"My Loan Payment Was Reduced By 20%" — Malaysians Share Tips On Paying Off PTPTN Loans
PTPTN borrowers are entitled to discount incentives for loan repayment until 31 May.
Published for PTPTN, 25 May 2023, 05:59 PM
Whenever the topic of student loans is brought up, many of us tend to brush it aside and avoid thinking about it altogether
Unfortunately, doing so results in that niggling sense of anxiety lingering at the back of our minds. While the obvious solution is to pay it off to prevent further worry, we are often faced with challenges that eventually cause us to "deal with it later".
If you need some motivation to take that first step in paying back your student loans, we spoke to a few Malaysians who have experience in the matter!
They also managed to leverage on the ongoing discounts provided by PTPTN to help them pay back their loans.
Here's what they had to say:
45-year-old Chen Ten Mun @ Chen Sook Sen is an analyst who immediately started paying her loans in her first year of working
"My PTPTN loan was always the last debt that I plan to get around to and pay back, and I considered it part of the 'less important things' in my life. But it still played on my mind.
"When I heard about the Central Credit Reference Information System (CCRIS) and so on, I began to take the PTPTN loan seriously. To reduce worry, I decided to view this PTPTN loan to be as important as a car or house loan," she shared.
Ten Mun's tip for those who are just starting to pay back their PTPTN loan is to set up automatic payments so that it will be taken care of with no delays.
When Ten Mun found out about the discounts offered through PTPTN's incentives for borrowers, she chose the 20% discount by settling the full amount at once
"[The incentive is beneficial] because it can reduce the expenses of all borrowers. I can save up to 20% of my loan amount, and the amount saved can be used for investments or other savings.
"As a responsible borrower, we must make our repayments based on our financial plan. Take this opportunity before it ends, and reduce your burden not only financially, but also mentally and emotionally," she said.
As for school teacher Mohd Asyraf Bin Zuraimi, he states that making small payments on a monthly basis is a good start
"For new borrowers, try to settle your loans and do not dilly-dally. It doesn't matter if you only pay a small amount, considering the high cost of living. When your salary increases, you can then increase your monthly payments from time to time.
"Finally, if you have extra savings, use that to pay off your debts. I believe that there will be more incentives and discounts offered by PTPTN and the government in the future," he said.
Asyraf believes the current incentives by PTPTN are the highest discounts ever offered. By choosing the 20% incentive, like Ten Mun did, the 34-year-old received a discount on his remaining debt, thus managing to settle the loan completely.
His advice for other borrowers is to make use of the incentives provided, according to their own capabilities
"In fact, if you pay half of the existing loan, you will be given a relatively high discount. Every payment we make will provide new opportunities to other students who want to continue their studies, indirectly helping those in need.
"Use this opportunity to pay off your PTPTN loan since the discount given right now is the highest. It can also reduce your monthly commitment and financial burden every month. As Muslim borrowers, we are required to pay off our debts as best we can. Once the debt is settled, Insha Allah, our lives will become easier too," he said.
Last but not least, 27-year-old Nurul Nabihah binti Zulkefli advises first-time borrowers that consistency is key when paying back PTPTN loans
"You must be consistent in paying [your loans], even better when it's done through debit or salary deduction. It makes the whole process a whole lot easier," she said.
Nabihah acknowledges that with the current economic situation, not all borrowers are capable of settling their loans.
"However, the debt must still be paid and we must take it seriously. We should prioritise needs, settle debts, and reduce wants. That is the principle I hold in life," she added.
Nabihah has been paying her PTPTN loan since 2020, but finds the 15% discount incentive via salary deduction/Direct Debit has helped her greatly with reduced monthly payments
She advises all PTPTN borrowers to be wise and make use of the incentives before it is too late.
"These opportunities do not always come twice. As borrowers, it is our responsibility to settle our debts," she said.
Since its establishment, PTPTN's mission has always been to help Malaysians pursue a higher education by providing financial loans
Plus, to ease the burden of loan repayment, the government body often implements discount incentives for PTPTN borrowers to take advantage of. This year, under Budget 2023, the government agreed to implement two initiatives that grant discounts for PTPTN loan repayment.
For the first initiative, PTPTN borrowers will enjoy the following discounts until 31 May:
- 20% discount on the remaining debt for full settlement of the loan
- 15% discount for at least 50% settlement of the total loan balance
- 15% discount for repayment through salary deduction or Direct Debit according to the repayment schedule
- 5% discount for loan repayment through the myPTPTN application
This incentive is applicable for all PTPTN borrowers, with the exception of those who have participated in the Debt Management Programme (DMP) under the Credit Counseling and Management Agency (AKPK) for PTPTN loans.
As for the second initiative, those with a monthly income of RM1,800 and below are eligible to defer repayment for up to six months
Applications for the payment deferment can be done at PTPTN's official website.
Like Ten Mun, Asyraf, and Nabihah, you too can start repaying your PTPTN loans with these limited-time discounts.
Visit PTPTN's website to find out more!
