±JOIN OUR NEWSLETTER
±Compare Expat Providers
±Expat Focus Partners
±Latest Financial Articles
· Moving Abroad, Before And After Brexit
· Expat Focus Financial Update February 2018
· How To Navigate Brexit When Sending Money Abroad
· Expat Focus Financial Update January 2018
· Top Tips for Buying a Property Overseas in 2018
· Expat Focus Financial Update December 2017
· World Events And Currency: Why Politics Affect An Exchange Rate
· Expat Focus Financial Update November 2017
· What Might Brexit Mean For Expat Finances?
Buying or Selling a CarBack to top Back to main Skip to menu
Malaysia - Buying or Selling a Car
Purchasing a car
The car assembly business is large in Malaysia and if you’re looking for a new car, then there is plenty of choice available. Car dealerships are dotted around the country and cars are advertised in local newspapers and online. There are also sole car dealerships available to purchase a new car from. If you choose a car dealership or a sole dealership, a down payment is usually required. This deposit is usually around 10 per cent of the car’s total cost excluding paperwork and other fees. If you buy privately then the payment process is usually a deposit followed by full payment. That’s between you and the seller.
To purchase a new car there is a list of documents which are required:
- A Malaysian or internationally recognized driving license
- Work permit if you are taking out car finance
- Proof of income and computerized pay slips
- Employee’s Provident Fund document which can be acquired from the EPF office
- Bank statements from the last three months.
If a driver is under the age of 21-years old, a guarantor will be required. The guarantor must be either an employer or a Malaysian citizen and produce the following documents:
- The guarantor must produce his or her ID card
- Driving license
- Bank statements dated within the last three months
- Guarantor’s most recent pay slips.
The car dealership or the seller will handle all the registration documents and other legal requirements required including informing the Ministry of Road and Transport Authority.
If a car loan is taken out, then the seller or the finance company keeps the registration card until the loan is paid off. This will generate a tax disc for the vehicle which will be sent straight to the buyer providing the buyer has the car insured. A fee is charged for this by the seller. The cost of the road tax is factored into the loan repayments.
Buying a used car is a similar process as there are many used car dealerships. The process is a little quicker.
If you’re buying from a private seller, the paperwork is your responsibility. The Ministry of Road Transport Department will need to be contacted to procure the relevant forms:
- Inspection forms - Borang Semak TM3
- JPJK3 – Owner transfer form
- New ownership registration form
- New owner’s passport with a certified copy
- PUSKAPOM Sdn Bhd
You can check online that a car is offence-free and free from any finance deals.
Selling a car
There are various ways you can sell a car registered in Malaysia from new. You can advertise online, in car magazines or sell to a used car dealership. Selling a car to a used dealership is the easiest way although the price will be lower than that of a private sale. If you sell to a dealership then there will be a letter signed put together by the dealership which you will sign stating that you’re no longer responsible for the car. This letter should be stamped at a Commissioner of Oath or Stamping Office as proof. You should inform your insurance company that you’re no longer the registered owner. The dealer will then fill in the required forms and let the Road Transport Department know via the correct forms that the car has now transferred to him.
If you’re selling privately, then the buyer will deal with all the paperwork. The transfer of ownership forms and new owner’s registration form should be completed by the buyer. It is the buyer’s responsibility to ensure that all paperwork is completed and you should sign these documents as soon as possible. Once the new buyer has completed all the legal forms and you have signed the form stamped by the Commissioner of Oath, you are absolved of any responsibility in regards to the car.
Road traffic laws in Malaysia are very strict and there are high penalties to pay for car owners who are not in possession of the correct documents. When buying or selling a car, it’s important that the correct procedures are followed.
Expat Health Insurance Partners
Our award-winning expatriate business provides health benefits to more than 650,000 members worldwide. In addition, we have helped develop world-class health systems for governments, corporations and providers around the world. We want to be the global leader in delivering world-class health solutions, making quality health care more accessible and empowering people to live healthier lives.
AXA - Global Healthcare
As the global healthcare specialists for AXA, the world’s number one insurance brand, we can help you get fast access to expert medical care, whenever and wherever you need it. All our plans include evacuation and repatriation, a second medical opinion service and extra support from a dedicated case manager if you’re diagnosed with cancer. You’ll also have 24/7 support from our caring multilingual team - we’ll always remember you’re a person, not a case number.
At Bupa we have been helping individuals and families live longer, healthier, happier lives for over 60 years. We are trusted by expats in 190 different countries and have links with healthcare organisations throughout the world. So whether you're moving abroad for a change of career or a change of scene, with our international private health insurance you will always be in safe hands.
Cigna has worked in international health insurance for more than 30 years. Today, Cigna has over 71 million customer relationships around the world. Looking after them is an international workforce of 31,000 people, plus a network of over 1 million hospitals, physicians, clinics and health and wellness specialists worldwide, meaning you have easy access to treatment.