COVID-19: PTPTN borrowers can apply to continue with salary deduction for loan repayment

KUALA LUMPUR: Borrowers of the National Higher Education Fund Corporation (PTPTN) wishing to continue with the salary deduction or direct debit to repay their loan can submit their application, which is open from March 23 to Aug 15, through the corporation’s official portal.

PTPTN, in the frequently asked questions (FAQ) on COVID-19, however, said existing borrowers who make repayment through salary deduction or direct debit and wish to postpone the repayment need not have to apply for cancellation of the deduction.

“The salary deduction/ direct debit will be stopped for April until September 2020, except for borrowers who agree to continue with the deduction by applying at, the latest by Aug 15, 2020,” it said.

The government had agreed to extend the period from three months to six months for deferment of loan repayments by PTPTN borrowers, involving a collection of RM750 million.

PTPTN borrowers are also not required to submit new application for salary deduction or direct debit after the end of the postponement period as the deduction will resume after that.