THE government estimates that there are 410,500 borrowers who are not meeting their loan obligations with the National Higher Education Fund Corporation (PTPTN), reports the New Straits Times today.

Higher Education Minister Idris Jusoh said in a written reply to Parliament yesterday that the borrowers owed at total of RM6.84 billion.

 “Out of the RM6.84 billion, RM2.79 billion involved borrowers who have yet to pay a single sen, while RM4.05 billion involved those who are paying, but not according to the payment shcedule.

“Out of the 410,500 borrowers who have yet to make payments, 355,272 borrowers involving RM2.44 billion are Bumiputeras, while 55,228 borrowers involving RM0.35 billion are non-Bumiputeras,” he said in response to a question by DAP’s Bakri MP  Er Teck Hwa, who had asked the minister to state the number of students who paid in full, partially or defaulted on their PTPTN loans.

Idris said since PTPTN was founded, 1,900,743 borrowers have graduated from universities until September 30.

He said the government should have collected RM18.97 billion in loan repayments, but only RM12.13 billion was collected until September 30.

“Out of the paid amount of RM12.13 billion, RM6.55 billion was collected from 970,330 Bumiputera borrowers, while RM5.58 billion was collected from 519,913 non-Bumiputera borrowers.”

Last month, Prime Minister Najib Razak announced in the 2018 Budget that a 20% discount would be given to those who settled their loans by December next year.

A 10% discount would be given to those who settled half of what they owed, as well as for those who paid their loans through salary deductions or scheduled direct debit. – November 14, 2017