Thursday, April 30, 2020

MTUC sec-gen blasts 'inhumane' Bank Negara hire purchase move


Malaysian Trade Union Congress (MTUC) secretary-general J Solomon has blasted Bank Negara following its announcement on the procedural change for the six-month moratorium for hire purchase (HP) and fixed-rate Islamic financing yesterday.
In FAQs issued today, the central bank denied it had reversed its decision on the six-months payment deferment for both loans.
"The payment deferment is still automatic for HP and fixed-rate Islamic financing," said BNM.
It said the latest change in procedure, which requires borrowers to "complete the documentation to give legal effect on the moratorium", is unavoidable.
Solomon (above) has interpreted the change as Bank Negara opening the door for banks to penalise borrowers who opt to settle deferred loan payments post-October.
"MTUC strongly urges Bank Negara to rescind the approval given to banks to levy interest on hire purchase customers who choose to settle the six-month moratorium on their loans after October."
He claimed that the approval goes against the government’s proclamations that it would do everything possible to lighten the financial burden of workers and the public who are suffering from the economic fallout of the Covid-19 pandemic.
"Bank Negara and the banks add insult to injury by stating that borrowers would not pay any interest if the deferred loan payments are settled in October, at the end of the moratorium period.
"How many people in the present day would have the means to do so, given the economic fallout and job retrenchments along with pay cuts that are taking place across the country?" he asked.
Solomon claimed it was an inhumane move by Bank Negara and the banks to further squeeze consumers in every way possible, without any regard for the welfare of the people.
Bank Negara's clarification did not make any mention of possible additional fees for deferring these two types of repayments.
An article by personal finance website Ringgitplus did, however, speculate that requiring borrowers to sign additional documentation opens the door for banks to charge additional interest.
Solomon urged Prime Minister Muhyiddin Yassin to summon the central bank governor and demand justification for giving this "grossly inappropriate approval for banks to commit nothing short of another daylight robbery on borrowers already at their wits' end."
He pointed out that as recently as March, Bank Negara had stated that Malaysia's banking system has sufficient liquidity to ease financial strains and support intermediation activities to contain the impact of the Covid-19 pandemic.
The move by Bank Negara also brought sharp criticism from former de facto law minister Azalina Othman Said who took a jab at Finance Minister Tengku Zafrul Tengku Abdul Aziz on Twitter saying: "This is (what happens) when the finance minister is not a people's representative but a representative of the bank?" - Mkini


  1. I am really happy that i have been cured from (HERPES SIMPLEX VIRUS) with the herbal medicine of Dr Aire , i have been suffering from this disease for the past 3 years and 4 mouth without solution until i came across the email of this doctor who have cure so many people with his herbal medicine, i also choose to give him a chance to help me and my husband, he told me what to do and i kindly did it, and he gave us his herbal medicine and direct me on how to use it, i also follow his instructions for use and he ask us to go for a check up after 1 week and 5days which i did, to my greatest surprise our result came out as negative, we are really happy that there is someone like this doctor who is ready to help anytime any day. To all the readers and viewers that is doubting this testimony stop doubting it and contact this doctor if you really have one and see if he will not actually help you. i am not a stupid woman that i will come out to the public and start saying what someone have not done for me and i know that there are some people out there who are really suffering and hurting their family just because of these diseases so you can to mail him on or WHATSAPP +2347036740271 he also told me that he has cure for these diseases listed below .
    Thank you for your time  

  2. I Want To Appreciate Dr.OYAGU for hs great deeds, I Was Diagnosed With type 2 Herpes Virus Last year,And Was Looking For Solution To Be Cured Luckily I Saw Testimonies On How Dr.OYAGU Cure Herpes Virus I Decided To Contact Dr.OYAGU I Contacted Him He Prepared A Herbal Medicine Portion And Sent It To Me,I Started The Herbal Medicine For My Health.He Gave Me Step By Step Instructions On How To Apply It, When I Applied It As Instructed, I Was Cured Of This Deadly Herpes Within 2 weeks, I Am Now Herpes Negative.My Brother And Sister I No That There Are So Many People That Have There Same Herpes Virus Please contact Dr OYAGU To Help You Too,And Help Me To Thank Dr.OYAGU For Cure Me, I’m Cured By Dr. OYAGU Herbal Medicine,His Contact Or Cell Whatsapp Number +2348101755322 thank you


Note: Only a member of this blog may post a comment.