ilovecalculator.my
☰

Personal Loan Calculator

Enter the loan amount, interest rate and tenure to calculate your monthly personal loan instalment.

RM
%

Most Malaysian personal loans are advertised with a flat rate.

This result is an estimate only. Check with your bank or the relevant authority before making decisions.

How the instalment is calculated

  1. Interest = loan amount × annual rate × number of years
  2. Total repayment = loan amount + interest
  3. Monthly instalment = total repayment ÷ number of months

Worked example

RM20,000 loan, 6.5% flat rate per year, 5-year tenure:

  1. Interest: RM20,000 × 6.5% × 5 = RM6,500
  2. Total repayment: RM26,500
  3. Monthly instalment: RM26,500 ÷ 60 months = RM441.67

This 6.5% flat rate is equivalent to an effective rate of about 11.7% a year.

Why your number may differ

Banks may deduct fees or stamp duty from the amount disbursed, or offer a different rate depending on your credit profile.

Frequently asked questions

What is the difference between flat and effective rates?

A flat rate charges interest on the original amount for the whole tenure. An effective rate accounts for the falling balance. For the same loan the effective rate is higher; for example, 6.5% flat over 5 years is about 11.7% effective a year.

Where can I see the real effective rate?

Banks state the effective rate in the Product Disclosure Sheet. Compare effective rates, not flat rates, when choosing between banks.

Are there other charges?

There may be stamp duty, processing fees or insurance. This calculator only covers the instalment based on the interest rate.

Related calculators