Article Outlines
A Complete Guide to Personal Loans in Malaysia
A Personal Loan is an unsecured loan that provides funds for various personal needs such as travel, medical expenses, education, or debt consolidation. The borrower repays the amount in fixed monthly installments with interest. Personal loans offer quick approval, flexible tenures, and minimal documentation.
What is a Personal Loan Repayment?
AA personal loan repayment refers to the process of paying back the money you borrowed from a lender (such as a bank, credit union, or online lender) under the terms of your personal loan agreement.
Here’s a breakdown of what it involves:
Principal
The portion that goes toward reducing the original loan amount.
Interest
The cost charged by the bank for lending you the money.
How Personal Loan Repayments Work
A personal loan repayment is the process of paying back the money borrowed from a lender in fixed monthly installments over an agreed period. Each payment typically includes both the principal amount (the original loan) and interest (the lender’s charge for borrowing). The repayments continue until the full loan balance is cleared, usually following a set schedule with equal payments each month. Borrowers can sometimes repay early to save on interest, though some lenders may charge a prepayment fee.
Bank Personal Loan Interest Rates
| Bank Name | Interest Rate |
|---|---|
| Alliance Bank CashFirst Personal Loan | 8.38% |
| CIMB Cash Plus | 10.88% |
| Citibank Personal Loan | 7.9% |
| Hong Leong Personal Loan | 12% |
| HSBC Amanah Personal Financing-i | 6.99% |
| Maybank Personal Loan | 7.0% |
| RHB Personal Financing-i for Private | 12.22% |
| Standard Chartered Quick Cash EDGE | 10.56% |
| UOB Personal Loan | 10.99% |
Personal Loan Rates for Government and Public Sector Workers
| Bank Name | Interest Rate |
|---|---|
| Bank Rakyat Personal Financing-i Public Sector | 4.54% |
| BSN SKAP | 4.75% |
| MBSB Mumtaz-i | 3.4% |
| Public Bank BAE Personal Financing-i | 4.99% |
