Frequently asked questions about hire purchase financing.

Hire Purchase Vehicle Financing
  • What is this product about?
    Hire Purchase (“HP”) financing is a facility given to you to finance the purchase of a motor vehicle. Upon approval of the facility, a Hire Purchase Agreement (HPA) shall be entered between you (the “Hirer”) and Baiduri Finance Berhad as the Owner of the financed vehicle.

    Interest for HP is calculated based on fixed interest rate over the tenor of the facility. Upon full payment of the facility’s outstanding amount, ownership of the vehicle will be transferred to you.

    HP financing covers Motor Vehicle, Motorcycle, Vessel and Consumer Goods with a maximum financing period of up to 7 years. The annual percentage rate is based on AMBD guidelines.
  • What are the key elements of a HP?

    Simply log on to the Baiduri HP Online platform

  • What type of financing can I get using Baiduri HP Online?

    You will need to take note of the period of Hire and details of payments such as:

    • Principal Amount: BND XXXX
    • Interest charges (APR: XX % flat p.a.): BND XXXX 
    • Total Loan Amount Payable: BND XXXX

  • What are my obligations?

    As a Hirer, you are obligated to pay the instalments on time effective from the commencement date to
    the final instalment as specified in the HP Agreement. For example; Your instalments under the proposed agreement will be ____ monthly instalments of BND____ each commencing on DDMMYYYand thereafter on the ____ day of each succeeding month.

    You will also need to inform us of any changes in your contact details and address (refer to BFB HPA Clause 3.t).

  • What are the fees and charges?

    There are no fees/charges for HP application. However, if you are unable to make the monthly instalment payment on time, charges may apply subject to our prevailing Schedule of Tariffs.

  • How can I make payments for my account(s)?

    • Baiduri Finance branches
    • Automated Teller Machines or Cash Deposit Machines (ATMs/CDMs)
    • Baiduri b.Digital Personal
    • Baiduri Finance Mobile App
    • Standing Instruction (SI)
    • Baiduri Mastercard Auto Direct Prepaid Card

  • What if I fail to fulfill my obligations?

    The consequences of failing to make your monthly repayments include:

    • Overdue interest / late charges
    • Repossession of vehicle 
    • Other forms of action including legal action 

  • Do I need insurance/takaful coverage?

    Yes, insurance coverage is mandatory. You are required to keep the vehicle insured until full payment of the Hire Purchase is completed (refer to BFB HPA Clause 3.n and Section 25 of HP Order 2006).

  • What documents do I need to submit to apply for HP?

    • Valid Identity Card
    • Valid Brunei Driver’s Licence
    • Confirmation of Employment letter, if applicable
    • Latest 3 months bank statement, updated savings passbook or any other evidence of savings
    • Evidence of fixed and/or variable monthly income (salary slip)
    • Passport with a valid employment pass (for foreigners only)

  • How and when does repossession of vehicle take place?

    • Repossession of the motor vehicle will take place upon a breach of the HP Agreement. A Notice of Intention to Repossess(Fifth Schedule) will be sent to you giving a grace period of fourteen (14) days(per BFB HPA Clause 5.i and Section 15. (1) or of HP order 2006).
    • Upon repossession, Notice After Repossession(Sixth Schedule) will be sent to you giving a grace period of another fourteen (14) days to allow you to redeem your vehicle (per BFB HPA Clause 6.3 and Section 15. (3) of HP order 2006)
    • Should you wish to redeem the vehicle after repossession, all fees, charges and overdue monthly instalments must be settled as specified in the Notice After Repossession(Sixth Schedule). 

  • What happens if I fail to meet the requirement after repossession?

    After the expiration of the Notice After Repossession(Sixth Schedule), the vehicle will be advertised and sold off through the process of Tender Advertisement. Your HP account may also be written off and transferred to the Loss Recovery Department.

  • How do I manage my Bluecard?

    • The bluecard may be withdrawn by the Hirer at the nearest Baiduri Finance branch at any time. Third party withdrawal may be accepted with the Hirer’s authorisation. A security deposit of BND50 applies. However, this deposit may be forfeited if the bluecard is not returned within 60 days from the date of withdrawal. We reserve the right to duplicate the bluecard and charge your account with the duplication fee of BND250.
    • Should you decide to change your Vehicle Registration Number, please bring the original letter of approval of your new Vehicle Registration Number from Land Transport Department to the bluecard section.

  • How do I renew the Road Tax and Insurance for my vehicle?

