KUALA LUMPUR (Dec 28): The National Higher Education Fund Corporation (PTPTN) should stop the plan to impose the maximum level of salary deduction for civil servants repaying their study loans, said Pandan MP Rafizi Ramli.

The PKR secretary-general today urged PTPTN chairman Datuk Shamsul Anuar Nasarah to scrap the automated plan because of complaints from those affected.

“The maximum deduction was a shock to many as it was applied without any prior notice.

“Some civil servants are left with only a few ringgit (of their salary) after the maximum pay deductions by PTPTN,” he said in a statement today.

Rafizi said a fairer system was necessary to help people coping with the rising cost of living and suggested that only those with monthly incomes starting from RM4,000 and above be charged with PTPTN loan repayments.

“As a trade-off, loaners should update their employment information and have their pay verified by their employers every six months.

“This is to ensure they start repaying their loans once they start earning RM4,000 per month.

“Those who do not can face action against according to the law,” he said.

This way, he said, fresh graduates would not be burdened excessively when they started working and could repay their loans once they reached a certain financial threshold.

He added that he would raise a motion for PTPTN to be debated in the parliamentary session in March.

“I will also work with activists and youth leaders to establish a non-governmental organisation to fight for the cause of PTPTN loan recipients soon.”