Looking for a safe, easy, and fast personal loan (pinjaman peribadi) is now made easier than ever with iPinjaman Peribadi! iPinjaman Peribadi is a platform where Malaysian users can search for licensed money lending companies (syarikat pinjaman peribadi) in their area, and apply for their loans directly from the website. All companies listed on iPinjaman Peribadi are licensed under KPKT, have valid physical offices, and positive user reviews to ensure the safety of the customers who apply for their services.
With over 200 companies listed currently and new companies added every day, Malaysians will find it easy to search for a company that meets their needs. Even those who do not qualify for loans with banks and larger financial institutions can benefit from the services of those listed on iPinjaman Peribadi – most of the companies are willing to work with blacklisted clients or those with poor CCRIS/CTOS scores. Visit iPinjaman Peribadi today to find a personal loan near you!
Why Apply for a Personal Loan (Pinjaman Peribadi)?
Personal loans are a fast and easy way to get the cash you need without much difficulty. With other loans such as business loans, housing loans, car loans, and so on, you are required to produce a lot more paperwork to prove the purpose of your loan. With personal loans, no specific reason is needed in order for the loan to be approved. Once you receive the money, you are not required to use it for any particular purpose.
Because personal loans are so flexible, you can use them to fund any aspect of your life. From serious issues such as emergency medical bills, repayment of other overdue loans, or starting your own small business, to more fun things such as going on vacation, renovating your house, funding your wedding, and more.
Personal loans are also offered by many institutions in Malaysia, so your chances of getting approved are much higher. You can approach banks or licensed moneylender companies, all of which have a wide variety of personal loan offers for you to compare and select the one that best fits your needs.
Most personal loans offered
What do I Need to Apply for a Personal Loan (Pinjaman Peribadi)?
For most institutions, you will have to prove a source of income. Banks will likely require you to prove fixed employment through payslips, employer letters, EPF statements, and income tax statements. Whereas licensed moneylending companies would be more likely to accept less fixed employment, self-employment, or cash salaries as long as there is sufficient documentation to prove your monthly income.
Other than that, you may have to prove your current financial status with your CTOS or CCRIS score. CTOS and CCRIS are reports that inform the institution of your financial record. If you have a lot of active credit card debt, taken previous loans that are still outstanding, defaulted payment, or are frequently late in making your payments, this will be reflected in your CTOS or CCRIS. If your score is poor, banks will not allow you to apply for any personal loans. However, licensed moneylenders such as those listed on iPinjaman Peribadi do accept applicants with poor CTOS or CCRIS scores, and they even accept applicants who have been blacklisted. This is not a guarantee that your loan will be approved; however, you have a higher chance of approval through a licensed moneylender company than with banks who are much stricter with their application criteria.
Is It Safe to Apply for a Personal Loan from a Licensed Moneylender (Syarikat Pinjaman Peribadi)?
All licensed moneylenders in Malaysia are governed under Kementerian Perumahan dan Kerajaan Tempatan (KPKT), and the Akta Pemberi Pinjam Wang 1951. This means they follow the Malaysian law on limiting maximum interest rates, following good practices such as no advance fee needed and no holding of applicant’s ATM cards, and complying to safe and humane money collection methods. So, if the company you are applying to has a valid license, then it is safe to apply for a personal loan with them.
However, there are many companies that claim to be licensed when they are not. Some of these companies are built as scam companies, meaning they ask their applicants for fees, cash guarantees, and so on and when this money is handed over, they disappear without ever disbursing the “approved” loan amount. There are also some companies (Ah Long) who want to make money through exorbitant interest rates. These companies do release the loan money to applicants, but then increase the rates and charges and harass, intimidate, or harm them to collect payment.
The first step to protecting your safety is to check whether the company is registered as a valid company in Malaysia through the SSM website (https://www.ssm.com.my/Pages/Quick_Link/e-Search.aspx). Companies that are listed here are recognized to be real companies, not just social media accounts or websites with no real legal status in Malaysia.
Next you need to check for their license validity on the KPKT website (https://emaps.kpkt.gov.my/emaps/emaps/umum/cari_ppw.cfm). If the company shows us here, it means that they have a valid moneylending license with the Malaysian government. If possible, also try to visit their office headquarters to make sure they have a valid signboard and office premises. This is so that you can find them again if any issues should arise with your loan (as opposed to “free-floating” companies where they can disappear and make it difficult for you to find them or lodge a complaint).
