Tisco Bank Loan Against Auto License

[skybluestu]

Hi,

I read recently that Tisco Bank have a promotional rate of 0.55% per month for a loan of up to 60% of your car's value, does anyone know if any other banks have any similar loans where you can use your car as collateral?

Thanks in advance

[BigSnake]

Hi,

I read recently that Tisco Bank have a promotional rate of 0.55% per month for a loan of up to 60% of your car's value, does anyone know if any other banks have any similar loans where you can use your car as collateral?

Thanks in advance

No of no other Bank with offer, nor did I know about Tisco Bank, there is one near me, I will drop in today.

[katabeachbum]

0,55% a month is 6,6% interest a year, which is normal secondhand interest in all the finance companies. Ad 7 % vat. Tisco and Tanachart are the largest ones for private cars.

[skybluestu]

0,55% a month is 6,6% interest a year, which is normal secondhand interest in all the finance companies. Ad 7 % vat. Tisco and Tanachart are the largest ones for private cars.

The article I read in The Nation said the LAAL loan meant that you didn't have to pay any VAT as you don't actually need to transfer ownership.

[katabeachbum]

0,55% a month is 6,6% interest a year, which is normal secondhand interest in all the finance companies. Ad 7 % vat. Tisco and Tanachart are the largest ones for private cars.

The article I read in The Nation said the LAAL loan meant that you didn't have to pay any VAT as you don't actually need to transfer ownership.

That sounds lika an interesting relatively low cost short time finansing

[dabhand]

Be careful to check the way that the interest is calculated.

I remember taking out a Tisco loan (via the Mrs) for a new car some years back. If I recall correctly, the monthly interest charge remained constant (based on the original loan amount) over the period of the loan rather than reducing as the o/s principal reduced.

The real interest level was, in effect, double that advertised. Didn't stop our deal as the rate was low enough (equiv to 2%p.a.) that a doubling was not an issue at the time.

Best to get a repayment schedule and carry out your own calculation checks.

[chivo]

just found out the same.

the rate advertised is 1.88

found out today that it is 1.88% of the total loan amount per year.

doesn't reduce with the principle!

so 1 million baht borrowed, you end up paying 7.2% by the end....

anyone here that is more familiar care to comment if that is still the norm here, or could i have gotten a better deal elsewhere? what is the average interest rate for auto loan in thailand?

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