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Will PTPTN loan affect your loan approval?

Will PTPTN loan affect your loan approval?


The PTPTN (Perbadanan Tabung Pendidikan Tinggi Nasional) loan is a government education loan scheme available for Malaysians intending to pursue their education in universities and higher learning centres. The PTPTN is not a form of scholarship but a loan with an incredibly low-interest rate.

Unfortunately, a large majority of the graduates tend to defer repayments indefinitely and this has caused problems. The agency has tried numerous ways to get the money back.

I have seen a borrower who has never paid at all since he graduated. His salary is more than RM10,000 per month. What is few hundred Ringgit compared to that?

The latest step taken by PTPTN is to list the borrowers in Central Credit Information System (CCRIS). This will affect their future purchase of a house. When the banks do check the CCRIS and see many months of bad repayment, the banks will reject the loan.

I agree with this move.

Those who have not paid up their study loan, please do not take this lightly.

True case scenario

A developer consulted me on an issue – the developer has a potential buyer. She works in a big multinational company and earns thousands of Ringgit every month. She has no debt according to them, hence there should be no problem in her loan being approved.

The banks were puzzled as her loan was rejected by 2 banks already. I did a credit check on her.

I said to the developer,” Even if you send this loan application to 10 banks, the result will be the same. Her loan will still be rejected”.

It was revealed that this applicant has not paid her PTPTN loan at all for more than 40 times all which was reflected in CCRIS.

This is how severe this is.

According to an officer in the (PTPTN) agency, there are 2 ways that you can use to ensure that the applicant’s other loans are approved.

1. The officer will determine the minimum amount to be paid. After the payment, the borrower will get a letter from the PTPTN agency. You can use it to apply for a loan from certain banks.

2. Pay a minimum 50% of the outstanding amount, the CCRIS will be updated to “o”.

3. Pay the whole loan amount if you can. This will certainly delete your record.


I strongly advise all PTPTN funded students to update their payments. Do not leave it until the last minute before buying a home.


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