Business Loan Repayment Calculator Malaysia 2026
Calculate your exact monthly repayment, total interest, and full amortisation schedule for any Malaysian SME or business loan. Works for all major banks and government schemes.
Flat Rate: Interest calculated on original principal throughout. Higher effective rate.
Monthly Payment
RM 1,933
Total Interest
RM 15,997
Total Payment
RM 115,997
Free consultation, no obligation
How to Use This Calculator
Enter the three inputs from your loan offer letter: the loan amount in ringgit, the annual interest rate as a percentage, and the tenure. Then select whether your loan uses reducing balance (standard for all Malaysian bank term loans) or flat rate (TEKUN, hire purchase, some cooperatives).
- Loan Amount: The total amount you are borrowing from the bank. Note that banks typically deduct a 1%–2% processing fee from the disbursed amount.
- Interest Rate: The annual rate stated in your offer letter. For bank loans, this is usually the Base Lending Rate (BLR) or Base Rate (BR) plus a spread.
- Tenure: The total repayment period. Most Malaysian SME term loans range from 1 to 7 years; property-backed loans can go up to 25 years.
- Interest Type: Select Reducing Balance for bank loans. Only select Flat Rate if your lender has explicitly quoted a flat rate.
What Does Monthly Repayment Mean?
Your monthly repayment is a fixed amount you pay every month for the entire loan tenure. Each payment covers two components: interest (based on the outstanding balance) and principal reduction. In the early months, the majority of your payment is interest; by the final months, it is mostly principal. This is standard amortisation.
If you miss a payment, Malaysian banks typically charge a late payment fee of 1% per annum on the overdue amount, and repeated defaults can result in the entire outstanding balance becoming immediately payable.
Typical SME Loan Rates in Malaysia 2026
| Lender / Scheme | Rate Type | Interest Rate | Max Tenure |
|---|---|---|---|
| Maybank SME Flexi | Reducing Balance | 5.0% – 6.5% p.a. | 7 years |
| CIMB BizFlex | Reducing Balance | 5.5% – 7.0% p.a. | 7 years |
| Public Bank SME | Reducing Balance | 5.0% – 7.5% p.a. | 7 years |
| SME Bank Term Financing | Reducing Balance | 5.0% – 8.0% p.a. | 7 years |
| GGSM2 (Bank Guarantee Scheme) | Reducing Balance | 4.5% – 6.0% p.a. | 10 years |
| BSN SME Scheme | Reducing Balance | 4.5% – 6.5% p.a. | 7 years |
| P2P Lending (Funding Societies, etc.) | Reducing Balance | 12% – 24% p.a. | 24 months |
Other Costs to Factor In
- Processing fee: 1%–2% of the loan amount, usually deducted from disbursement.
- Stamp duty: 0.5% of the loan amount (RM10 minimum, can be financed into the loan).
- Credit Takaful / MRTA: Mandatory credit life insurance on some unsecured loans, adding 0.5%–1% to effective cost.
- Early settlement penalty: 1%–3% if you repay in full within the first 3 years.
For a full comparison of Malaysian bank SME loan rates and terms, see our bank loan comparison guide. If you want to see which lenders are likely to approve your application, use the DSR Calculator to check your debt service ratio first.
Know Your Numbers — Now Get the Loan
Our advisors compare offers from 20+ Malaysian banks and government schemes. Free consultation, no obligations.