    You will receive a renewal notification from us one month before your road tax expires. For your convenience, you may request for an insurance and road tax renewal quotation via Baiduri Finance Mobile App or by contacting us at 2426800 ext 6823/8819. If you decide to renew your insurance elsewhere, please return your bluecard with a copy of your new insurance cover note. Ensure the insurance bought has comprehensive motor vehicle cover with sufficient coverage for the outstanding loan.

  • What do I need to do if there are changes to my contact details?

    You may:

    • Update via Baiduri Finance Mobile App; or
    • Visit your nearest Baiduri Bank or Baiduri Finance branch to update 

    Note: It is important for you to inform us of any changes to your contact details to ensure all correspondences would reach you in a timely manner (per BFB HPA Clause No. 3.T).

  • Where can I get assistance and redress?

    Please visit the nearest Baiduri Finance branch:

    Units 1 – 3, Ground & 1st Floor,
    Sumbangsih Bahagia, Kompleks Perindustrian Beribi, Gadong BE1118
    Tel No: (673) 242 6800
    Fax No: (673) 245 0877

    Unit 1, Ground Floor,Tang Ching Ying Building,
    Jln Sungai, Kuala Belait KA2331
    Tel No: (673) 333 0570 / 333 0569 / 334 1436
    Fax No: (673) 333 0572

    You can also write in to [email protected]
  • Where can I get further information?

    Click here or download Baiduri Finance Mobile from App Store or Google Play to learn more.

Automated Insurance Renewal

Motor Insurance
  • What is motor insurance and why do I need it?

    Motor insurance provides cover for damage to your vehicle and covers death and injury to third party and/or damages to third party property if you are involved in an accident. Coverage depends on the type of insurance policies you purchase.

    Examples of risk that you may ask: 

    • If I crash into a luxury sports car, will I be able to afford the repairs?
    • What happens if I hit a lamp post / road barrier? 
    • How will I get around if my car is stolen or written off?

    So, by having the right motor insurance, it will help you with the costs.

  • Why is motor insurance compulsory in Brunei Darussalam?

    In Brunei Darussalam, it is against the law for a motor vehicle to be on the road without the appropriate insurance coverage according to Motor Vehicles Insurance (Third Party Risks) Act, Chapter 90.

  • What are the types of motor vehicles that can be insured?

    All types of motor vehicles that are approved to be on the road. This includes motorcycles, cars, trucks, taxis and buses.

  • Can I buy motor insurance from insurance companies outside Brunei Darussalam?

    No. Motor insurance can only be bought from insurance companies that are registered by AMBD.

  • What are the types of motor insurance policies available in Brunei Darussalam?

    There are 2 types of coverage:

    (1) Third Party Cover

    (2) Comprehensive Cover

    Standard Coverage:
    Note: take note of the limit provided.
    Covers against:
    • third party bodily injury and death
    • third party property damage 
    Covers against:
    • third party bodily injury and death,
    • third party property damage 
    • Loss / damage to your own vehicle due to fire, theft or accidental collision or overturning or whilst in transit excluding any sea route. 
  • What is excluded under these policies?

    Exclusions are items or conditions that are not covered in the insurance contract for certain acts, property, types of damage or locations. The typical exclusions are:

    • depreciation (wear and tear),
    • loss or damage of accessories and spare parts, 
    • damage to tyres only, 
    • loss of value after repairs, 
    • electrical breakdown failures or breakage, 
    • damage due to unlawful act or omission of any person, 
    • cost of replacement on parts not directly damaged as a result of accident, and 
    • loss or damage caused by criminal breach of trust and damage cause by act of cheating. 

  • What additional coverage (extension) can I get for my motor policy?

    Additional coverage for your motor policy can be purchased by paying additional premium. These include:

    • windscreen damages
    • flood, storm 
    • excess protector 
    • passengers’ risks in your own vehicle 
    • personal accident 

  • How do I set the insured value (sum insured) for my motor policy?

    For new vehicles, the sum covered will be the purchase price (excluding vehicle license, insurance and registration). For other vehicles, the insured value is the market value of the vehicle at the date you apply for the insurance.

    Market value means an amount equal to the current accepted price of the car. It takes into account the age, make, model, kilometers travelled and condition of your car.

  • What information do I need to disclose to my insurance company?

    You must disclose relevant information that is true and accurate. 

