BANKS have been warned against imposing strict guidelines to deter prospective home buyers from obtaining loans. 

Finance Minister Lim Guan Eng today said his ministry will take action against these banks if they are found to be imposing unnecessary restrictions.

“We want banks to start giving out loans. 

“The economy should not be affected by strict guidelines. This has been repeated many times by the prime minister, not just for house buyers, but for businesses in general.

“I want to remind the banks of their responsibilities, do not hinder efforts of the government to ensure house buyers are able to get loans,” he said at the Malaysia Property Expo 2019 in Kuala Lumpur.

He added that house buyers who are denied loans from local banks can lodge complaints to his ministry for assistance. 

He said his ministry will refer the complaints to Bank Negara and the bank involved will need to provide explanation over the rejection of loan applications.

“If you have difficulties getting loans, refer to the Finance Ministry. We will then check with Bank Negara and the banks. 

“We want banks to encourage lending.

“If the application rejections are not justified, not only will we ask the bank to approve the loans, we may consider actions against them.” 

He has encouraged more house buyers to take advantage of the offers available through the ongoing Home Ownership Campaign – an initiative by the Finance Ministry and the Real Estate and Housing Developers’ Association. – April 26, 2019