Malaysians relieved govt does a U-turn on new PTPTN repayment scheme

(The Star) – Many Malaysians are relieved that the government has decided to put the controversial new repayment scheme for National Higher Education Fund Corporation (PTPTN) borrowers on hold.

However, they said on social media that the government should have thought the idea through before making the announcement over the Income-Contingent Loan Repayment scheme.

Facebook user Mohd Ariff Abd Rahman said the government should have carried out proper research and do a pilot test before making the announcement.

He said the government needs to get feedback from borrowers and consult stakeholders.

MK Ganesan agreed with Mohd Ariff, saying that there should not be a rush in implementing the scheme without a detailed study and consultation with stakeholders.

Hadzman Johny said on Friday (Dec 7): “The federal ministers should think of a win-win situation to solve problems.”

On Wednesday (Dec 5), PTPTN chairman Wan Saiful Wan Jan announced the new scheme of monthly deductions for borrowers with salaries of RM2,000 and above starting Jan 1.

The deductions will range from 2% to 15% of the borrower’s salary. A borrower whose monthly salary is RM2,000 will have to pay RM40 per month while those earning RM8,000 will need to fork out RM1,200.

On Friday, Education Minister Dr Maszlee Malik then announced that the repayment scheme will be suspended for the time being until the ministry receives “collective inputs and feedback from all stakeholders”.

Social media users also suggested that the ministry review its enforcement against loan defaulters.

“The changes on handling the defaulters may be needed to encourage them to pay,” said Qamarul Arifin.

Felizia Zainal Yup said it would not be fair for those who are earning thousands of ringgit but are not servicing their PTPTN loan.

“Leave the people who earn less than RM4000 alone,” she said, adding that it is not easy to earn RM4,000 per month.