What do these numbers and terms mean? Let’s take a closer look.
Please note that the personal loan calculator provides an estimate, and the actual interest rates and fees you receive will be tailored to your personal credit, income profile, and chosen loan tenure.
Last Installment Amount: This is the final installment payment you make, which may sometimes differ from your monthly installments due to rounding. In our example, the last instalment amount would be S$450.
Total Repayment (including any processing fee): This figure represents the complete amount you'll pay back over the life of your personal loan, including the principal, interest, and processing fee, assuming prompt repayment. In this example of S$10,000 loan with a 4% annual interest rate and a 2-year term, the total repayment amounts to S$10,800.
Interest Rate (p.a.): This is the annual interest rate charged on the borrowed sum without compounding. In this example, the interest rate is 4% for a S$10,000 loan. However, the percentage figure can change depending on your personal loan repayment period.
- Effective Interest Rate (p.a.): This figure reflects the actual cost of borrowing by taking into account the reducing principal balance over the selected loan tenure. It calculates how the interest rate applies while the principal amount is being paid off for an accurate picture of the interest on an annualised basis. In this example, the effective interest rate on a S$10,000 loan repaid over 2 years is 7.5%.
- Processing Fee: Any additional charges applied by the lender to cover the cost of processing your personal loan. In this example, there is no processing fee.
Do note that Personal Loan Calculator is just an estimation and that the interest rates and fees offered to you would be personalized based on your personal credit and income profile, as well as the tenure selected.
