Monthly flat rate is the interest rate used to calculate interest for each month, based on the original loan amount, throughout the entire loan tenor.

A loan amount (or principal) is the initial sum of money borrowed, excluding interest and fees. It is the base amount on which interest is calculated. The final approved loan amount applicable to a customer is subject to their financial condition and is solely determined by the bank.

As the loan tenor affects the monthly repayment amount, you should consider the amount that you would like to borrow and the amount that you can afford to repay each month. After loan repayment each month, your remaining monthly income should be sufficient for your standard living and money saving. We recommend that no more than 40% of your monthly income should go to paying all of your debts, including mortgage payments.

The Rule of 78 is the method most banks and financial companies use to break down the principal and interest in the monthly repayment of an installment loan. Under this rule, the proportion of interest in the monthly payments decreases over the course of the loan period.