Sesi mengopi TANPA beli kopi #670

Sesi mengopi TANPA beli kopi #670
(Tuan/puan boleh tanya sebarang soalan berkaitan industri kereta terus ke FB Messenger saya)

SOALAN:

Good day Mr Eddie Soh.

Really hope you can help and advise me.
Im planning to have a personal loan around 70k repayment for 7 years

first to own second hand car well below 30k that easy to maintain. 10k to service the car all around and having extra cash for topping up my move-in-to-new-house cost.

At the moment. i own honda city gm6 which i loan for 9years from 2014, monthly 925. will finish in 4 years and 5 months. mileage 140k and not service by honda.

my question is. is my plan wise? im in need to have more cash renovating my house. 

and please suggest me good second hand car which is better than a city but well below 30k. (if its posible)
heres my list of car im thinking,
1 accord 2003
2 camry 2003
3 old civic
4 merc 190e

i want to have a bigger sedan 😅 kindly advise. thanks.

JAWAPAN:

Firstly, I will assume that you are not selling off your Honda City year 2014. 

Secondly, it would appear that your plan is to have a second car which you wanted to buy used because you wanted a bigger sedan car.

Thirdly, I don't have information on your current income and also how much your monthly installment for your house. 

With not much information on your financial goal, I can only give comments on the commitment part of the personal loan.

A personal loan typically charges 10% interest for the amount that you loan. So, the interest rate for 70k loan is 7k a year. After 7 years, the amount of interest you are paying is 7k x 6 = 42k.
That's more than half the amount that you borrowed.

Besides that the monthly repayments for your loan is
RM 1416.70 a month.

On top of that you are paying RM 925 for your Honda City and also an unknown amount for your house.

RM 925 + Rm 1416.70 + hse installment.

If I were you, I will be very careful about the commitment that you are paying every month. These are not income generating payment. (Commitment is vital when you realise that you can lose your job in a bad economy or become sick till you can't work)

Your plan of getting a bigger second hand car that is considered quite old. 2003 is 16 years car. Normally not advisable to get such old cars. Perhaps, you are used to the reliability of a 2014 Honda City that hardly gives trouble. It is not fun when your car keeps breaking down on the road and the trouble of having to send the car to the mechanic makes owning them not worthwhile.

Try keeping the commitment low so you won't be too stress with heavy financial burden. I believe your EPF has an account that you can withdraw for renovating house.

Eddie Soh
EH Motor (ditubuh 1985)
Blacklist, CCRIS, Full loan untuk beli kereta

#EHMotor
#Sesimengopitanpabelikopi