PUTRAJAYA: The names of about 433,000 National Higher Education Fund Corporation (PTPTN) loan defaulters are being removed from the no-fly list in stages.
Education Minister Dr Maszlee Malik said PTPTN had blacklisted about one million loan defaulters and some 655,000 had settled their loans, with collections totalling about RM1.9 billion.
“The remaining 433,000 are being cleared in stages from May 24 to June 15. “We promised to get all the names off the Immigration Department’s blacklist,” he told a press conference today.
“We expect to settle this before mid-June.”
Maszlee said the ministry needed time to come up with the best mechanism for PTPTN borrowers who earned less than RM4,000 monthly to service their loans.
He said a group would be formed to study how best to fulfil pledges made by Pakatan Harapan (PH) in its election manifesto within 100 days, without jeopardising the people’s interests.
“We hope PTPTN borrowers will be patient and continue to service their loans as it is their moral obligation to do so,” he added.
“On payment deferments for those earning less than RM4,000, give us time to look into this in greater detail.”
Maszlee said PH’s pledges were based on the budget report tabled by the Barisan Nasional government under the leadership of former prime minister Datuk Seri Najib Razak, but the previous administration had not been truthful about the national debt.
Maszlee said the government had to manage the country’s finances prudently for the sake of the people, without compromising on its pledges.
On PTPTN borrowers whose names were in the Central Credit Reference Information System (CCRIS), he said: “The names of those who have completed their studies for more than 12 months are added to the CCRIS.
“They should come to see us to restructure their loan payments if they are having problems. “For instance, if they cannot pay RM100 per month, we can discuss lowering the amount.”
Maszlee added that those who made a full settlement of their loans would continue to be eligible for a 20 per cent discount. Those who paid off at least half of their outstanding loan amounts, he said, and those who were paying off their loans through salary deductions or direct debit based on a fixed payment schedule would be given a 10 per cent discount.