Hire Purchase Interest Rates (New Car)

Effective Date : May 7, 2019

Type of Vehicle Flat Interest Rates

(Percent per annum)

Effective Interest Rates

(Percent per annum)

Big Bike 3.50% – 10.00% 5.60% – 16.00%
Passenger Car 2.75% – 4.50% 4.40% – 7.65%
Pickup 3.75% – 5.60% 6.35% – 9.50%
Van 3.75% – 5.60% 6.35% – 9.50%
Taxi 5.00% – 6.50% 8.00% – 11.70%
Truck 3.50% – 8.00% 5.60% – 14.40%

Note : 1. The company uses a fixed interest rate (flat interest rate) for calculating interest on hire purchase. And recognize income by effective interest method, according to accounting standards.

2. The interest rate for each customer depends on down payment, installments, car model and company’s credit consideration.

3. Service fees and charges according to the company’s announcement.

4. Any changes will be notified before contract date.

Hire Purchase Interest Rates (Used Car)

Effective Date : May 7, 2019

Type of Vehicle Flat Interest Rates

(Percent per annum)

Effective Interest Rates

(Percent per annum)

Big Bike 4.00% – 13.00% 6.80% – 22.10%
Passenger Car 3.50% – 12.00% 5.60% – 20.40%
Pickup 5.00% – 10.00% 8.00% – 16.00%
Van 5.00% – 10.00% 8.00% – 16.00%
Taxi 6.00% – 13.00% 9.60% – 22.10%

Note : 1. The company uses a fixed interest rate (flat interest rate) for calculating interest on hire purchase. And recognize income by effective interest method, according to accounting standards.

2. The interest rate for each customer depends on down payment, installments, car model and company’s credit consideration.

3. Service fees and charges according to the company’s announcement.

4. Any changes will be notified before contract date.

Financial Lease Interest Rates

Effective Date : May 7, 2019

Type of Vehicle Effective Interest Rates

(Percent per annum)

New Car 6.00% – 7.75%
Used Car 7.50% – 8.00%

Note : 1. The interest rate for each customer depends on installments, car model and company’s credit consideration.

2. Service fees and charges according to the company’s announcement.

3. Any changes will be notified before contract date.

Comparison of Financial Lease and Hire Purchase

Detail Leasing Hire Purchase
1. Customer Juristic person Individual or Juristic person
2. Initial fund Security deposit Down payment
3. Minimum repayment period at least 36 months at least 24 months
4. Calculation of monthly lease payment/HP installment Effective Rate Using ATV formula Flat Rate
5. Guarantee Guarantor required Guarantor required
6. Required Insurance 1st class throughout the contract Throughout the contract
7. Type of contract Financial Lease contract Hire Purchase contract
8. Accounting benefits (for customer) Deductible expense at full amount but not more than 36,000 baht per car Deductible depreciation at maximum 1 million baht
9. Ownership of vehicle when contract ended The Company Transferred to the hirer

* Leasing Contract has stipulated the residual value by the amount of payment, which a customer must pay at the expiry of its contract, equitably to the residual value deducting with the security

Remark ** Approval of loan and interest rates applied will be up to the Company’s credit policy and approval criteria.