KUALA LUMPUR (October 14): Banks worked with Agensi Kaunseling dan Pengurusan Kredit (AKPK) to deliver a new co-created program called Financial Management and Resilience Program (Program Pengurusan & Ketahanan Kewangan, URUS) to individual clients, according to a statement Association of Banks Malaysia (ABM), Association of Islamic Banking and Financial Institutions Malaysia (AIBIM), Association of Development Finance Institutions Malaysia (ADFIM) and AKPK.
AKPK is an agency that offers comprehensive financial management solutions for households, covering debt management, financial management education and financial advice.
âThe support provided by URUS will allow private customers to breathe a little bit to regain their financial equilibrium. The program will see banks set aside around RM 1 billion to finance the cost of reducing interest / profit costs, including the interest / profit exemption for these vulnerable B50 customers, âthe statement noted on Thursday.
He added that the scheme is open to individual clients, upon request, who are under an existing repayment assistance program (e.g. Targeted Repayment Assistance, PEMERKASA Plus, PEMULIH, bank rescheduling and restructuring. , etc.) by September 30, 2021 and meet the following criteria:
- belong to income segment B50. that is, clients with gross household income of RM 5,880 or less as defined by the Department of Statistics Malaysia (DOSM). Proof of household income will be required for clients who are not registered beneficiaries of Bantuan Sara Hidup (BSH) or Bantuan Prihatin Rakyat (BPR).
- have lived either:
- job loss, or
- income reduction of at least 50%.
- whose loan / funding is still outstanding (no arrears exceeding 90 days) on the date of their request.
The statement says that under URUS, AKPK will provide the client with a personalized financial plan that is developed holistically, taking into account the client’s financial situation and their ability to afford the repayment of all of the obligations of the client. client financing.
The financial plan will include the following options:
- a waiver of interest / profits for a period of three months, starting the month following the client’s integration into the program, or
- a three month interest / profit waiver with reduced payments for a period of up to 24 months in total. During this period, clients with unsecured personal loans / finance and credit cards may also benefit from reduced interest rates / profits to help ease their financial burden.
Individual customers who meet the criteria can apply for the URUS through any of their banks from November 15, 2021 until January 31, 2022, according to the statement, which also says banks will notify customers of the application process more. close to the date.
Banks and the AKPK are committed to providing a smooth and convenient application process for customers, they assured.
In a separate statement on Thursday, Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz said URUS will help borrowers globally, ensuring those in need will receive support from the government, which is in keeping with the spirit. by Keluarga Malaysia.
URUS will complete other government initiatives to help those most affected, related to the reopening of the economy, national recovery and measures taken to reduce long-term effects on the economy.
Borrowers who are not eligible for URUS assistance but still need assistance repaying their loans can contact their respective banks to discuss the best loan repayment options for their situation. financial, noted the Minister.
In a Bernama Prime Minister Datuk Seri Ismail Sabri Yaakob said on Wednesday that measures under this new program would include interest rate waivers of up to three months, smaller payments up to 24 months and rates of lower interest.
“During this period, customers with unsecured loans and credit card holders may also benefit from a lower interest rate, in order to ease their financial burden,” Ismail Sabri said in a statement.
Last Friday (October 8), theedgemarkets.com reported that the banks had submitted a counter-proposal to the government’s interest relief plan, sources said.
Bankers did not disclose details of the counter-proposal, which followed Tengku Zafrul’s announcement on September 14 that his ministry had asked banks to work immediately on exempting beneficiaries from the repayment moratorium. loans in category B50 interest payments from October to December 2021..
However, an analyst from a foreign research house noted that banks would like to grant interest waivers to borrowers who genuinely need help, as opposed to opportunistic borrowers.
The analyst also said that the proposed waiver could be granted to borrowers who have already signed up for a system proving they need it, such as the AKPK.
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