Relief for borrowers with discounts for early settlement


PETALING JAYA: Malaysia’s banks have announced goodwill discounts to borrowers who choose to settle their existing fixed-rate hire-purchase loans early, following Dewan Negara’s approval of the Hire-Purchase (Amendment) (HPA) Bill.

In a joint statement, the Association of Banks in Malaysia (ABM), the Association of Islamic Banking and Financial Institutions Malaysia (AIBIM), and the Association of Development Finance Institutions of Malaysia (ADFIM) said the discounts would be offered to borrowers at the point of early settlement for all existing fixed-rate hire-purchase agreements.

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