For a RM100,000 car, first subtract the down payment to find the amount financed. Malaysian hire-purchase quotations are commonly discussed using a flat annual rate, so comparing loans requires looking at both the monthly instalment and total interest.
A simple example
Why 5, 7 and 9 years feel very different
Stretching the same loan over more months reduces the monthly payment, but the flat interest continues to accumulate for more years. A shorter tenure therefore asks more from your monthly cash flow but can reduce total financing cost.
Down payment matters too
Putting more cash down reduces the financed amount. That normally lowers both the instalment and total interest. But avoid using so much cash that you leave yourself without an emergency buffer.
Do not stop at the instalment
A RM100k car also brings insurance, road tax, fuel, parking, tolls, servicing and tyres. Use the car affordability calculator to see whether the overall commitment fits your budget, not merely whether you can make the loan payment.