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KUALA LUMPUR: The banking industry has received around 500,000 requests for payment assistance and approved 98 percent of them, said Bank Negara Malaysia (BNM).
Individual banks, he said, have directly hired more than 2 million borrowers through calls, emails and SMS to offer payment assistance in view of the end of the automatic moratorium today (September 30).
“For applications that are still being processed, banks have committed to inform borrowers of the results of the application as soon as possible,” the central bank said today in a statement.
BNM said that it will closely monitor banks’ practices in this regard, and borrowers facing difficulties with their banks can contact BNMTELELINK at [email protected].
There also continues to be a steady increase in borrowers choosing to resume paying their monthly installments, he noted.
He advised borrowers who can afford to resume monthly payments to do so, as this would reduce their overall debt and borrowing costs.
“Although broader economic conditions are improving, some borrowers may still face payment challenges if their circumstances change in the coming months. If this happens, borrowers can still engage their banks to discuss alternative payment arrangements,” he said.
During this period, banks will continue to offer various forms of repayment assistance to borrowers.
BNM assured that requests for payment assistance at any time before June 30, 2021 will not appear in the records of the borrower’s Central Credit Reference Information System (CCRIS).
He said borrowers can also seek guidance and explore alternative options for assistance with the Agency for Credit Counseling and Debt Management (AKPK).
According to BNM, the banking industry has been actively reaching out to help households and businesses in need of assistance after the automatic moratorium ends.
Banks have introduced a number of packages for affected borrowers, including the specific extension of the moratorium, as well as payment flexibilities to help borrowers based on their specific financial situation.
These include nationwide reimbursement assistance campaigns and direct engagement with various stakeholder groups, including small and medium-sized business associations.
“To facilitate the application process, the banks have simplified the steps, enabled online applications, and extended branch hours (including weekends),” BNM said.
This focused approach, he added, ensures that more resources are available to help those who are vulnerable and also enables the banking sector to better support the overall economy through ongoing lending. – Bernama
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