Now that many of you have been accepted into Diploma programmes, you may apply to PTPTN. But some of you may not even be aware of this. To those who are aware, there may be some grey areas that are filled with doubt. So let us explain to you how PTPTN works, right from the requirements all the way to paying them back, and everything in between.

What is PTPTN Loan?

Image via outofthesandbox.com

PTPTN Guide 2017 (Updated)

The PTPTN Education Loan Scheme was established with the purpose of providing educational loans to students studying in Higher Education Institutions locally. These loans will enable students to finance a full or partial tuition fee and living cost during the study period, thus, opening up more opportunities for all students to pursue higher education.

What are the Minimum Requirements?

Image via SELECCIÓN DE LA HUERTA DIGITAL on Flipboard.com

Many already know PTPTN's requirements by now, but for those of you who don't, here is a gentle reminder:

• You are a Malaysian citizen
• You are aged 45 years and below
• You must already have an offer to study at an institution of higher learning (both public and private institutions - colleges, universities and polytechnics are accepted)
• The course that you are pursuing is approved and accredited by MQA (Check if your course is accredited by MQA)
• The remaining period of your study must not be less than one year
• You have no other sponsors
• You must have an SSPN-i savings account before sending in your application

What courses do they cover?

Image via nytimes.com

PTPTN covers many courses, which we have listed down just below. However, if you do have to ask, PTPTN does not cover private pre-university courses such as A-Levels, AUSMAT/SACE, Matriculation and the like. Moving onwards to the good bit (please note the type of institution they have listed down):

• Diploma (Full-time): IPTA, Politeknik dan IPTS
• Diploma (Part-time): IPTA, Politeknik dan IPTS*
• Diploma (PJJ): IPTA
• Advanced Diploma: IPTA dan Politeknik
• First Degree (Full-time): IPTA dan IPTS
• First Degree (Part-time): IPTA dan IPTS*
• Masters (Full-time/Part-Time/PJJ): IPTA
• PhD (Full-time/Part-time/PJJ): IPTA
• Professional Courses (Full Time/Part-time/PJJ): IPTA

* Education Loans are prioritised for students in UNITEM, UNITAR, Wawasan Open University and Asia e University.

How much do they sponsor?

Image via pexels.com

PTPTN base their amount given, on which category you fall under, whether it's A, B or C.

• A (Household income is below RM4,000 and BR1M recipient (name is in BR1M database): Maximum amount
• B (Household income is below RM8,000 but above RM4,000): 75% of maximum amount
• C (Household income is above RM8,000): 50% of maximum amount

Most of you may now ask, "I understood all that, but what do you mean by maximum amount?". Well, good question, keen observer. The maximum amount is dependent on what type of course you study and what type of university you study that in. For example, Student A studying Pharmacy at an IPTS would have a different maximum amount compared to Student B studying Education at an IPTA. Here is the list of the maximum amount based on the course and type of university.

Note: If you are still confused, please scroll above to re-check with the category you fall under. Remember, it is based on household income.

What exemptions are there? Will I have to pay the whole amount back?

Image via rvshare.net

For PTPTN,  if you achieve a First Class Honours for your Degree, your loan will be converted into a scholarship. Therefore, you won't have to pay anything back! First Class Honours would usually require a CGPA of at least 3.70. Other than that, however, there aren't any exemptions for performing well in your chosen course. However, this year saw an incentive being injected for those who have to settle their loans.

• Discount of 15% for FULL SETTLEMENT of loan.
• Discount of 10% for at least a 50% payment of the remaining balance in one go.
• Discount of 10% for repayments via salary cuts or Direct Debit following the Jadual Bayaran Balik (JBB) that was fixed.

What about the repayment? How do I do that? When do I have to do that?

Image via tuition.io

As far as PTPTN goes, you will need to start making payments 6 months after your graduate (beginning with month 7). If you did not achieve First Class Honours, then you will need to pay back the full amount with the addition of a flat rate interest of 1% (or ujrah, a syariah-compliant “fee” to help with the administrative and management costs). The time allotted for an individual to complete the repayment depends on the amount borrowed.

• Less than RM10,000: 5 years
• RM10,000-RM22,000: 10 years
• RM22,000-RM50,000: 15 years
• >RM50,000: 20 years

It is indeed necessary, especially when PTPTN has time and again reminded the public that payments should begin from month 7, with or without notice from PTPTN. Evidently, many have failed to note the very important statement, with the news of droves of people being blacklisted coming to light in recent times. If you're facing difficulties, visit one of the PTPTN offices and talk to their employees who may help you in settling. Also, do not forget the offer of discounts for big sum payments, valid till December 31, 2018. To find out in detail about repaying your loans, please click the link below to view the PTPTN Repayment Brochure.

PTPTN Repayment Brochure

How to apply for PTPTN Loan?

Image via spireoptout.com

To apply for a PTPTN Loan, just follow these 5 Simple steps:

• Open an SSPN-i account — you can do this at any PTPTN counters, or at Maybank, Bank Islam, BSN, CIMB Bank, Agrobank or Bank Rakyat.
• Open a savings account at a panel bank — you will need to open a savings account with a specific bank based on your choice of institution (IPTS panel banks; IPTA panel banks)
• Buy a PTPTN number from Bank Simpanan Nasional (BSN) — this will cost you RM5 and is valid for six months
• Head to PTPTN’s website to apply online: http://www.ptptn.gov.my/gateway
• Complete the application form carefully based on the instructions