Former student leaders want PTPTN to be tougher on borrowers


Zaidi Azmi
Written by Zaidi Azmi

KUALA LUMPUR – July 31, 2017: Former student leaders want the National Higher Education Fund (PTPTN) to demand higher monthly payments from borrowers now earning high-income salaries.

They agree it is absurd for these borrowers to continue making small repayments after Second Finance Minister Datuk Johari Abdul Ghani yesterday revealed that some PTPTN borrowers with a monthly salary as high as RM10,000 are paying back only RM50 per month.

Former president of the Universiti Teknologi Mara Student Council, Mohamad Aiman Adam, suggested that PTPTN meet up with these borrowers to recalibrate their monthly repayment.

International Islamic University Student Council former president, Aiman Azahan, echoed a similar view, adding that the agency could cooperate with the Malaysian Trades Union Congress to devise counter-measures.

Aiman nonetheless said any repayment adjustment must also consider the borrowers’ overall household commitments.

“If the borrower is married, has children and is the only working parent in the family, then I think his monthly repayment should not be drastically increased.

“People earn money to build their lives and they can’t do that if they have to spend most of what they earned to pay off their debts,” said the law graduate.

Since its inception in 2012, the fund has given out RM43 billion to 1.9 million students.

The fund has since suffered from a poor repayment rate, with 97 per cent of borrowers over the past three years having failed to repay their student loans.

According to news reports, a total of 701, 895 of 728, 935 students who completed their studies between 2014 and 2016 are now listed in the Central Credit Reference Information System (CCRIS) for not repaying their loans.

Last year, Higher Education Deputy Minister Dr. Mary Yap announced that PTPTN had offered a 15 per cent discount for full settlement and 10 per cent for partial settlement and for those who opted for a scheduled monthly salary deduction.

She also said that PTPTN offered several methods of payment and even allowed borrowers to opt for monthly repayments for up to 60 years.

For more information, visit the PTPTN website at or call its careline at 03-2193 3000.



About the author

Zaidi Azmi

Zaidi Azmi

If Zaidi Azmi isn’t busy finding his way in the city, this 26-year-old northern kampung boy can be found struggling to make sense of the Malaysian political scene. Zaidi can be reached at [email protected]