Thailand
Malaysia: It’s a 98% approval rate for repayment assistance
PETALING JAYA: The banking industry has received about 500,000 applications for repayment assistance and approved 98% of them, Bank Negara said.
Individual banks, it said, have directly engaged over two million borrowers through calls, emails and SMS to offer repayment assistance in view of the end of the automatic moratorium today (Sept 30).
“For applications that are still being processed, banks have provided their commitment to inform borrowers of the application results as soon as possible, ” the central bank said in a statement yesterday.
Bank Negara said it will closely monitor banks’ practices in this regard and borrowers who face difficulties with their banks can contact BNMTELELINK at [email protected].
There also continues to be a steady increase in borrowers choosing to resume payment of their monthly instalments, it noted.
It advised borrowers who can afford to resume monthly repayments to do so, as this would reduce their overall debt and borrowing costs.
“Although broader economic conditions are improving, some borrowers may still face repayment challenges if their circumstances change in the coming months.
“If this happens, borrowers can still engage their banks to discuss alternative repayment arrangements, ” it said.
During this period, banks will continue to offer various forms of repayment assistance to borrowers.
Bank Negara assured that applications for repayment assistance at any time before June 30,2021, will not appear on a borrower’s Central Credit Reference Information System (CCRIS) records.
It said borrowers may also seek guidance and explore alternative options for assistance with the Credit Counselling and Debt Management Agency (AKPK).
According to Bank Negara, the banking industry has been actively reaching out to help households and businesses that need assistance after the automatic moratorium ends today.
Banks have introduced a range of packages for affected borrowers, including targeted extension of the moratorium, as well as repayment flexibilities to help borrowers based on their specific financial situation.
These include repayment assistance campaigns across the country and direct engagements with various stakeholder groups, including small and medium enterprise associations.
“To ease the application process, banks have simplified steps, enabled online applications and extended the operating hours of branches (including weekends), ” Bank Negara said.
This targeted approach, it added, ensures that more resources are available to assist those who are vulnerable and also enables the banking sector to better support the broader economy through continued lending. — Bernama
Source: https://www.thestar.com.my/business/business-news/2020/10/01/its-a-98-approval-rate-for-repayment-assistance