Hire Purchase

Used Car Loan Malaysia 2026

📅 2026-04-13 ⏱ 5 min read 🇲🇾 Malaysia

Buying a used car in Malaysia? Hire purchase rates for second-hand vehicles are higher than new cars — typically 2.8% to 3.5% flat rate — and banks impose stricter conditions on car age and mileage. Here is everything you need to know to get the best used car loan.

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Used Car Loan Rates Malaysia 2026

BankFlat Rate (used)Max Car AgeMax Tenure
Bank Rakyat2.80%10 years7 years
Public Bank2.90%10 years7 years
Maybank3.00%10 years7 years
CIMB3.10%8 years7 years
RHB3.20%10 years7 years
AmBank3.10%10 years7 years
Key Rule: The car's age at end of loan tenure cannot exceed 10 years for most banks. A 5-year-old car can only get a maximum 5-year loan from most lenders.

Documents Required for Used Car Loan

In addition to standard income documents, used car loans require: Sales and Purchase Agreement (SPA) from the seller, vehicle inspection report (some banks), car grant / VOC copy, and road tax validity. The car must also pass a JPJ inspection if it is being transferred.

Loan-to-Value for Used Cars

Banks typically finance 80%–90% of the car's forced sale value (FSV), not the transaction price. If you pay RM30,000 for a car with an FSV of RM25,000, the bank will only finance RM20,000–22,500 — leaving you to fund the gap.

Calculate Your Used Car Loan

Our 🚗 Hire Purchase Calculator handles used car scenarios — just enter the loan amount, flat rate, and tenure to see total cost and monthly payment.

Tags: used car loan malaysiasecond hand car loan malaysia 2026used car hire purchase malaysia

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