Kuala Lumpur, Friday, 11 June 2021
- On behalf of its member banks, The Association of Banks in Malaysia (ABM) would again like to reassure all borrowers and businesses that have been affected due to the COVID-19 pandemic, in particular the latest Movement Control Order (MCO), that banks will continue to offer them financial relief assistance. This is in line with the recent PEMERKASA Plus aid package announced by the Malaysian Government.
ABM would like to reaffirm that affected M40 and T20 borrowers can also avail themselves to repayment assistance.
For those who have been made unemployed in 2020 or 2021, they can likewise avail themselves to a 3 months moratorium or reduce their monthly instalments by 50% for 6 months.
For those who continue to be in employment, but whose incomes (at the household level, and including other income such as overtime, allowances, bonuses, commissions) have been affected, they may also reduce their monthly instalments for 6 months. This includes those who have been directed to go on no pay or partial pay leave.
To recap, under the latest Targeted Repayment Assistance (TRA) programme which was announced on 1 June 2021, banks are continuing to make available the following types of financial relief assistance to affected borrowers:-
Affected borrowers (individuals, microenterprises and SMEs) only need to contact their respective banks to inform the banks on the type of assistance required. Automatic approval will be granted by the respective banks, subject to meeting the criteria highlighted.
All other affected borrowers who do not fall within the above categories can also reach out to their respective banks to consider restructuring and rescheduling financing solutions to help alleviate their burden.
As announced by Bank Negara Malaysia, borrowers' Central Credit Reference Information System (CCRIS) records will not be affected by any form of TRA received in 2021. As such, borrowers do not have to worry about the impact on their future credit profile.
ABM member banks remain committed to provide help to all affected individuals or businesses by alleviating their cash flow burdens. Processes have been simplified and response times shortened to ensure that assistance is easily obtained at the convenience of all borrowers. The repayment assistance programme will assist all borrowers affected by the pandemic whilst also ensuring that our financial system remains resilient and the country is on the right path of economic recovery. Borrowers may refer to their respective banks' websites to opt for the repayment assistance required.
Further, Agensi Kaunseling dan Pengurusan Kredit (AKPK) stands ready to provide the necessary advice and guidance to both individual borrowers and microenterprises, including options for debt restructuring. In addition to contacting the banks, microenterprises can also request for assistance through AKPK's dedicated micro business helpdesk at www.akpk.org.my/microhelpdesk. The virtual helpdesk provides free financial advice and facilitates applications for repayment assistance.
Any affected borrowers who have had their requests for TRA rejected by the banks or are still facing difficulties after consultation with their banks can contact BNMTELELINK at bnm.my/RAsurvey
Borrowers are reminded to be wary of scammers and only apply for any financial assistance through official bank channels. Borrowers are also advised not to deal with any third parties claiming to be agents/representatives of the banks on matters relating to repayment assistance. Our member banks do not appoint or engage third parties or agents for purposes of the repayment assistance.