1. What is No Cost EMI?

No Cost EMI is a payment option where you can purchase products by paying in installments without any additional interest charges. The total cost remains the same as the upfront payment price.

2. How Does the Calculator Work?

The calculator uses the simple EMI formula:

Where:

• \( P \) — Principal amount (MYR)
• \( N \) — Loan tenure in months
• \( EMI \) — Equated monthly installment (MYR)

Explanation: For no-cost EMI, the total amount is simply divided by the number of months in the tenure.

3. Importance of EMI Calculation

Details: Calculating EMI helps in budgeting and financial planning. It shows exactly how much will be deducted from your credit card each month.

4. Using the Calculator

Tips: Enter the principal amount in MYR and select the tenure in months (typically 3-24 months for most credit cards in Malaysia).

5. Frequently Asked Questions (FAQ)

Q1: Is there really no cost for no-cost EMI?
A: While there's no interest, some banks may charge a small processing fee. Always check with your bank for exact terms.

Q2: Which credit cards offer no-cost EMI in Malaysia?
A: Most major banks (Maybank, CIMB, Public Bank, etc.) offer no-cost EMI options at partner merchants.

Q3: Does no-cost EMI affect credit score?
A: Yes, it appears as a loan on your credit report. Timely payments help your score, while defaults hurt it.

Q4: Can I prepay my no-cost EMI?
A: Most banks allow prepayment, sometimes with a small foreclosure charge. Check your bank's policy.

Q5: What happens if I miss an EMI payment?
A: Late fees and interest may apply, and it could negatively impact your credit score.