If you’ve ever gone to college or university to further your studies, chances are you’ve probably borrowed a sum of money from The National Higher Education Fund Corporation (PTPTN) as a form of financial aid.
Sadly, not every Malaysian who benefitted from the loan had the decency to pay back what they owed, leading to a figure that’s ballooning with each passing year.
430,000 M’sians didn’t repay PTPTN loans
According to Higher Education Minister Datuk Seri Zambry Abd Kadir, he revealed that 430,000 borrowers had failed to repay their PTPTN loans, resulting to a staggering RM6 billion in arrears, reported NST.
He added that due to such irresponsible behaviour, it had placed PTPTN’s financial position in jeopardy, adding that some of the defaulters didn’t bother to start repayments years after they graduated from university.
This is a category that hasn’t cared from the first day they left (university), they haven’t informed us of their situation, where they work, or how they intend to (make repayments).
“There should be discussions. They simply don’t care about paying back,” he said during a PTPTN Loan Advance (WPP) presentation ceremony at a hotel in Lumut yesterday (Sept 21).
For those unaware, failing to repay your PTPTN loan can lead to you being hauled to court, barred from overseas travel, unable to renew/apply for a passport, and having your credit score ruined.
Legal action to be taken
Zambry said that in light of the mounting amount of unpaid PTPTN loans, in-depth discussions at the cabinet level have commenced, including taking legal action against the 430,000 defaulters.
He added that timeframe of the cases and the form of action to be taken will be announced by PTPTN chairperson Datuk Seri Norliza Abdul Rahim soon.
However, Zambry reiterated that due consideration will be taken as well.
“We understand the (economic) situation, but I urge them to come forward (to PTPTN) and explain their circumstances.
“They must also have a moral responsibility, because once they repay, the money will be used to help the next generation,” he explained.
This isn’t the first time PTPTN has called out borrowers for absconding, where they urged those acquainted with such individuals to publicly tag them on social media:
