1. What is the EMI Formula?

The EMI (Equated Monthly Installment) formula calculates your fixed monthly payment for a personal loan. It's used by Maybank and comparable to RHB's loan calculations.

2. How Does the Calculator Work?

The calculator uses the standard EMI formula:

Where:

• \( P \) — Principal loan amount (MYR)
• \( R \) — Monthly interest rate (annual rate divided by 12, in decimal)
• \( N \) — Loan tenure in months

Explanation: The formula accounts for both principal and interest components of your loan payment, with interest calculated on the reducing balance.

3. Importance of EMI Calculation

Details: Calculating EMI helps you plan your finances by knowing your exact monthly obligation before taking a loan. It allows comparison between different loan offers.

4. Using the Calculator

Tips: Enter principal amount in MYR, annual interest rate in percentage, and loan tenure in months. All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: How does Maybank's personal loan compare to RHB?
A: Maybank and RHB offer competitive personal loan rates in Malaysia. This calculator provides comparable EMI estimates for both.

Q2: What factors affect my EMI amount?
A: Principal amount, interest rate, and loan tenure are the three main factors. Higher principal/rates increase EMI, while longer tenures reduce EMI but increase total interest.

Q3: Is there a prepayment penalty?
A: Maybank may charge a small fee for early settlement. Check current terms as policies may change.

Q4: How accurate is this calculator?
A: This provides a close estimate. Final EMI may vary slightly due to rounding or specific bank policies.

Q5: Can I change my loan tenure after approval?
A: Typically not without refinancing. Choose your tenure carefully during application.