PKR president Anwar Ibrahim has called for a review of the new repayment mechanism for National Higher Education Fund Corporation (PTPTN) loans to ensure it is not unfair or in breach of borrowers’ contracts.

He says the mechanism should be reviewed to make it easier for borrowers to repay their loans.

“I will be raising the concerns of the borrowers to the Education Ministry and the PTPTN chairman urgently,” he told reporters in the Parliament lobby today.

He added he would urge Education Minister Maszlee Malik dan PTPTN chairman Wan Saiful Wan Jan to review the mechanism immediately.

“I will also ask the prime minister to look into the issue, and if he has any views that can be of help, I am sure Wan Saiful dan Maszlee will consider (them).”

PTPTN announced the new mechanism yesterday, which will see mandatory salary deductions of 2%-15% of borrowers’ salaries for those earning RM2,000 and above.

While the repayment amount for those earning RM2,000 is only RM40 a month, the figure spikes for those earning RM8,000 and above, who will have to fork out 15% of their salary each month.

The Port Dickson MP said he had received many complaints about the new payment mechanism from borrowers.

Many social media users have also lashed out at the payment mechanism, and hit out at the government for not keeping to its election promises to write off PTPTN loans.

Meanwhile, three PH assemblymen also urged PTPTN to reconsider its new repayment scheme. 

Edry Faizal Eddy Yusof (Dusun Tua), Young Syefura Othman (Ketari) and Lim Yi Wei (Kampung Tunku) said the new policy had received negative reactions from borrowers and youngsters.

“This scheme also directly affects the current repayment scheme and those who has been paying their loans till now,” they said in a statement.

 They said the new scheme did not take into account the borrowers’ other commitments such as housing and car loans, and their children’s education.

“Remember that most of these borrowers live in the city and are the M40 crowd. They do not enjoy any form of subsidy from the government, and are affected by the high cost of living. 

“The new repayment mechanism will further reduce their disposable income and impact severely their financial situation.”

They said that while they were aware of the nation’s financial woes, as well as the high rate of PTPTN defaulters, these were no justifications to force the borrowers to pay more. 

“This is clearly in contradiction to PH’s manifesto. Even if we are unable to keep our promise, we must at least stick to the spirit of our promise. – December 6, 2018.