i-Sinar money helps pawnshop customers reclaim their items

 

After making i-Sinar withdrawals many are redeeming their pawned items. (Bernama pic)

PETALING JAYA: Money in hand thanks to i-Sinar withdrawals from the Employees Provident Fund, more people have been returning to pawnships to redeem items they had previously pawned off.

Malaysia Pawnbrokers Association president Tan Ho Keng said there was up to a 30% increase in items being redeemed, adding that most came flocking in after receiving their i-Sinar withdrawals.

“The number of customers pawning off items has dropped because many have money now. They’ve withdrawn money from their EPF account, so they’re coming to redeem their items.

“The number of customers coming to redeem their items has gone up by 20% to 30% after the EPF withdrawals were allowed,” he told FMT.

However, he said the implementation of the current movement control order meant that the income of pawnshops has continued to dwindle, by even as much as 60% compared to previously, due to a drop in customers coming to pawn off items.

“In fact, some (pawnshop) premises are closed, especially those in small towns. The housing and local government ministry might know how many exactly have closed,” he said.

He said the lack of customers was due to the restrictions on movement, especially the ban on inter-district travel, with roadblocks set up by the police hindering potential clients from making the trip.

He hoped that Putrajaya would help the industry tide over the times by postponing the issuance of new pawnbroker licenses until their situation recovers.

“We hope that, if possible, the authorities would also ease the movement of those who want to come to our premises, provided they have proper reasons,” he said, adding that pawnshops are allowed to operate, in compliance with strict standard operating procedures.

EPF had announced that i-Sinar was an extension of the i-Lestari withdrawal facility, allowing members affected by the pandemic to make withdrawals of up to RM10,000 from their Account 1.

Applications for i-Sinar have been open since December, with the amount credited into the members’ bank accounts from January onwards. - FMT