enquire from the new finance company on how to go about it. personally i have not done refinance before. So i would also like to hear from some of the bros who have experience in it for further advise.

 

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can someone explain by the term of refinancing?

 

Take me for example, i own a Chery t11 July 2010.......10yr loan with Maybank....each mth 320 installment

 

Now if i do refinance, what does it helps?

 

what is your current interest rate?

and what is the penalty if you early settlement your current loan?

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From my experience with refinancing my car loan back in 2003/4 with Citibank, Citibank will help to request full settlement amount for you and work out whether it is worth it to do a refinance or not. If may choose to opt out if it's not worth it. Not sure about the current OCBC though.

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It is useless due to the nature of car loans. You are effectively penalized when you redeem a car loan early (regardless of the nice sounding rebate term used).

 

So let's say if you take up a 10 year loan and decide to "re-finance" it 3 years in, you effectively paying at a much higher rate for the "3 years" that you were with them (calculate it yourself via total amount paid versus initial loan over the 3 years). And you sign on for another 7 years with another bank.

 

The first bank will be thanking you and the second bank will laugh at you again when you redeem it again a few years later.

 

If you have to take a loan, regardless of amount, the idea is to take if just for the period that you will be driving for. Be it 2, 3 or 5 years.

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i have signed 3.5% with sales price slashed 3 yrs ago in hope i get a refinance, but haha...they like to refinance loan outstanding more than 100k, so my loan is minimum sum, so confirm no refinance... well..will pay in full next time i buy a car...haha siao har!...ya..pay every month..cannot sleep...u forget then got penalty...haha..no 5-10k at 1.68 or 1.88%..so dun dream okie...i realised already... if you buy 400k car...they will be glad to refinance your car..same like a house....make it 100k up...u know la...

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