Refinance of car loan

[Little_prince]

hi guys.

 

i'm trying to arrange refinance for my mother's in law car loan.

 

any idea which bank is better or gives better rates?

 

thanks in advance

 

cheers

[Iisterry]

Why would you want to do that? To secure better rates/monthly installments or to extend your loan tenure?

 

You get hit with a redemption penalty if there is an existing loan. You need to take up a mortgage loan if the car is fully paid up.

 

Current loans are at 1.88%. Mortgage loans are around 3-4% (DBS only). POSB has better redemption rates instead of the normal rule 78.

[Little_prince]

i thought can save money monthly on the interest etc since the orignal loan was at 3.x% interest?

 

so now since the interest rate so low, if refinance can save?

 

http://www.sgcarmart.com/news/writeup.php?AID=83

[Galantspeedz]

i thought can save money monthly on the interest etc since the orignal loan was at 3.x% interest?

 

so now since the interest rate so low, if refinance can save?

 

http://www.sgcarmart.com/news/writeup.php?AID=83

 

I dun think there be savings. Due to rule 78 and redemption penalty, especially if the loan has been taken for quite some time liao

[Ithunk]

Why would you want to do that? To secure better rates/monthly installments or to extend your loan tenure?

 

You get hit with a redemption penalty if there is an existing loan. You need to take up a mortgage loan if the car is fully paid up.

 

Current loans are at 1.88%. Mortgage loans are around 3-4% (DBS only). POSB has better redemption rates instead of the normal rule 78.

 

yes those are the rates right now....some even go to 1.68%

[Little_prince]

so how?

 

not worth ah??

 

oh well..

[Cerano]

so how?

 

not worth ah??

 

oh well..

 

calculate yourself la

[Sg2303]

It depends on the loan amount and the old & new interest rates.

 

If you are fine to divulge the loan amount, interest rates and loan tenure, I can do a calculation for you based on rule of 78. Not including any extra penalty imposed by the bank for early redemption though.

[Little_prince]

It depends on the loan amount and the old & new interest rates.

 

If you are fine to divulge the loan amount, interest rates and loan tenure, I can do a calculation for you based on rule of 78. Not including any extra penalty imposed by the bank for early redemption though.

 

it's ok lah bro... thanks for the offer... i also not very sure... cuz it's my mother in law's car...

 

monday i probably drop by the bank to ask abt the refinance...

 

any place that specialise in doing this? or gives better interest rates? [laugh]

[Iisterry]

it's ok lah bro... thanks for the offer... i also not very sure... cuz it's my mother in law's car...

 

monday i probably drop by the bank to ask abt the refinance...

 

any place that specialise in doing this? or gives better interest rates? [laugh]

 

My take, don't waste your time. It will only make sense if you need to extend the tenure or mortgage your car for temporary cashflow reasons.

 

Due to the way rule of 78 ammortizes your loan, you end up at a greater disadvantage should you redeem your loan before your tenure is up. All this for a (maybe) slight reduction in monthly repayments.

 

You will be better off spending the time distributing flyers or wiping tables.

 

Any dealer can secure for you 1.88%. DBS has a promotion for 1.68% (don't remember if it expired, subject to rule 78 though). Walk-in inquiries to bank should entail higher interest rates.

[Jordanplus]

Not much u can save, I calculated mine before, my current loan interest 3.5% and now offer at 1.88%, it work out my monthly repayment only save less than 10 bucks, Wat for....?

[Ftco]

It is possible to get some savings but you need to work out the calculations first to see if it is worth it. Obviously it is dependent on the existing rates, and new rate, the loan amount, remaining tenure, etc. I done it before for my previous car some years back and it is a HP, not a mortgage loan. I did it through a broker transferring from OCBC to UOB but the last I hear there aren't any banks doing it. Do contact them :-

http://mymotoring.com.sg/index1.html

 

 

[E_b_l_s]

hi guys.

 

i'm trying to arrange refinance for my mother's in law car loan.

 

any idea which bank is better or gives better rates?

 

thanks in advance

 

cheers

 

Hi Little_price, you might want to try this -

 

http://www.sgcarmart.com/ads/chicago/index.php

 

A friend of mine was telling me about them, saying they were helpful and very thorough.. Maybe they can help.

[Little_prince]

Hi Little_price, you might want to try this -

 

http://www.sgcarmart.com/ads/chicago/index.php

 

A friend of mine was telling me about them, saying they were helpful and very thorough.. Maybe they can help.

 

THANKS bro! i will take note!

 

cheers!

[Serene79]

Hi peeps

 

I have a fren doing car loans and insurance a few of us get all our loans from him. He not a car dealer. He always manage to find us the lowest interest and very transparent abt everything. Also loan approve very fast also. I find him honest so if u guys wan i can give u his contact and u guys check with him. text me first at 9228 3558. dun leave a msg here i am afraid i miss it out.

[Bill8528]

Hi Little Prince,

Did you managed to refinance your mom inlaw car?

I'm interested on how you do it.

Regards

[Weiiix]

For refinance, do we have to change owner or can stick back my own name

Interested in knowing more too.

 

Anyone does it before?

[Kungfu]

i bought my new car 3 years ago at 2.5%......it's a PI........thus anytime i desperately looking for refinance

Edited March 10, 2011 by Kungfu