    • Personal details,
    • Vehicle blue card, 
    • Existing insurance policy, 
    • Proof of No Claims Discount (NCD) earned, 
    • Details of previous claims, if any and 
    • Modification made to the motor vehicle, if any. 

    Providing false information or documents may void the insurance policy. 

    Case study:
    Ahmad bought a new car and participated in comprehensive insurance. He decided to add a spoiler and lower the car a few inches to give it a more distinctive look. But when the car was damaged, his claim was rejected because the car was not roadworthy, and he had not informed his insurer of the changes.

  • Is the premium pricing for motor insurance fixed in Brunei Darussalam?

    Yes, to some extent. There is a motor tariff rate used by Brunei Insurance and Takaful Association (BITA) members whereby members cannot charge lower than the tariff.

  • What is a “No Claims Discount” (NCD)?

    NCD stands for No-Claim Discount. Some operators use the term No Claims Bonus (NCB). This is a discount offered by insurance companies for those car owners who have not made any claims within a year or more. The longer the car owners do not make any claims, the better the discount they may be eligible for.

  • How are NCDs applied to my motor policy?

    Different NCD rates are applicable to different classes of motor insurance. In general, the NCD is applied as follows:Different NCD rates are applicable to different classes of motor insurance. In general, the NCD is applied as follows:

    Private Car (NCD)

    Commercial Car (NCD)

    Policy Period
    Third Party
    Third Party
    1 year before



    2 consecutive years before



    3 consecutive years before


    30% (max)

    20% (max)
    20% (max)
    4 consecutive years before


    5 or more consecutive years before

    50% (max)

    Case study: How to calculate NCD?
    Driver A participates in a comprehensive policy for his one-year-old car and his premium amounts to BND 1,000. If he did not make any claims in the year before, then he is entitled to a no-claims discount of 20%.
    This means his discount is BND 1,000 X 20% = BND 200.
    The premium he has to pay is BND 1,000 – BND 200 = BND 800.

  • What is “excess”?

    Excess is also known as “deductible”. It is the amount you have to pay for each incident when you make a claim. The types of excess applicable are:

    a) Vehicle Excess
    b) Driver Excess

    • Not named in certificate
    • Age of driver
    • Holder of provisional driving license or holder of full valid driving license of less than 24 months’ duration. 
    c) Geographical Area Excess

    Case study: How is excess applied?
    If the covered person has an excess of BND 500 and the total repair costs BND 3,000, then the covered person must pay BND 500 while the insurance company pays the remaining BND 2,500.

  • What is “loading”?

    Loading is the additional premium you have to pay on top of the basic premium. This is to take into account of higher risk factors involved such as age, make and model of vehicle and claims experience. There are two different loadings:

    1. Model Loading

    • Based on the vehicle make and model.
    • The basic tariff was meant for ordinary vehicles.
    • Continental vehicles such as Mercedes Benz and BMW will apply a different model loading because of the high cost of repairs and spare parts and the probability of accidents.

    2. Year Loading
    • Based on the vehicle’s year of manufacture.
    • The loading starts at year 6 because of the new for old principle.
    • E.g. In the case of a 5-year-old vehicle with a damaged bumper. An insurance company cannot provide a similar 5-year-old bumper but can only give a new one hence the additional loading.

Motor Dealers
  • List of Motor Dealers

    Bayu Ilham Motors Sdn Bhd

    Bee Motors Sdn Bhd

    Berjaya NRS Motor

    BM Supply Motor Sdn Bhd

    Boustead Sdn Bhd

    Carcity Enterprise

    Daha Auto Sdn Bhd

    GHK Motors Sdn Bhd

    Grand Motors Sdn Bhd

    Happy Motoring Sdn Bhd

    Hai Hwang

    Honey Carsmart Sdn Bhd

    Indera Motors Sdn Bhd

    JFK Enterprise

    Kimcars Sdn Bhd

    LLK Autocars

    Maju Motors Sdn Bhd

    Miraco Company

    Motorcity Sdn Bhd

    Mudaseri Auto Sdn Bhd  

    NBT (Brunei) Sdn Bhd

    New Bestcars Sdn Bhd

    QAF Auto Sdn Bhd

    Roshjaya Motor Sdn Bhd

    Seri Naffco Sdn Bhd

    Setia Motors

    Sri Sentosa Sdn Bhd

    T.C.Y. Motors Sdn Bhd

    TSM Motor Sdn Bhd

    Yuni-Ku Enterprise


Contact our customer support team if you have any further questions. We are here to help you.

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