Why Trust MoneySmart?Thinking of taking out a personal loan? Whether it is for funding a renovation, covering medical bills, or withdrawing emergency funds, a personal loan calculator helps you estimate your monthly repayments, total interest, and the overall cost of loan to assess its affordability before applying.
Personal Loan Calculator Singapore
Emma Lam
| Updated April 07, 202611
8 Mins Read
Part 1 of 1 from article series: Personal Loan Loan Calculator →
Table of Contents
Loan Repayment Calculator
See how much you need to pay back per month
S$ 1,000S$ 100,000
0.01%20.00%
1 year7 year(s)
You can expect to pay:
S$ 2,124.00 / month
*estimated monthly payment
Total cost of loanS$ 50,976.00
Total interestS$ 976.00
Disclaimer: Loan disbursement figures provided are estimates. Final amount, approval, and terms are subject to eligibility checks, credit assessment, and terms and conditions.
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💡 MoneySmart Tip
Use trusted online comparison tools like MoneySmart's personal loan comparison to review personalised rates, eligibility, and requirements across major banks in Singapore—helping you make a more informed choice quickly.
FAQ
How does a personal loan work?
A personal loan is an upfront lump sum of money borrowed from a bank (or licensed moneylender), repaid over a specified period through monthly instalments. Most personal loans in Singapore are unsecured, meaning you don’t need to pledge any collaterals unlike a mortgage loan or car loan. You do, however, need to repay both the principal (original loan amount) plus any interest accrued on the loan during the tenure.
How do you calculate interest on a loan?
Interest on a personal loan is usually calculated as either:
A flat rate (applied to the full loan amount throughout), or
An Effective Interest Rate (EIR), which includes fees and reflects the true annual cost of the loan
For example, a personal loan (like Standard Chartered CashOne) might offer an interest rate of 1.60% p.a., but its EIR starts from 3.07% p.a.
What is a Loan EMI?
A loan’s Equated Monthly Instalment (EMI) is your fixed monthly payment paid by the borrower to the bank or lender, including both your principal and interest.
What is a Personal Loan Interest rate?
A personal loan interest rate is the annual rate charged by the bank or lender for borrowing money. Banks in Singapore typically advertise promotional flat rates to attract prospective borrowers. However, these promo rates are often projected figures, and don’t reflect the actual cost of borrowing.
Instead, the Effective Interest Rate (EIR) reflects the true borrowing cost since it encompasses fees like processing charges, administrative fees, and the loan’s outstanding (reducing) balance.
How does the interest rate affect my monthly payment?
A higher interest rate means higher monthly repayments; and while a longer tenure does theoretically mean lower monthly instalments, it increases your total paid interest over time. That’s why to weigh the costs and benefits, using a personal loan calculator like ours helps you experiment with different loan options and borrowing scenarios.
How much personal loan can I take?
The total personal loan amount you can borrow depends not just on how much you request, but also how much a bank or licensed moneylender is willing to offer based on your financial profile and prevailing regulatory limits by the Monetary Authority of Singapore (MAS).
Key factors affecting this include:
Your monthly income
Your Balance-to-Income (BTI) ratio
Your Debt-to-Income ratio, as seen in your Total Debt Servicing Ratio (TDSR)
Loan purpose
According to MAS, most borrowers can hold unsecured debt up to 12 times their monthly income where
BTI = Total unsecured interest-bearing balances / Monthly income.
Hence, if your existing unsecured debts (e.g. personal loans, credit cards) already exceed this 12x threshold, you generally won’t be eligible to apply for new unsecured loans.
Do note however, there are some exemptions from the BTI rule:
Unsecured loans for needs-based purposes (e.g. business, medical, or education)
You earn ≥ $120,000 annual income
You have net personal assets ≥ $2 million
If the BTI isn’t applicable to your case, your TDSR may be used instead. TDSR is the portion of your gross monthly income used to repay all debt obligations, inclusive of mortgages, car loans, personal loans, and others.
In Singapore, the current TDSR is capped at 55%.
If your monthly debt repayments exceed 55% of your monthly income, your chances of loan approval is significantly reduced. So even though TDSR mainly applies to secured loans (like mortgages or car loans), some banks or lenders may still refer to it to evaluate large personal loan applications, especially if it concerns your loan repayment ability.
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