Are They Really That Worthless?

Victim of an Unfair Cartel?

Are old cars really worthless even though they run as smooth as mercury?

Since when did the price of second hand cars went into self-destruct mode?

Was it after the much rushed thoughtless New Automotive Policy launched during the former PM's era which apparently wiped out many second-hand car dealers?

I think there could be some cartel fixing by second-hand car dealers and adjusters to ensure most cars which are still good in running condition fetch no more that scrap value.

My conclusion-it must be so since a car manufactured in 1995 can now only fetch a few hundred ringgits and one manufactured in 2000, possibly one grand.

Only option left.

Keep these cars well as even new cars will sink in value given these atrocious second hand market price fixing.

Malaysian Cars: Depreciation Variance

Talking to my insurance agent has been educational.

I asked him yesterday, what Malaysian car should I buy if I need to replace my current jalopies.

The Smarter Buy

He told me a Myvi is a better buy.

Why so, I inquired in curiosity.

Depreciation, he says as a Myvi will depreciate by RM 2,000 to RM 3,000 the following year.

What about, if I buy the Proton Saga FL or FLX?

Not good, he told me.

Depreciation Disaster

Because the depreciation for Proton cars is almost RM 6,000 in the second year.

So, I told him perhaps I should buy a second hand Proton which is much cheaper if I intend to use it for long.

So, if you are thinking of buying a new car, you know how to choose, right?