• Home
  • About Us
  • Guides

    Savings Calculator to calculate savings goals and basic savings projections

    Planning & Budgeting

    Investment Returns Calculator to calculate investment returns, investment comparisons and investment portfolio simulator

    Saving & Investing

    Guides to tackle financial debts in Malaysia for Free

    Tackling Debt

    Free Guides on Choosing and purchasing a vehicle in Malaysia

    Buying a Vehicle

    Free Guides on Purchasing a Home in Malaysia and avoiding crippling debt

    Buying a Home

    Free Guides On purchasing insurance in Malaysia safely

    Insurance

    Free guides to ensure a comfortable Retirement by planning your retirement

    Retirement

    All Guides Icon

    All Guides

  • Guides
    • Planning & Budgeting
    • Saving & Investing
    • Buying a Home
    • Buying a Vehicle
    • Tackling Debt
    • Insurance
    • Retirement
  • Calculators
  • Blog
  • Take Quiz
    • English
    • Bahasa Malaysia
    Have any questions?
    hello@multiply.org.my
    RegisterLogin
    MultiplyMultiply
    • Home
    • About Us
    • Guides

      Savings Calculator to calculate savings goals and basic savings projections

      Planning & Budgeting

      Investment Returns Calculator to calculate investment returns, investment comparisons and investment portfolio simulator

      Saving & Investing

      Guides to tackle financial debts in Malaysia for Free

      Tackling Debt

      Free Guides on Choosing and purchasing a vehicle in Malaysia

      Buying a Vehicle

      Free Guides on Purchasing a Home in Malaysia and avoiding crippling debt

      Buying a Home

      Free Guides On purchasing insurance in Malaysia safely

      Insurance

      Free guides to ensure a comfortable Retirement by planning your retirement

      Retirement

      All Guides Icon

      All Guides

    • Guides
      • Planning & Budgeting
      • Saving & Investing
      • Buying a Home
      • Buying a Vehicle
      • Tackling Debt
      • Insurance
      • Retirement
    • Calculators
    • Blog
    • Take Quiz

      Blog

      The Loan Moratorium Ends Today! Are You Ready to Repay?

      • Posted by Multiply
      • Categories Blog
      • Date September 30, 2020
      The Loan Moratorium Ends Today! Are You Ready to Repay? 1 - Multiply - Blog

      Just like that, six months have flown by and the loan moratorium which began on 1 April 2020 officially ends today, 30 Sept 2020. If you took the moratorium, you’ll need to start repaying your loans from tomorrow. But are you ready? 

      How will your loans be affected?
      Depending on whether your loans are calculated using flat or reducing balance interest rates, the moratorium will impact your loans differently.
      Most personal loans and hire purchase agreements are based on flat interest rates. Home loans are usually calculated using a reducing balance method.

      The table below compares the effect of the moratorium on both types of loans: 

      Hire Purchase or Personal Loans Home/Mortgage Loans
      • No additional interest charged during moratorium.
      • Your loan will be extended for the same number of months as the moratorium.
      • Your monthly repayments will be the same as before the moratorium.
      • Your interest would still be calculated during the moratorium, so you’ll owe more in interest payments.
      • You can extend your loan repayment period by more than six months to pay the extra interest – The length of your loan extension will depend on what you agree with your bank based on how much your monthly repayment will be.

      BUT reducing your monthly repayments will mean that you need to repay your loan over a longer time. Depending on how your loans are structured, you may have to pay more in interest.

      What can you do if you’re not ready to continue repaying your loan/s?
      If you have only one loan, speak to your bank directly. If you have many loans, speak to Agensi Kaunselling dan Pengurusan Kredit (AKPK). AKPK can counsel you on how to handle your loans, or you could get into one of their debt management programmes.

      Since this is the last day of the moratorium, you need to speak to your lenders TODAY if you can’t continue to repay your loans! They’ll give the following options to help you manage your repayment: 

      1. Reschedule: Rescheduling your loans means extending the duration of your loan or changing your monthly payments without changing the terms and conditions of your loan agreement, such as the type of loan or interest charged.
      2. Restructure: Restructuring is when you need to change the terms and conditions of your loan or the type of loan, for example from a bank overdraft to a term loan.
      3. Debt consolidation: You can take a new loan that pays off all your existing loans. But, you’ll get to just pay off one loan with a single interest rate. Just make sure you can afford the new loan or you’ll be right where you started! 

