Funding Your Future: PTPN Loans

Funding Your Future: PTPN Loans


The Perbadanan Tabung Pendidikan Tinggi Nasional (PTPTN) loan is an education loan scheme for students studying locally at private and public tertiary education institutions. It paves the way for many more individuals to access tertiary education – with the financial assistance provided by PTPTN, you will be able to cover your tuition fees and living expenses. That’s a great burden lifted off your shoulders!


Do you qualify?

There are certain requirements that you have to fulfill to be eligible for the PTPTN loan. Make sure you check off the list below:

  • A Malaysian citizen
  • Aged 45 years and below
  • Have a ready offer to study at an institution of higher learning (public or private colleges, universities and polytechnics are accepted) – review the scope of coverage by education level here)
  • The course being pursued is approved and accredited by the Malaysia Qualifications Agency (MQA)
  • The remaining period of your study must be at least one year
  • Have no other sponsors
  • Have a Skim Simpanan Pendidikan Nasional (SSPN-i) savings account.


How much financing are you entitled to?

Take a look at the table below to determine the amount of financing for which you are eligible:


Funding Eligibility
Maximum funding If the student/guardians receive BR1M (household income < RM4,000)
75% of the maximum funding* Household income > RM4,000 but < RM8,000  (not a recipient of BR1M)
50% of the maximum funding* Household income > RM8,000  (not a recipient of BR1M)


*The maximum funding amount is dependent on the course of study and the tertiary educational institution chosen. For a better idea, click here.


What about the repayments?

The good news is that if you’ve been a conscientious student and graduated with 1st Class Honours, you are exempted from repaying your loan! You can get more details on applying for the exemption here.


Now, for those of us who aren’t in this elite group, it’s not the end of the world! As a general rule, you commence monthly repayments 12 months after you graduate. It’s best not to wait until you receive a repayment notice before scrambling to repay – you certainly don’t want to be blacklisted!


The amount you need to repay would be the full amount of the loan with an additional 1% interest called ujrah, a syariah-compliant fee covering administrative and management costs, as well as a certain amount for insurance coverage. The time allotted for an individual to complete the repayment depends on the amount borrowed:


Loan amount (RM) Repayment period (years)
< 10,000 5
10,000–22,000 10
22,000–50,000 15
> 50,000 20


There are options to restructure your loan repayment schedule if you find yourself a little short in the savings department. They also offer incentives in the form of a discount for big sum payments – an offer that is valid till the end of 2018 – so it might be a good idea to pay more than the necessary monthly amount if you can afford it.  For more details, check out the PTPTN Repayment Brochure.


Also read:

How Do You Apply For A PTPTN Loan?