Refinance Savings Calculator
A lower monthly payment is not the same as saving money. This shows both — what you save each month, and what you save once the fees and the longer tenure are counted.
Monthly saving
RM 180.64
Net saving over the full term
RM 46,042.15
Details
- Current instalment
- RM 2,291.99
- New instalment
- RM 2,111.35
- Break-even
- 46 months
- Total payable if you stay
- RM 687,596.35
- Total payable if you refinance
- RM 633,404.21
Refinancing costs
- Legal fee
- RM 5,000.00
- Loan stamp duty
- RM 2,000.00
- Valuation fee
- RM 1,150.00
- Total
- RM 8,150.00
Refinancing means a fresh loan application.
The figures above are pure arithmetic — they do not check any bank's rules. Our DSR calculator runs your numbers through each bank's actual limits.
Check if the bank would approve →Indicative estimates for planning, not financial advice. Assumes the new loan's principal equals your current outstanding balance, and that both instalments stay unchanged for their tenure. Does not include any lock-in penalty or redemption cost on your existing loan — ask your current bank for a redemption statement. Legal fees and stamp duty are estimated from current rate tables; confirm the actual figures with your lawyer and bank.
Frequently asked questions
- Is refinancing worth it if my monthly payment drops?
- Not always. Lowering the payment by stretching the tenure means paying for longer, and the total can end up higher. On the figures here, refinancing at 4% over the same 25 years saves about RM46,000 overall — but taking 30 years instead saves more each month and costs you about RM8,000 more in total.
- What does refinancing cost in Malaysia?
- The main items are your new loan's legal fees, stamp duty of 0.5% on the new loan, and the bank's valuation fee. On a RM400,000 balance that is roughly RM8,150. Some banks absorb part of it in a zero-moving-cost package, usually in exchange for a lock-in.
- What is the break-even point?
- How many months of lower payments it takes to recover the refinancing costs. On these figures it is 46 months — so if you might sell or refinance again within about four years, the exercise may not pay for itself.
- Will my current bank charge me to leave?
- Possibly. Many loans have a lock-in period, commonly two to five years from drawdown, with a penalty of a few percent of the original loan. Ask your current bank for a redemption statement before you commit — this calculator does not include that penalty.
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