As part of Bank Negara Malaysia’s announcement of automatic deferment of loans for individuals and SMEs affected by COVID-19, the central bank has also moved to assure Malaysians that the deferment will not adversely affect their credit report.
One concern that Malaysians had when the government announced the option for deferment of all bank loans was whether it would adversely affect their Central Credit Reference Information System (CCRIS) records. After all, deferred or restructured financing facilities will be recorded in CCRIS, and will affect a person’s credit report – under normal circumstances, that is.
Given the current economic climate and the “temporary nature of disruptions faced by borrowers/customers”, however, BNM has made an exception for this special moratorium, providing “appropriate time-bound flexibilities” to banking institutions to report deferred or restructured facilities in CCRIS.
This ensures that a borrower’s credit report will not be adversely impacted as banks will note that the deferment of financing facilities during this period is an option provided by BNM and thus, not affect a borrower’s credit report for future application of loans or credit facilities.