Free RM100*Compare hire purchase rates from all major banks. Maybank from 2.30%, EV from 1.75%. June 2026 rule changes explained.
⚠️ Rule Change — June 2026
The Consumer Credit Act 2025 changes how car loan interest is disclosed from June 2026. New applications must clearly show EIR, total cost of credit, and all fees in standardized format. Confirm with your bank before signing any new agreement.
Maybank leads with the lowest rate at 2.30% flat (EIR ≈4.26%). Rates are indicative — your actual rate depends on credit profile, income, and car brand.
| Bank | Best Rate (flat) | EIR (approx) | Max Tenure | EV/Hybrid Rate |
|---|---|---|---|---|
| MaybankLowest | 2.30% | 4.26% | 9 years | 1.75% |
| Public Bank | 2.50% | 4.63% | 9 years | 1.88% |
| AmBank | 2.50% | 4.63% | 9 years | 1.88% |
| CIMB | 2.55% | 4.72% | 9 years | 2.00% |
| Hong Leong | 2.55% | 4.72% | 9 years | 2.00% |
| RHB | 2.60% | 4.81% | 9 years | 2.10% |
| Bank Islam | 2.65% | 4.90% | 9 years | 2.00% |
| MBSB Bank | 2.70% | 5.00% | 9 years | — |
Rates indicative as of May 2026. Actual rate subject to credit assessment. EIR = flat rate × 1.85 (approximate).
Used car rates are typically 0.4–0.7% higher than new car rates. Maximum car age and tenure also differ by bank.
| Bank | Used Car Rate | Max Car Age | Max Tenure |
|---|---|---|---|
| Maybank | from 2.70% | 10 years old | 7 years |
| Public Bank | from 3.00% | 9 years old | 7 years |
| RHB | from 3.18% | 10 years old | 7 years |
| CIMB | from 3.20% | 7 years old | 7 years |
Malaysian car loans (hire purchase) use a flat rate — interest is charged on the original loan amount for the entire tenure, regardless of how much you have repaid. This makes the Effective Interest Rate (EIR) approximately 1.85× the flat rate.
Flat Rate → EIR Conversion Table
| Flat Rate | EIR (approx) |
|---|---|
| 1.75% | 3.24% |
| 2.30% | 4.26% |
| 2.50% | 4.63% |
| 2.70% | 5.00% |
| 3.00% | 5.55% |
Always compare loans using EIR for a fair comparison between lenders. Home loans use reducing balance (more borrower-friendly) — direct rate comparison is not valid.
Credit Score (CCRIS/CTOS)
A clean credit record (no late payments, no defaults) is the single biggest factor. Clean record = lowest rates available.
Income Level
Higher declared income gives banks confidence. Higher income may unlock preferential rates or higher loan margin.
Down Payment Size
Putting 20%+ down instead of the minimum 10% shows financial strength and may secure a better rate.
Car Brand
National cars (Proton, Perodua) often attract better rates than luxury imports, as residual value risk is lower for banks.
New vs Used
New cars always qualify for lower rates than used. Used car rates are 0.4–0.7% higher due to higher depreciation risk.
Employer Type
Civil servants may qualify for preferential rates at Bank Rakyat or BSN. Stable employment (government, GLC) helps approval.
The Consumer Credit Act 2025 introduces mandatory transparency requirements for all licensed lenders in Malaysia, effective June 2026:
Best Car Loan Rate in Malaysia (May 2026)
Maybank from 2.30% p.a. flat (EIR ≈4.26%) offers the lowest new car hire purchase rate among major banks. For EV/Hybrid: Maybank 1.75% (EIR ≈3.24%). Use our calculators below to compare monthly instalments across banks and tenures.
Plus up to RM1,800 in new user rewards. SC Malaysia licensed. Invest in US, HK & Bursa stocks from one app.
Monthly DCA growth at 10% p.a. (S&P 500 hist avg)
| Monthly | 10 yrs | 20 yrs | 30 yrs |
|---|---|---|---|
| RM300/mo | RM61k | RM228k | RM678k |
| RM500/mo | RM102k | RM380k | RM1.13M |
| RM531/mo | RM109k | RM404k | RM1.2M |
*Complete deposit & first trade via this link to track rewards · T&Cs apply · RM100 coupon ≥RM1,000 deposit · AAPL stock ≥RM30,000 deposit.
Plus RM25 free and 50% OFF fees for 30 days when you sign up with code 4G4TEP.
Monthly DCA → RM1M at 8% p.a.
| Monthly | 10 yrs | 20 yrs | 30 yrs |
|---|---|---|---|
| RM300/mo | RM55k | RM177k | RM449k |
| RM500/mo | RM91k | RM297k | RM749k |
| RM670/mo | RM122k | RM397k | RM1.0M |
Use code 4G4TEP · Min. RM100 deposit · Offer expires 29 May 2026 · T&Cs apply
