8th October 2026 - 5 min read
National Higher Education Fund Corporation (PTPTN) borrowers owed RM10.7 billion in missed repayments, or arrears, as at 31 August 2026. Higher Education Minister Datuk Seri Dr Zambry Abd Kadir gave the total in a written parliamentary reply on 5 October, and said 1.16 million borrowers are behind on their loans.
That works out to about RM9,200 for each borrower in arrears, by our calculation. Zambry said borrowers who are struggling can ask PTPTN to restructure their loan for a lower monthly instalment, or to defer it and pause payments for a while.
Restructuring means PTPTN works out a new monthly instalment based on what you earn now. You pay less each month, but for more years, and a restructured loan can run until you turn 60.
A restructured loan is always on the Ujrah scheme. PTPTN moves you across from the old conventional scheme (3% to 5% a year) at no cost when you restructure. You may need to pay half your arrears first, though you can discuss this with the officer handling your case. There’s no processing fee the first time you restructure.
Ujrah, PTPTN’s service fee, is a flat 1% a year on the amount you restructure. It doesn’t fall as you pay the loan down, so every extra year adds another 1% of that amount. Take a borrower with RM25,000 left on a 10-year schedule, paying RM229 a month. Stretching it to 17 years brings the payment down to RM143 a month, but adds RM1,750 in Ujrah, by our calculation.
Deferment lets you stop paying for a set period. With no job or income, you can defer for up to two years until you start earning. Going on to study at a higher level, such as a master’s degree, also lets you defer until the new course ends. Do note that Ujrah keeps adding up while payments are paused. On a RM25,000 loan, two years of deferment adds RM500, by our calculation.
A short deferment gives you time to find work. If you’re working but your pay is too low for your current instalment, restructuring is the one to ask for.
PTPTN reports how you repay to CCRIS, Bank Negara Malaysia’s credit record system. Banks look at your CCRIS report when you apply for a car loan, home loan, or credit card. It shows your last 12 months of payments, so missed PTPTN payments can make approval harder.
After you restructure, CCRIS shows your new repayment schedule. Payments you missed before that still show for the next 12 months.
PTPTN can also take borrowers who don’t pay to court. It now hands some overdue accounts to appointed debt collection agencies, starting with accounts more than 10 years behind or with a court judgment against them. The agency charges a 15% fee on whatever it collects, and you pay that fee on top. On a RM4,000 payment, that’s an extra RM600. Your account stays with the agency until you’ve paid at least half your arrears plus the fee and restructured your loan.
Budget 2026 also announced overseas travel restrictions for borrowers who work abroad and can afford to pay, but don’t.
PTPTN runs on a revolving fund, so what graduates pay back is the main source of money for new loans. When repayments don’t cover the year’s loans, PTPTN borrows the rest. It sells sukuk (Islamic bonds) or borrows from local banks, and the government guarantees the debt.
Zambry said the government is improving loan terms to better target borrowers based on their needs. The PTPTN loans your younger brothers and sisters can get for university depend partly on how much today’s borrowers pay back.
Start with the myPTPTN app, available on the App Store, Google Play, and Huawei AppGallery. Your balance is under e-Services, then Loan Repayment, and you can apply for restructuring, deferment, salary deduction, or direct debit in the app too. After you apply to restructure, a PTPTN officer usually contacts you within seven working days.
Salary deduction means your employer pays PTPTN straight from your salary each month, so you can’t forget. Direct debit works for the self-employed, or anyone whose employer doesn’t offer salary deduction, and takes the payment from your bank account instead. Whichever way you pay, make sure it reaches PTPTN by the 27th of each month.
Budget 2027 is tabled on 9 October. Before you make a large lump-sum payment, check whether it includes a PTPTN repayment discount. Past budgets have offered them, such as 15% off salary deduction and direct debit payments under Budget 2024, but the PTPTN measures in Budget 2026 didn’t include any.
To speak to someone, call the PTPTN Careline at 03-2193 3000, use the live chat at ptptn.gov.my, or visit a PTPTN branch. Complaints go to e-Aduan at eaduan.ptptn.gov.my. Check any call from a debt collection agency with the Careline before you pay. Agencies can’t take cash, and all payments must go through PTPTN’s official channels.
If you’re behind on payments, open myPTPTN this week and apply to restructure before your account goes to an agency.
Follow us on our official WhatsApp channel for the latest money tips and updates.
As a creative content writer, Eloise has covered finance, business, lifestyle topics, and even moonlights as a singer-songwriter outside of RinggitPlus. Her current interests are learning the best ways to optimise spending and credit card hacks to gain more airline miles.
Comments (0)