Owning a Car in Malaysia as an Expat

Upon posting my blog about the guidelines in buying second hand car in Malaysia, I received a lot of requests in my personal email and social media accounts about the specific process of registering a car to an expat who is staying in the country.

From my own understanding, a foreigner who is staying in Malaysia with LTSVP, LTVP, Spouse Visa, Employment Pass, Work Endorsement Pass, Dependent Pass, Student Pass and so on are technically categorized as an expat unless the person holds a Permanent Resident status in Malaysia.

Being an expat in this country, we need to meet the necessary financial requirements before  we own a property like house and lot. But for owning a car, there should not be an issue.

This is how I registered the car to my name as an expat. Here is the process that I went through:

1. I was accompanied by my agent to appear at the Jabatan Pengangkutan Jalan (JPJ) Johor Bahru office to personally submit the necessary requirements for transferring the car's registration under my name. The requirements include my passport photo with my LTSVP immigration chop, my signature, and other supporting documents such as Malaysian Driving License and Marriage Cert.
2. I did not pay for any registration fee at the JPJ office because it is already under the O-T-R or On The Road business transaction that I have dealt with my second hand dealer. The transfer fees have been settled by my agent.
3. Upon completing my requirement at JPJ, I waited for about an hour to acquire the pink form otherwise known as Perakuan Pendaftaran Kenderaan with complete details about my car's license plate number, last owner's name, my name as the new owner, my address, and my passport number. It must be very clear in the form that you are the car owner with an indication of date and your passport number to avoid being questioned during spot road inspections by JPJ traffic enforcers.
4. After the JPJ, my agent assisted me to check the insurance of the car at the company insurance office. In the registration form, I was advised by my agent to fill in the name of my Malaysian wife as the secondary policy holder.

After everything was settled, my agent advised me to wait for 2-3 working days as the car needs to be checked at the Pusat Pemeriksaan Kenderaan Berkomputer (PUSPAKOM) office. PUSPAKOM is the computerized Malaysian inspection company for private cars established to ensure safety measurements to vehicles being sold in the market. 

So that is how I acquired my car with my name as the expat owner. I did not go for a loan, that is why the transaction was hassle free. For this case, it is actually better to have your agent with you throughout the process. This is actually their job - to assist you in registering the car under your name.

But for folks out there who want to go for a loan, this is what my friend advised me:

For you to get loan assistance in Malaysia, you need to have an existing bank account in any of the accredited banks in Malaysia. For an expat to have a bank account in the country, you must be either working or with at least six months visa in the country with other supporting documents such as marriage cert for LTSVP holder and valid company offer letter, together with work endorsement from your state immigration.

For couples who want to buy a car, either brand new or second hand, my friend told me that most car dealers (second hand or brand new) are willing to help clients/customers obtain loan assistance from the bank or any loan assistance company out there.

Here is the process that one must know:

• JPJ Transfer Fee - part of the O-T-R transaction.
• Bank Documentation (for clients who need loan assistance).
• PUSPAKOM Inspection (2-3 working days procedure).
• Insurance assistance (just name your preferred insurance company and your agent/dealer  will help you book your insurance application).
• Road Tax. This is basically on a yearly basis.

For loan assistance, here are the requirements you need to present:

• Photocopy of your Malaysian spouse I/C card (please take note to cross out the photocopy of your Malaysian I/C card upon submitting the document to your agent or any agency for identity protection).
• Photocopy of applicant's driving license.
• Work Permit (must be certified).
• Company letter (offer letter).
• Three months latest Pay Slips.
• EPF Statement (this is on a case to case basis for expats).
• EA Form (from Lembaga Hasil Dalam Negeri).
• Saving Book (updated) or Bank Statement of at least three months.
• Electricity or water bill (latest).
• Self Employed SSM  and statement of at least six months for self employed spouse.
• Self Employed SDN BHD Form J, Form 24, Form 49, M&A, Company Resolution.
• Personal appearance.

Please be guided that loan requirements as well as interest rates are upon the approval of the bank or other third party loan assistance companies in the country.