PETALING JAYA: The Association of Banks in Malaysia (ABM) stressed that loans approved by its member banks are assessed stringently and in accordance to their internal approving guidelines and procedures.
It was responding to an online portal's news report on the Consumers Association of Penang's concerns over rising bankruptcy cases in Malaysia following an easy access to loans.
“ABM would like to state that our member banks assess loan applications based on the eligibility of the applicant and repayment capability, among other factors. Rigorous verifications including checks with the Central Credit Reference Information System (CCRIS) and various credit report agencies are performed before approval for loans applications are granted.”
The association noted that banks adhere to responsible financing practices in providing loans to avoid exposing both the bank and the borrower to increased credit risks.
“Our member banks also view fraud very seriously and if falsifications are detected, banks would take immediate steps to address the issue and reject the application.”
ABM advised members of the public to practise prudent spending within their means to avoid being caught in a financial quandary.
“This also applies to having careful planning with regards to using facilities such as debit cards and other payment cards.
“A debit card is a payment card where the transaction amount is deducted immediately from your savings and/or current account, upon authorisation. ATM cards in Malaysia also function as debit cards and allow cardholders to make purchases at point of sale terminals. Debit cards are a convenient alternative to carrying cash.”
“If there are insufficient funds in the card holder's bank account to meet the payment, the payment transaction would be declined. In addition, debit cardholders have the option to set their preferred limits for transactions at point of sale terminals and for ATM withdrawals.”
ABM added that its member banks remain committed to adhering to the guidelines of responsible financing and are continuously supportive in providing access to financing to eligible applicants.
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PETALING JAYA: PinkExc, one of the active digital currency exchangers in Malaysia, believes heavy transaction value was the reason behind the Inland Revenue Board’s (IRB) move to freeze the bank account of its peer Luno on money-laundering concerns.
PinkExc co-founder Fitry Daud said the IRB has no issue with the company as its customers are not encouraged to deposit a huge amount of money into its bank account to curb any suspicious trading.
“We always control our trading volume whereas you can see the transaction value at Luno is higher than the normal business transactions,” he told SunBiz today.
Deposits into PinkExc’s bank account are limited to RM5,000 per person per day, compared with Luno’s RM10,000, depending on “Know Your Customer” procedures.
Meanwhile, PinkExc’s daily transaction value is only RM20,000 to RM30,000 based on its relatively small customer base of about 300 people.
The Ipoh-based company has been been in operation for close to two years.
UK-based Luno, however, serves a much bigger digital currency community with presence in about 40 countries. It predominantly trades the two largest digital currencies, bitcoin and ethereum.
In an email sent to its customers last Friday, Luno said it had not been able to process deposits or withdrawals in Malaysia over the past few weeks due to the freezing of its bank account by the IRB pending a probe.
The IRB requested Luno to provide information on all its Malaysian customers, including identification, deposits/withdrawals and transactions.The IRB had not responded to SunBiz queries at press time.
Meanwhile, PinkExc said no invitation had been extended for a “meet-up” with Bank Negara Malaysia (BNM) representatives on the reporting institution for digital currencies. Besides Luno and PinkExc, the other two active digital currency exchangers in Malaysia are Coinhako and XBit Asia.
BNM was supposed to meet the exchangers on Dec 18 with regard to the reporting obligations under the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 (AMLA).
However, Fitry said PinkExc is not aware of any meeting with the central bank. He said the company was only required to send a form to BNM indicating the list of digital currencies traded on its platform.
Digital currency exchangers are to be designated as reporting institutions under AMLA, according to BNM, which requires them to update the central bank on the number of transactions, including conversion from digital currency to fiat money and vice versa as well as conversion from a digital currency to another; the value of transactions, net buy and sell positions, purpose of transactions, payment method and the number of customer accounts. This, however, is yet to come into practice.
Fitry said it will be a burden for the platform operators to report every single transaction to the regulator as digital currencies are decentralised.
Average monthly digital currency transactions in Malaysia amount to RM75 million, which is minimal compared with the total market capitalisation of US$420 billion (RM1.71 trillion) for digital currencies globally, according to BNM.
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KUALA LUMPUR: MOL AccessPortal Sdn Bhd, a wholly owned subsidiary of MOL Global Inc, today launched its mobile wallet app called ‘One2pay’ and aims to expand One2pay acceptance touchpoints to more than 6,000 within a year.
One of the key convenience factors of One2pay is barcode/QR code payment. Merchants only need to scan the One2pay user’s unique barcode/QR code for payment.
The One2pay app, which is regulated by Bank Negara Malaysia, is available for download in the Apple App Store and Google Play. Anyone with a valid Malaysian mobile phone number can register for a free account. To add funds, users can purchase One2pay top-ups at any 7-Eleven store in Malaysia. Alternatively, users can add funds using online banking.
With One2Pay, users can send cash easily and quickly to family and friends. They can top up their telco accounts, pay utility bills, buy game PINs and more. Users can also securely cash out their One2Pay wallets into their bank accounts.
Users can start using One2pay at any 7-Eleven store in the Klang Valley. By Jan 17, 2018, all 2,218 7-Eleven stores across Malaysia will accept One2pay.
MOL Global and 7-Eleven Malaysia majority shareholder and Berjaya Corp founder and executive chairman Tan Sri Vincent Tan said One2pay is a homegrown product that enables Malaysians to pay at retail stores, use it to shop online, pay bills and send money to one another.
“We created One2pay because we see great synergy between our businesses and mobile wallet. Our existing retail ecosystem within the Berjaya group offers a great platform and testbed for mobile payment innovation. It is through that synergy we aim to enhance the value propositions of One2pay and craft our differentiation in the marketplace,” Tan said.
He added that it will roll out One2pay acceptance in more of the group’s retail businesses such as Starbucks, Wendy’s, Rasa Utara, Kenny Rogers Roasters and Cosway in the coming months.
MOL Global group CEO Preecha Praipattarakul said it is launching One2pay in Malaysia as a start, followed by Thailand in the fourth quarter this year.
At the event, Mara Corp Sdn Bhd signed a memorandum of understanding with MOL AccessPortal to explore opportunities in assisting each other in re-energising the business community and entrepreneurs by introducing mobile electronic payment gateways and e-wallet supported by MOL’s homegrown fintech mobile wallet technology.
MaraCorp is the commercial strategic investment arm established by Majlis Amanah Rakyat (Mara). Mara has 22,000 staff, 230,000 students and 60,000 entrepreneurs.
“Strategic initiatives (of the MoU) include mobile wallet acceptance among its thousands of merchants, catalysing mobile wallet uptake among participating students, entrepreneurs and target communities,” said Tan.
Meanwhile, Tan does not rule out the possibility of relisting MOL. Recall that MOL Global was delisted from New York’s Nasdaq in April 2016 after less than two years.
MOL AccessPortal was also privatised in 2008 after five years of being listed on the Mesdaq Market (now ACE Market) of Bursa Malaysia.
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