      Can you get an extension on the moratorium?
      If the above choices don’t suit you, you can apply to extend the moratorium until 31 December 2020, but you’ll have to meet certain requirements:

      1. You’ve lost your source of income
        If you’ve lost your source of income because you lost your job or had to shut down your business during the MCO and have still not gotten any income by today, banks will extend your loan moratorium up to 31 December 2020.
      2. If your income has decreased
        If your income has decreased (either because of a pay cut or your business isn’t doing as well), the banks will help you restructure your loans. When you restructure your loans, your monthly repayments will be reduced by the same rate as your pay cut. For example, if your income has reduced by 30%, your loan repayments will be reduced by 30%.
        You’ll need to prove that your income has been affected by showing the bank your payslips and bank statements for the months before and after the MCO.
      3. If your spouse has lost their source of income
        If your spouse has lost their source of income and you’re finding it difficult to manage your household expenses, you can write a letter to the banks to appeal for an extension. However, this works on a case-by-case basis. You’ll have to prove a significant loss of income for your household. In addition to proving your spouse’s loss of income, you might have to send in your payslips and your bank statements too.

      Whatever you do, DON’T do nothing!
      If you simply stop repaying your loans without agreeing anything with your lenders, this is what could happen: 

      • You’ll end up owing a lot in interest: Once you start missing payments, there will be interest and penalties charged that will grow to become a lot of money!
      • Your credit score will be affected: When you miss payments, you’ll get a bad credit score which would make it difficult to get loans and even apply for services like phone lines in the future.
      • You could lose the assets you borrowed to pay for: If you have a car loan you’re not paying for, the banks/lenders will take away your car if you start missing payments. If you don’t continue paying your home loan, the banks/lenders will auction off your house to pay off your loan (if it’s sold for less than the money you owe, you’ll have to pay the balance). 
      • You may be filed for bankruptcy: If you miss many payments, your lenders can file for your bankruptcy. You’ll eventually lose your assets, your bank accounts will be deactivated, and you won’t be able to get a loan from a bank! This gets really messy, not to mention stressful. 

      Time is running out, but now you know what you can do and what you shouldn’t do if you’re not ready for the loan moratorium to end – just make sure you get in touch with your bank or AKPK before the end of today!

      Share with:


      Admin bar avatar
      Multiply
      The Multiply Admin

      Previous post

      What’s a Good Case for Banks to Extend Your Loan Moratorium?
      September 30, 2020

      Next post

      What You Need to Know About BPN 2.0
      October 2, 2020

      You May like

      where-can-i-get-help-if-i-am-struggling-financially
      Where can I get help if I’m struggling financially?
      13 February, 2023
      CAR_1
      3 Things to think about when buying a car
      24 September, 2021
      Bankruptcy
      Video: How I avoided Bankruptcy
      8 September, 2021

      Search

      Latest Posts

      Ready for Malaysia's Budget 2023? 3 - Multiply - Planning & Budgeting
      Ready for Malaysia’s Budget 2023?
      22Feb2023
      Where can I get help if I'm struggling financially? 5 - Multiply - Blog, Planning & Budgeting, Saving & Investing
      Where can I get help if I’m struggling financially?
      13Feb2023
      Want to grow your savings? 7 - Multiply - Planning & Budgeting
      Want to grow your savings?
      01Dec2022

      GUIDE CATEGORIES

      • Planning & Budgeting
      • Saving & Investing
        • ETFs
        • Unit Trust
        • Stocks
        • Investing Basics
        • Fixed Deposits
        • Savings
      • Tackling Debt
      • Buying a Vehicle
      • Buying a Home
      • Insurance
      • Retirement

      STAGE OF LIFE

      • Student
      • Families
      • Working Adults
      • Retirees

      Latest Guides

      5 Things To Check Before Investing in A Company’s Shares

      5 Things To Check Before Investing in A Company’s Shares

      Free
      What you need to know about ‘Buy Now, Pay Later’ plans

      What you need to know about ‘Buy Now, Pay Later’ plans

      Free
      What Do You Need to Know About E-Wallets?

      What Do You Need to Know About E-Wallets?

