Share this on WhatsAppUnpaid and poor repayment of National Higher Education Fund Corporation (PTPTN) loans have deterred many homebuyers from obtaining a housing loan....

Unpaid and poor repayment of National Higher Education Fund Corporation (PTPTN) loans have deterred many homebuyers from obtaining a housing loan.

A number of new graduates have been unsuccessful in their loan appliations as many have not serviced their PTPTN loans at all or for months and their records have now been included in the Credit Central Reference Information System (CCRIS) database, as part of PTPTN’s efforts to recover approximately RM8.3 billion in unpaid loans.

Association of Banks Malaysia (ABM) said that records of poor loan repayment could reflect negatively on new loan applications.

“Banks evaluate an applicant’s overall financial circumstances on a case-by-case basis, taking into account information available from various sources including CCRIS,” ABM executive director Chuah Mei Lin was quoted as saying.

Chuah said that all loans and financial commitments that were obtained from either banks or non-banking institutions are taken into account when applying for loans.

A high volume of rejected loan applications is due to the inconsistent servicing of PTPTN loans, said GM Training Academy PLT chief executive officer Miichael Yeoh.

“Loan applicants who have failed to pay back any loan instalments should negotiate with the officers to start servicing their PTPTN loans in order to expedite their housing loan applications,” he said.

Yeoh added that once that has been done, applicants should receive a letter from the PTPTN officers and submit it to Bank Negara in order to update CCRIS report.

He advised all borrowers of PTPTN to update their payments and not to delay it further before purchasing a house.

Property 360 Online

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