Muhyiddin: Six-month moratorium on bank loans, restructuring of credit card payments

by Theleaders-Online | March 25, 2020 5:13 am

SUNGAI BULOH: The government decided to postpone repayment of bank loan for six months and retransmission credit card balance as well as cooperate loans with the amount of benefits up to RM 100 billion.

In a statement today, Prime Minister Tan Sri Muhyiddin Yassin said, he is aware of the impact of Covid-19 outbreak.

“It is not just about anxiety over health and well-being, but the Movement Control Order is also raising people’s concerns financially,” he said.

The public from all sort of occupation such as entrepreneurs, farmers, fishermen and also daily workers are wondering about their current economic position.

“One of the main reasons is the repayment of bank loans, in terms of private borrowers as well as Small and Medium Sized Enterprises, their business affected by the outbreak,” said Muhyiddin in a statement.

Muhyiddin announced some steps today after holding a discussion session with The Finance Ministry (MOF) and also Bank Negara Malaysia (BNM).

The steps are as below:

From April 1, local banks will offer a moratorium or deferment of refund up to six months to individual borrowers and SMEs in this difficult time.
Credit card holders who are facing financial constraints can choose to convert their credit card balance to a term loan. This credit card refund can be delayed by borrower from April 1 till December 31 this year.
The corporate sector can consult with their respective banks to rearrange the refunds appropriate to their business. This is important to enable the company to continue, to be able to maintain jobs quickly and continue their respective business activities.

All the steps for deferment of loan repayment, credit card balance arrangement and business loan restructuring involving at least RM100 billion.

“I would like to thank the Finance Ministry, BNM and also Malaysia Banking Industry as this is a very significant amount, and I am very grateful for their attention,” he said.

“As I announced the day after chairing the National Economic Action Council meeting, the government is trying various ways to reduce the burden of the people,” Muhyiddin added.

Another economic stimulus plan will be announced soon which will be more comprehensive and meaningful for the people as well as the country’s economy.

“I have also asked the Finance Ministry and BNM to make an announcement on these steps so that the people can fully understand the benefits offered,” Muhyiddin said.

By S Jeevita

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