Find out if you are money smart. Take the iMoney challenge by answering these 10 simple questions on credit card, loans and insurance.
1. Razif is an entrepreneur with no set income every month. After establishing his business, he is planning to get a car loan to purchase a new car. With his income of at least RM5,000 a month, which car loan should he get?
- A. Variable Car Loan Rate
- B. Conventional Car Loan
2. Amy travels for business and leisure at least five times a year. Her father has been using his credit card to purchase air ticket and hotel rooms on her behalf. She is thinking of getting a credit card to make it more convenient to travel. Which of the following credit cards is the most suitable for her?
- A. Reward points credit card
- B. Cashback credit card
- C. Travel Miles Credit Card
3. You have RM30,000 locked away in a Fixed Deposit (FD) account since January 2013, with the interest rate at 3.5%. The maturity date of your FD is on January 2016. However, you need the money for some urgent matter. Can you withdraw the cash before January 2016?
- A. Yes, with interest earned to date.
- B. Yes, with reduced interest or a penalty fee.
- A. Yes, with interest earned to date.
4. Johan is currently servicing a 9-year car loan. One day, Johan received a huge amount from an inheritance and he would like to pay off his car loan. Would this make a good money-saving move for Johan?
- A. Yes. He will be able to save on interest rate due to the prepayment on the car loan.
- B. No. Total interest charged for the 9 years will still be applicable.
5. Li Yen has a RM350,000 home loan with a lock-in period of 3 years and an exit penalty of 3%. After 2 years of repaying the loan, she lost her job and is planning to put the house in the market to reduce her financial commitment. By selling the property before the end of the three-year lock-in period, how much will she have to pay to the bank in penalty?
- A. RM3,500
- B. RM12,000
- C. RM10,500
- D. RM15,000
6. Yong has a monthly income of RM2,500 and he holds two credit cards with two different banks. What is his combined credit limit for both his card?
- A. RM5,000
- B. RM10,000
- C. RM15,000
- B. RM20,000
7. Helmi is getting a RM400,000 home loan with a 4.2% (BLR-2.4%) annual interest rate. How much does he need to pay for the interest in his first month’s repayment?
- A. RM700
- B. RM1,400
- C. RM16,800
8. Which of the following is not required when applying for a personal loan?
- A. Legal fees
- B. Stamping fees
- C. Processing fees
- D. Late payment charges
9. Which of the following is not a good reason to refinance your home?
- A. To consolidate your debts
- B. To free up your cash for Fixed Deposit investment
- C. To shorten your home loan tenure
- D. To reduce your home loan interest
10. Justin’s car has broken down due to a flash flood near his office last week. He has a comprehensive car insurance policy for his vehicle. Will he be eligible for a claim from his car insurer?
- A. No
- B. Yes