However, there are plenty of “loan agents” who claim to be working for a real, valid licensed company, when they are actually just using the company’s name as a decoy. When dealing with loan agents, always make sure you get their personal details like Name, Phone Number, Email, and Employee ID in their company, if any. Then, contact the company headquarters directly or visit their office if possible to ensure that the employee really does work at the claimed company.
Once this is verified, you can proceed to deal with the agent. Make sure you listen carefully to the terms of the personal loan deal, and read any documents given to you before signing. If there are any terms that are suspicious or not agreeable to you, e.g. they require a pre-payment before they are willing to release the loan, they charge you thousands of ringgit to “open an account”, and so on, terminate the deal immediately and look for a more trusted loan provider. If you suspect you have been the victim of a scam, you can lodge a complaint here: https://aduan.kpkt.gov.my/aduan-online/entry/aduanperumahan.cfm.
Remember, all companies listed on iPinjaman Peribadi (IPP) are confirmed to be licensed and compliant to the laws in Malaysia, so it is safest if you apply directly through the platform and the licensed moneylender company will contact you.
What Should I Consider When Selecting a Personal Loan (Pinjaman Peribadi)?
Since there are so many different personal loan options offered in Malaysia, it is important that you take some time to consider which loan is right for you. The first thing to consider is the validity and location of the licensed moneylender company offering the loan. Are they licensed and registered, and located in a place that is convenient for you to visit? Since you will likely have to make a few trips to their office to submit documents, sign agreements, and to meet with your agent, it is a good idea to select a company that is close to you. On iPinjaman Peribadi (IPP), you can view licensed moneylender companies by location and compare the ones closest to you so that you can choose the best option that is located near you.
When comparing licensed moneylending companies, be sure to read user reviews, on iPinjaman Peribadi or anywhere else on the Internet. Whenever possible, select a company that has positive reviews on trustworthiness and customer service.
Next consider the loan amount and payment terms they are willing to offer you. Does it meet the amount that you need, and are you able to manage the monthly repayments without much issue? If not, you may have to continue looking for a company who is able to provide you with the offer that you need. If the loan terms are acceptable, then consider the interest rate. Which company is able to offer you the best rate for your current financial status? Generally, in Malaysia, the licensed moneylender companies offer a standard rate of 1.5% per month, so it is important to also consider any additional charges that you may incur while applying for your personal loan.
You may be charged an application processing fee; however, this fee is usually only charged upon loan approval (meaning if you do not successfully get your loan, you will not have to pay). The amount for this fee is usually deducted straight from the loan amount transferred to you – you should not have to fork out any of your own cash to cover this fee. The amount for this fee varies by company, but it is usually a small percentage of the total loan amount that you are applying for.
All valid contracts signed need to be “stamped” in order to be considered legal in Malaysia. This incurs a fee called “Stamp Duty”, which is usually about 0.5% of your total loan amount. Some companies absorb this cost, and so you may not have to pay Stamp Duty on your loan. However, not all companies do this, so be sure to check with your agent if you will be expected to bear this cost or if it will be covered by the company offering the loan.
These should be all the fees you encounter while applying for a personal loan. Valid companies do not request a pre-payment, deposit, fee to open an account, signing fees, or any sort of charge that requires you to take money out of your pocket to pay them before the loan can be approved. So, be vigilant of this fact to protect yourself against scams.
Once the loan is underway, you may encounter one expected fee, which is the late payment fee. This fee is charged on any payments paid after the instalment due date, and varies from company to company. Be careful about this fee, as it is a vicious cycle – you pay late because you cannot afford to pay, a charge gets added to the amount you owe, which makes it even more difficult for you to pay on time.
Lastly, there is the early payment penalty. Each personal loan offer has a pre-agreed loan term, which means the amount of time given to you to repay the loan. For example, you may borrow RM2000 for 6 months, which means that you will pay monthly and complete the payments of RM2000 + interest within that 6 month period. However, if you are lucky enough to be able to repay the loan faster (e.g. by the 4th month you have enough money from your business to pay off the remaining loan amount), you may be charged an early payment fee. This is because the licensed moneylender company makes a profit by charging you interest for the 6 months of your loan. If you complete your payment early, you are causing them to lose out on some profits, and thus some may charge an early payment fee as compensation for this loss of profits. However, the early payment fee is usually less than the amount you save on interest by paying early, so it may still be a good idea to pay the loan early if you are able to. Just do a bit of calculating before that to ensure that you are still benefiting by paying early – otherwise, you can just keep to the pre-agreed loan period.
What Can I Do If My Personal Loan (Pinjaman Peribadi) is Rejected by the Bank?
