Stick to new borrowing guidelines

Bank Negara should not loosen its new car loan guidelines as suggested by the Proton Edar Dealers Association of Malaysia (Pedar).

According to news reports,  Peda claims that  members’ income have been affected because with the new guidelines, only 30%  of the potential car buyers  have managed to secure  hire-purchase loans.

However there are good reasons why the guidelines are needed and must continue to be implemented.

How hire-purchase amendments protect consumers



The Ministry of Domestic Trade, Cooperatives and Consumer Affairs should continue to protect consumers by strictly enforcing the Hire-Purchase Act 1967 (HPA) and the recent amendments which came into effect on 15 June 2011.

Those in the motor business are complaining that their sales are down by 20-30% and they attribute it to the amendments though they also acknowledge that the amendments do protect consumers.

Shutdown co-ops that are agents of moneylenders

bannerCooperatives that are nothing more than agents of moneylenders should be shut down by the Malaysia Cooperatives Societies Commission (MCSC). The MCSC cannot and should not condone such an activity, whether legal or otherwise.
We have received complaints about one such cooperative which has no qualms about using unethical methods to get its members to sign up for loans with a licensed moneylender.