Full Payment without Loan

[Neutrino]

Hyundai $0 surcharge and still got freebies...

 

You dun even need to take their insurance as well.

 

Not what I was told when I was asking about 6 weeks ago.

Don't intend buying another car until October so hope things stay the same.

[Solar]

Mine was 30k/1 year for a 2k discount. Interest only about a third of that, so worth it.

 

They are playing hardball now, will just refuse to give discount without minimal loan. But if interest is much less than discount and loan period is minimal, why not?

 

yup, the intention of not taking loan is to avoid paying interests, which means saving $.

so if the discount given with loan offset the interests, it is okay to go ahead. besides, it frees you the cashflow from trapping a whole lump sum at one go.

[Solar]

your credit limit very high hor.

NBz.....

 

I can only bring containers of coins to buy car.

ha ha ha

 

few years ago certain banks give out 10x credit limit for credit cards wor... i got one of those but never use cos the rewards suck 

 

but would dealers allow settling the full sum via cc? the bank fee will eat into their margin.

imo cc is only for deposit lah..

[Baal]

Like @Baal mentioned, KM is no top up for full payment.

Insurance rebate usually still applies.

When i asked, i don't see any freebies offered vs waived.

KM their more significant perk like free servicing for up to 50k km is usually decided not a SE dependent discount

However, KM do have a different price should customer buy car with own COE. But the price is that of a polite 'no'.

[Ahbengdriver]

walk in with yr cheque book near mth-end.  if they havent meet target, SE gets desperate.

[Camrytron]

Can temporarily increase credit limit one leh.. when buying big ticket item.

Only hospital bill and wedding bill can temp increase limit. The rest NO.

Answer by bank

[Charmet]

What is the usual "extra" that we need to add if we buy car with full cash?

 

I don't know about all ADs.  For Borneo Motors, they provided me a 2k discount if I took a minimum loan of 25k from them.

 

To get around this, I took the 25k loan to get the 2k discount and promptly requested for early settlement directly with UOB.  UOB charged me an early settlement fee of around 200 bucks, but the nett discount was 1.8k to me which was worth it.

 

From what I understood from the SE, the so-called discount that AD offers is the incentive banks or financing companies pay to the dealers when they get clients to take a loan.  It doesn't matter to the dealership if the client unilaterally requests an early settlement - they get the same incentive payment from the banks anyway.  

 

Only issue was that UOB made me go down specifically to their Tampines Centre to do this early settlement.  There is no appointment you can make, nor email you can send.  I called their UOB hotline and was re-directed many times until I found their vehicle credit division.  It's walk-in and they will calculate the early settlement penalty on the spot.  

 

So it's not straightforward, but it's not very difficult with some effort. 

 

Edited to include UOB's webpage on car loan early settlement:  

Seems they only allow it from 9am to 2pm, Mondays to Fridays.  Maybe it's their intent to use the weird operating hours to disincentivise any early settlement of car loans.    

 

Edited April 25, 2016 by Charmet

[orangemonkey]

yup, the intention of not taking loan is to avoid paying interests, which means saving $.

so if the discount given with loan offset the interests, it is okay to go ahead. besides, it frees you the cashflow from trapping a whole lump sum at one go.

If charging the bank interest do not let them earn more, it doesn't make sense for them to offer the bank loan.

[Tigershark1976]

Only hospital bill and wedding bill can temp increase limit. The rest NO.

Answer by bank

 

what about transfering the money to the credit card account 1st? eg- transfer 50K to the credit card account, to have 50K + existing credit?

[Audi2016]

what about transfering the money to the credit card account 1st? eg- transfer 50K to the credit card account, to have 50K + existing credit?

 

Yeah you can do this to increase the card's credit limit.

[Camrytron]

what about transfering the money to the credit card account 1st? eg- transfer 50K to the credit card account, to have 50K + existing credit?

But no AD will wan accept cc for such big amt due to the service charge they need to pay the card.

I was prepared to trf 100+k into my cc to save on cash rebate but TC don't allow unless i wan to pay the service fee..

Bo hua loh.

[Ivan_06]

Only hospital bill and wedding bill can temp increase limit. The rest NO.

Answer by bank

Can also increase if u need to buy expensive travel packages.

[AltisOwner]

you can request a Giro Form to make monthly deduction from your CC and then you pay your CC Bank to gain points and cash back. 

Car loan installments by credit card

Sure or not?

[Vratenza]

I never hear of giro from CC. Don't make sense at all.

 

You are essentially borrowing 2 times. Imagine 24% interest on top of  2.88 percent car loan rate......I don't even want to start calculating how much shit one will get oneself into it this can be done.

 

Even if it can be done, the bank is not that daft to give you free points for these sort of transaction.

 

you can request a Giro Form to make monthly deduction from your CC and then you pay your CC Bank to gain points and cash back. 

 

[Doppel]

I don't know about all ADs. For Borneo Motors, they provided me a 2k discount if I took a minimum loan of 25k from them.

 

To get around this, I took the 25k loan to get the 2k discount and promptly requested for early settlement directly with UOB. UOB charged me an early settlement fee of around 200 bucks, but the nett discount was 1.8k to me which was worth it.

 

From what I understood from the SE, the so-called discount that AD offers is the incentive banks or financing companies pay to the dealers when they get clients to take a loan. It doesn't matter to the dealership if the client unilaterally requests an early settlement - they get the same incentive payment from the banks anyway.

 

Only issue was that UOB made me go down specifically to their Tampines Centre to do this early settlement. There is no appointment you can make, nor email you can send. I called their UOB hotline and was re-directed many times until I found their vehicle credit division. It's walk-in and they will calculate the early settlement penalty on the spot.

 

So it's not straightforward, but it's not very difficult with some effort.

 

Edited to include UOB's webpage on car loan early settlement:

Seems they only allow it from 9am to 2pm, Mondays to Fridays. Maybe it's their intent to use the weird operating hours to disincentivise any early settlement of car loans.

 

Maybe the "weird" operating hours are not to discourage early settlement, but due to the time constraint to dislodge the bank's lein on the car via HPFLAS.

[adrianty]

Saw this thread. Anyone can advise without loan, between c&c, kah motor, komoco motors, which one offer the best deal? I.e. no penalty, still give freebies, etc.

[RogerNg_185295]

CNC the worst. Kah and Komoco do not require you to take loans. No penalty

Saw this thread. Anyone can advise without loan, between c&c, kah motor, komoco motors, which one offer the best deal? I.e. no penalty, still give freebies, etc.

 

[Fitvip]

0 surcharge and normal freebies from PI.