Loan assistance for flood victims
The Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz said RM100 million is allocated for flood relief programme to ease the burden of flood victims to buy equipment and home furnishings destroyed during recent disasters.
“The moratorium for the first six months on the payment of monthly instalments is open to flood victims nationwide,” he said in a statement on Sunday (Dec 26). This initiative through BSN was first announced by the Prime Minister Datuk Seri Ismail Sabri Yaakob on Dec 22, 2021, as an initiative to ease the burden of flood victims.
The Prime Minister also announced loan repayment assistance for flood victims for housing and property loans, vehicle loans, credit cards, as well as personal loans for up to six months. Among the facilities include deferment or reduction of instalment repayment.
The assistance can be obtained by individuals, SMEs, corporates affected by the flood.
Some of the participated banks providing loan assistance are as follows:-
- Ambank: https://www.ambank.com.my/eng/flood-relief
- CIMB: https://www.cimb.com.my/en/personal/help-support/cimb-flood-relief-assistance-plan.html
- Public bank: https://www.pbebank.com/Personal-Banking/Banking/Loan/Flood-Defer-Repayment-Payment-Relief/Flood-affected-customers-could-be-granted-up-to-6.aspx
- Maybank: https://www.maybank2u.com.my/maybank2u/malaysia/en/personal/announcements/2021/december/flood-relief-assistance.page
- Agro Bank: https://www.agrobank.com.my/news/agrobank-offers-assistance-to-flood-victims/
- UOB: https://www.uob.com.my/default/flood-relief-assistance/index.page
- Hong Leong bank: https://www.hlisb.com.my/en/personal-i/news-and-updates/flood-customer-relief-assistance.html
There are various loan moratorium programmes being announced by the Bank Negara Malaysia and various banks. The programmes are aimed to help the affected individuals and companies. With the moratorium, the affected parties can choose to delay the loan installment without having effect on the CCRIS and CTOS report. Also, there will not be any late payment penalty imposed if no repayment during the moratorium period. However, interest remains chargeable on the outstanding loan amount.
If you have sufficient cash to pay the related expenses and existing loans, it will not be beneficial to apply for the loan moratorium. The loan moratorium does not come free, you need to pay the related interest. The assistance is mainly to delay the loan commitment with extra interest.
For those who are struggling on the loan repayment, this should be considered because it will relieve the loan burden. It is suggested to talk to the bank officer to also get all the loans restructured with better interest. This can help future cash flow management. Ignoring the matter will ruin the CCRIS and CTOS report which makes future loan applications become harder to be approved.
************************************************************************
You can receive broadcast message relating to wealth creation to financial freedom through Telegram. Click here to subscribe to the telegram for the weekly newsletter and get updates on regular free classes on wealth creation topic.
