KUALA LUMPUR, Nov 5 – A total 558,475 borrowers of the National Higher Education Fund Corporation (PTPTN) loans who fail to make repayments will be listed in the Central Credit Reference Information System (CCRIS) with the cooperation of Bank Negara, from Jan 1, 2015. PTPTN chairman Datuk Shamsul Anuar Nasarah said for a start, the listing would involve 173,985 hardcore errant borrowers, namely, those who had never made repayment more than three years after payment should have been made.
“The listing will be made in stages. At the initial stage, the details of 173,985 debtors with loans of RM1.23 billion will be listed with CCRIS. “The subsequent stage will involve the listing of details of the rest of the errant borrowers,” he told a news conference, here, today. Also present were PTPTN chief executive officer Agos Cholan and its chief operating officer Wan Ahmad Wan Yusoff.
CCRIS is a Bank Negara data base system keeping credit loan information reported by financial institutions. Through this approach, errant PTPTN debtors will be affected just like the borrowers with other financial institutions, especially involving, for example, approval for loan applications, credit cards and hire purchase.
PTPTN had announced the implementation of the CCRIS system for hardcore errant borrowers in August last year but it was postponed after appeals. Shamsul Anuar said PTPTN now had to implement the listing because numerous steps taken prior to this including preventing errant borrowers from going abroad had failed.
As a result, PTPTN stood to face the problems of lack of funds for loan applicants and repayments to financial institutions, and reduction in the number of students who could benefit from the facility, he said. Since it was set up in 1997 until Sept 30 this year, PTPTN had approved education loans amounting to RM48.36 billion to 2.1 million applicants.