QUESTION NO. 7:
Dr. S. Ramakrishnan ask the MINISTER OF HIGHER EDUCATION to state does the government will provide one to two years of work to the borrowers of National Higher Education Fund Corporation (PTPTN) to pay the loan or extend the repayment period so that the amount due each month can be reduced since 37,453 of borrowers were blacklisted until March this year.
Y.B. DR. HOU KOK CHUNG
DEPUTY MINISTER OF HIGHER EDUCATION
Students are required to make loan payments to PTPTN, six months after students graduate. Ujrah or wage rate of one percent (1%) was also calculated from the same period.
However, the governmentis also concerned to student difficulties. PTPTN also consider some of the flexibility of repayment to ease the burden of student. Among the steps taken were:
- Defer the repayment for students who have graduated but are still unemployed (no income). Maximum duration is 24 months from the start to pay back the loan;
- Reschedule the repayment period and amount of loans; and
- Introducing progressive rates of installment payments where monthly installments for the first year was lower by increasing the rate of 30% in the second to fifth years. Sixth year until the payment has expired, the monthly average was determined. With the introduction of this method, for example, the monthly installments commencing the first year only at RM54.15 for a total loan of RM15, 000.
At this time, PTPTN do not intend to allow borrowers to defer repayment of one to two years after the work. The time given is suitable for the interests of both parties. Blacklist action on the borrower is a last resort of PTPTN after a number of methods implemented unsuccessful. There are always a room for discussion between PTPTN and the borrowers and the borrowers should contact PTPTN to solve all the problems.