If your loan is rejected by the bank, try to communicate with the bank agent as to the reason behind the rejection. Perhaps it is as simple as requiring more documentation, or something more serious such as too much bad debt with a poor CCRIS/CTOS score. Either way, it is important to find out the reason, so that you can decide how to proceed from here.
If the reason is simple to fix, you can try to reapply with the same bank or a different bank, making sure your application fulfils all the requirements. If it is more complex or the company does not want to accept your reapplication, don’t be discouraged! You can always try to apply to a licensed moneylender company, as they have more lenient application terms as compared to banks. There are plenty of licensed moneylender companies, all with different terms for loan approval. Chances are, you will be able to find one that meets your requirements for your particular financial situation. These licensed moneylenders are willing to accept a higher risk client in exchange for a higher interest rate (but still within the limits set by the government of Malaysia). The higher interest rate is not ideal; however if you are unable to get a personal loan from a bank, then these companies would be your best option to get the cash you need, fast.
If needed, some licensed moneylender companies also offer loans with guarantors or collaterals. A guarantor means that someone co-signs for the loan with you, and promises to pay your loan instalments if you are unable to. Collaterals are items (e.g. house, jewelry etc) that are promised as compensation should you default on your loan payments. With guarantors and collaterals, a licensed moneylender company takes on less risk as their chances of being repaid are higher. Thus, they might be more inclined to consider your application, or to lower your interest rate to correspond with the lower risk level.
Your last option is the one that will also take the longest – you just have to work harder to improve your application quality for the next time you wish to apply for a personal loan. You can try to increase your monthly income, or procure a more stable, fixed employment which will make you a better candidate to the licensed moneylending companies. At the same time, you can work on paying off previous debts, and perhaps consolidating any previous debts under one loan that you can pay off gradually. This is much easier to manage that having multiple delayed loans and credit cards running at the same time, all collecting interest, late fees and other penalties. All this will increase your CTOS/CCRIS score, and increase the chances that your loan will be approved the next time you apply either to a bank or to a licensed moneylending company.
Why Should I Trust iPinjaman Peribadi (IPP)?
IPP was established in 2018 as a platform to connect personal loan seekers with safe, licensed moneylender companies who offer a variety of personal loan services. The founders of IPP realized that there was nowhere for people to turn when they were looking for safe loans to take, and as a result, the number of financial scams were increasing rapidly in Malaysia, with the main victims being people from the B40 group. There was much fear within the community about “Ah Longs”, and people were not sure who to trust when applying for their personal loans, especially when they were unable to obtain loans from banks or other large financial institutions. Scammers also became more crafty, finding many different ways to disguise their scams so it was hard to tell which company was legitimate and which was not.
With IPP, each company is carefully vetted before being listed on the platform. IPP ensures they have a valid license under KPKT, are registered under SSM, and have a clearly displayed signboard in a physical location. Only when they fulfil these criteria are they allowed to be listed on IPP. Thus, anyone who applies for a loan via IPP can be confident that the receiving company is valid and compliant with the law.
IPP also prioritizes the data protection of all its applicants. The platform itself is protected with a security certificate to prevent data theft from hackers. In addition, all loan application forms submitted are sent directly to the licensed moneylender companies; the application data is not removed or handled by IPP to ensure confidentiality.
One of IPP’s goals was also to make it fast and easy for customers to submit their loan applications. Previously, loan applications were a tedious process that involved a lot of paperwork. Via IPP, customers are able to submit their applications by filling in a simple form and clicking “Submit”. For customers that are too busy to search and compare loans one by one, IPP introduced the Pinjaman Segera feature, which enables the customer to fill in an application form which IPP will then send to the most suitable company that matches the applicant’s needs.
Lastly, IPP has a strong community of loan seekers who look out for each other, give advice, and participate in fun games, contests, and discussions on IPP’s social media pages. IPP has also set up a group specifically to provide the latest news on scams in Malaysia, called “Awas Scam Malaysia”. By becoming an IPP community member, you can interact with many other like-minded loan applicants who have each other’s backs when it comes to making sure that everyone is safe while applying for the personal loans they need.
IPP has been used by thousands of happy Malaysians to find their fast, easy, and safe loans. Every day, we are adding more licensed moneylender companies to our database to make it more convenient for you to find the right personal loan for your needs. Find your personal loan today, and don’t forget to follow us on social media (iPinjaman Peribadi Malaysia), and to sign up for our email newsletter so you don’t miss any announcements on offers, new companies, exciting games and competitions, and more! Ready to get started? Find a licensed moneylender company near you now!