THE National Higher Education Fund (PTPTN) loans must still be repaid but borrowers earning less than RM4,000 a month will be granted a postponement, said the agency’s new chairman, Wan Saiful Wan Jan.

“I would like to urge all PTPTN loan holders to have the spirit of repaying their loans and avoid delaying it,” he told reporters at a press conference at PTPTN building in Kuala Lumpur today.

Wan Saiful said he wanted to correct the general misconception that PTPTN borrowers did not need to repay their loans after Pakatan Harapan came into power in the 14th general election.

“The expectation that loans need not be repaid after our victory on May 9 should be corrected. There is due process.”

Wan Saiful said those earning below RM4,000 could apply to postpone or delay their repayments by updating their salary details and providing supporting documents.

“Loan holders are reminded to update their earning transparently, which can be supported by documents when asked.

“An audit will be done by PTPTN. It is against the law, if they provide false information,” he said, adding that the update can be done as of today until July 25.

The agency will also not remove the 1% administrative charge imposed on borrowers, saying that the amount charged was reasonable.

“It is only 1%. If we have to get rid of it, I think we will become the most generous ah long (loan sharks) in the country.”

Last year, Malaysian graduates urged the agency to remove the administrative charge, which many felt functioned more like a usury.

In its manifesto, PH pledged to fulfil 10 promises within 100 days, one of which is to postpone repayments of PTPTN for borrowers earning less than RM4,000 and also to remove the practice of barring defaulters from travelling abroad.

PTPTN has since removed 429,945 names from the black list. – July 16, 2018.