Govt offers RM4,000 to replace old cars
Are you still driving a 20-year-old Proton or Perodua? The Malaysian government now offers up to RM4,000 to help owners replace aging vehicles.
This initiative not only reduces road hazards but also promotes cleaner, more fuel-efficient cars. Here’s everything you need to know to claim your incentive quickly and hassle-free.
Why the Government Is Encouraging Car Replacement
Older vehicles are prone to mechanical failures, higher emissions, and safety risks. By incentivizing owners to upgrade:
Road safety improves with modern features like ABS and airbags.
Pollution is reduced, supporting Malaysia’s green transport goals.
Fuel efficiency increases, saving drivers money in the long run.
Eligible owners can receive financial support that offsets part of the cost of purchasing a new vehicle, making it an ideal time to consider upgrading.
Who Qualifies for the RM4,000 Incentive?
The program is targeted at private car owners with vehicles over 20 years old. Key requirements include:
Vehicle Age: Must be registered for 20 years or more.
Ownership: Private owners only, not commercial fleets.
Registration Status: Fully registered with JPJ (Road Transport Department).
Condition: Vehicle must pass Puspakom inspection for deregistration.
Owners of popular Malaysian brands such as Perodua Myvi, Proton Saga, or Proton Wira are eligible, provided their cars meet the age and registration criteria.
How to Claim the Car Replacement Incentive
Claiming the RM4,000 incentive involves a few important steps:
Step 1: Check Eligibility
Visit the official government portal for car replacement incentives.
Enter your car’s registration details to confirm eligibility.
Step 2: Get Your Vehicle Valued
Professional valuation ensures a fair price for your old car.
Platforms like Motorist Malaysia offer a free car valuation within 24 hours.
Step 3: Deregister Your Old Vehicle
Schedule an inspection at Puspakom.
Complete deregistration paperwork with JPJ.
Step 4: Purchase Your New Car
Choose a new car that qualifies under the government scheme.
Receive up to RM4,000 in cash or rebate, depending on the vehicle and scheme rules.
Benefits of Upgrading to a New Car
Upgrading your vehicle comes with tangible advantages:
Enhanced Safety: Modern cars feature airbags, ABS, and stability control.
Lower Maintenance Costs: Old cars often require expensive repairs.
Better Fuel Efficiency: New engines are more environmentally friendly.
Increased Resale Value: Selling your old car to a trusted partner ensures maximum return.
By participating in the government scheme, you not only save money but also contribute to safer and greener roads in Malaysia.
Expert Tips for Maximizing Your Incentive
Use Official Valuation Services: Avoid underpricing your old vehicle.
Check Eligibility Early: Some schemes have limited budgets per year.
Combine with Dealer Promotions: Some car dealers offer extra discounts when paired with the government rebate.
Plan JPJ/Puspakom Visits: Booking in advance saves time and prevents delays.
Frequently Asked Questions (FAQs)
Q1: Can I sell my 20-year-old car without the incentive?
Yes, but you may miss out on the RM4,000 government rebate, which can significantly increase your net gain.
Q2: Which cars are eligible for this scheme?
Private vehicles over 20 years old, including Malaysian brands like Proton Saga, Proton Wira, and Perodua Myvi.
Q3: How long does the process take?
From valuation to deregistration and claiming the incentive, it typically takes 2–4 weeks.
Q4: Do I need to visit JPJ and Puspakom personally?
Yes, but some partners, like Motorist Malaysia, offer a 100% hassle-free Auto Concierge service, handling all paperwork for you.
Q5: Can commercial vehicles apply?
No, the scheme is only available to private car owners.
Sell Your Old Car Hassle-Free with Motorist Malaysia
Ready to upgrade your 20-year-old car? Motorist Malaysia makes the process simple and rewarding:
Free Car Valuation: Get a precise value in just 24 hours.
Extensive Network: Access to 2,100+ certified partners nationwide.
Complete Paperwork Handled: JPJ and Puspakom processes fully managed.
100% Hassle-Free: Their AutoConcierge service takes care of everything from valuation to sale.
Download the Motorist Super App or visit www.motorist.my to sell your car at the best price and claim your government incentive.
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Download the Motorist App now. Designed by drivers for drivers, this all-in-one app lets you receive the latest traffic updates, gives you access to live traffic cameras, and helps you manage vehicle related matters.