      Free

      Don't miss out, join our mailing list

      newsletter-subscribe-multiply

      logo-multiply-learn-investing-for-free

      hello@multiply.org.my

      Information

      • Home
      • Blog
      • About
      • Contact

      Categories

      • Planning & Budgeting
      • Saving & Investing
      • Tackling Debt
      • Buying a Vehicle

      Categories

      • Buying a Home
      • Insurance
      • Retirement
      • All Guides

      Instagram Feed

      Ready to simplify your finances and achieve financ Ready to simplify your finances and achieve financial independence? 🔥💰 Swipe to learn more about the FIRE concept as part of our Multiply Simplifies series. Discover how you can retire early and live the life you want by following these simple steps.#FIRE #retirement #multiplysimplifies #financialfreedom #financialindependence #financemadesimple #financialliteracy #financialeducation #multiplymalaysia #malaysia
      EPF savings will always be enough for my retiremen EPF savings will always be enough for my retirement - do you think this is a fact or a myth? 🤔Check out our reel to find out the answer, and the recommended retirement savings amount you should have! 🏦#mythbusters #mythbusting #mythbustingmonday #retirement #retirementplanning #retirementsavings #retire #epf #kwsp #personalfinance #malaysia #financialliteracy
      Money talk made simple! 🤑 Introducing Multiply Money talk made simple! 🤑 Introducing Multiply Simplifies - your one-stop destination for all things finance! 💰💸 From budgeting to savings, we've got you covered. Today its about EPF, also known as KWSP (Kumpulan Wang Simpanan Pekerja).Follow us for weekly bite-sized explanations that make financial concepts & elements easy to understand. #multiplysimplifies #financemadesimple #moneytalk #financialliteracy #financialeducation #kewangan #financemalaysia #epf #kwsp #personalfinance #multiplymalaysia #malaysia
      Anda rasa simpanan persaraan penting atau tak untu Anda rasa simpanan persaraan penting atau tak untuk suri rumah? 🤔 Tonton reel ini, biar kami jelaskan, dan beritahu pendapat anda di ruangan komen di bawah!👇#mythbustingmonday #multiplymalaysia #celikkewangan #pendidikankewangan #surirumah #wanitaperlutahu #duit #kewangan #wanita #isayang #kwsp

      Multiply by Creador Foundation.

      • Privacy
      • Terms
      • Sitemap

      Facebook Google

      Login with your site account

      one × one =

      Lost your password?

      Not a member yet? Register now

      Register a new account

      sixteen + 1 =

      Are you a member? Login now

      Language :

      • English
      • Bahasa Malaysia

      What's your spending style?

      Managing our spending can be tricky business. So tell us how you spend your money and we'll help you figure out how to make the most of it!

      1. How do you earn money?
      2. How were you managing your finances before COVID-19 hit?
      3. How has COVID-19 affected your spending overall?
      4. How did the movement controls (MCO/CMCO) affect your credit card spending?
      5. If you received Bantuan Prihatin Nasional (BPN) assistance, how did you use it?
      6. If you're taking money from your EPF account during the MCO/CMCO (under i-Lestari), how are you using it?
      7. The loan moratorium was helpful for me because:
      8. The holiday season is just around the corner. What do you have planned for year-end shopping?
      9. Have you planned your budget for 2021?
      10. How are you preparing financially for 2021?
      11. How do you think you'll manage your money in 2021?
      12. What do you think you need most to improve your finances in 2021?
      13. In 2021, my top financial goal is to:
      14. In 2021, my biggest financial worry is:
      15. In 2021, which areas of personal finance would you like to learn more about?
      clock.png

      Time is Up!

      Language :

      • English
      • Bahasa Malaysia

      Take our quizzes!



      What’s your finance personality?

      Latest


      What’s your spending style?

      Language :

      • English
      • Bahasa Malaysia

      Whats Your Finance Personality?

      Find out if you’re a Money Boss, Finance Cadet or a Finance Newbie by taking this quiz!

      1. It's the end of the month, you are thinking...
      2. Say you want to go shopping for fun, do you...
      3. So you crashed your car and it's going to cost RM1,000 to fix, you
      4. Your credit card statement is in and your reaction is
      5. After months of saving (see "sikit -sikit, lama-lama jadi bukit" really is true), you've got cash sitting in the bank. You then
      6. You're buying a new car (yes, imagine away - Toyota, Proton, or BMW). You take
      7. You are thinking of investing. What do you do...
      clock.png

      Time is Up!