KUALA LUMPUR: MBSB Bank has announced that it will not be charging its customers for any costs related to the automatic debt moratorium, due to the adverse impacts of the COVID-19 pandemic and the Movement Control Order (MCO) on Malaysian consumers.
Its president and chief executive officer, Datuk Seri Ahmad Zaini Othman said the bank understands that Malaysians currently have many concerns with regards to health, declining incomes and other lingering uncertainties.
He said following the six-month debt moratorium, MBSB Bank shall correspondingly extend the financing tenure by another six months.
“Except for the auto financing accounts, customers do not need to provide consent for the extension as the selling price for the commodity used under the Islamic concept of Tawarruq does not change,” he said in a statement today.
Ahmad Zaini also said that small and medium-sized enterprise (SME) customers who are currently enjoying the Industrial Hire Purchase based on fixed rate financing shall also benefit from this move.
“Customers can also continue with the same monthly payments post-moratorium. Only those who wish to opt-out of the moratorium need to contact MBSB Bank by the end of July,“ he said.
He added that MBSB Bank has the capital strength to fully absorb the modification loss.
Meanwhile, MBSB Bank has also enhanced its SME offerings through the new Cashline-i Special Programme, aimed at helping SMEs to sustain their businesses, with an allocated fund size of RM1 billion. -Bernama
