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Interest rates and repayment calculator
Every licensed moneylender in Malaysia is bound by an interest rate cap under the Moneylenders Act 1951. This isn't a promotional rate, it's the legal maximum, and any lender charging above it is operating unlawfully.
The statutory cap: 1.5% per month
We offer unsecured personal loans only. The statutory ceiling for this type of loan is:
- 1.5% per month, the same as 18% per year
Note that these are the same maximum expressed two different ways. 1.5% a month over 12 months is 18% a year. It is not a promotional rate and not a discount.
The actual rate charged to you is set once our officer reviews your documents, and cannot exceed this ceiling. You will be told the real figure in writing before you sign anything.
We do not offer secured loans
The Moneylenders Act 1951 sets a separate ceiling of 12%/year for secured loans. We mention it here only for completeness, we do not offer secured loans or business loans. Personal loans only.
The maximum interest the law allows
This calculator shows the highest interest you can lawfully be charged: 1.5% per month (18% per year), the ceiling set by the Moneylenders Act 1951. It shows interest only, not the net amount you receive. It is not a quote.
| Monthly instalment at the ceiling rate | RM 567 |
| Total repayment at the ceiling rate | RM 13,600 |
Calculated on flat interest at the statutory ceiling. Anyone charging interest above this ceiling is breaking the law, and you can report them to KPKT. Our officer will confirm your real figures, including the net amount you receive, in writing before you sign any agreement.
How the interest is calculated
The calculator above uses the flat-rate method, the most common approach among licensed moneylenders in Malaysia. Interest is calculated once on the principal for the full tenure, rather than recalculated monthly like a conventional bank loan. This means your monthly instalment stays fixed for the life of the loan.
Not a quote
The estimate above is for educational purposes only, using the maximum statutory rate. It is not an offer, a quote, or a guarantee of approval. Our officer will confirm the real figure in writing before you sign any agreement.