OPC conversion to normal, &, downpayment

• rumie

  20 Mar 05, 15:19

  I understand that there is a $17k "rebate" for OPC.
  
  What if years down the road, I want to convert it back to a normal car? I know there's this pro-rated amount that I need to pay. But this aside, my question is, do I really have to pay through cash? Or can add into the monthly installment?
  
  I mean, don't think I can fork out over $10k in cash if and when I want to convert an OPC to a normal car...
  
  Another question is, what IS the point of paying for downpayment? Other than the fact that it reduces the monthly installment... and, perhaps, it shorten the break-even point for the loan.
  
  But seriously, for a 10% down, does it really make a lot of difference?
  
  Assume 10% down = $6000.
  
  And monthly installment is $600.
  
  So, if I don't pay the down, I'll just need to cover at least 12 months more of installments, right?
  
  ... so what's the big deal? I'm really confused... sorry...
  
  Of cos, other than the fact that for some reason when I want to sell the car before the breakeven and I'll suffer THIS extra lost of money...
  
  so, what is the point?
  
  
• Wheels on Fire

  22 Mar 05, 13:54

  Under the old hire purchase act it's a big no no, of coz now there may be a way around it by going for re-financing and adding the loan of the rebate to be topped-up.
  
  10% deposit is required under hire purchase act. Most banks also will not grant 100% loan for fear of bad debts. And most dealer prefer u 2 put down some sort of deposit as confimation of entering into a deal. In case u pull out of the deal, they get to pocket the deposit.