Licensed money lenders rebranded as 'Credit Community'

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PUTRAJAYA (April 5): The Ministry of Housing and Local Government (KPKT) today rebranded registered licensed moneylenders under the Ministry as the ‘Credit Community’.

Housing and Local Government Minister Zuraida Kamaruddin, who launched the new name and logo here said the branding would raise public awareness on legitimate sources of financing.

"KPKT is concerned with the needs of the community in terms of securing loans, especially small businesses, and this re-branding will help them choose a legitimate way to do so," she told reporters after the launch event.

Zuraida said licensed moneylenders were given three months to use the new name and logo, complete with a QR code on their signage.

There are 4,115 licensed moneylenders registered with KPKT, and the community can obtain loans of any amount, with an interest rate of 12 percent with collateral, or 18 percent without collateral, she said.

Asked if there were complaints received by the Ministry on the licensed moneylenders, Zuraida said KPKT received an average of 500 complaints a year, and most of them were for the failure of sending reports or statement of accounts.

At the event, Zuraida also launched the ‘i-KrediKom’ mobile application which would facilitate the public to search for nearby licensed Community Credit stores nearby in Peninsular Malaysia, besides providing customers with an avenue to send in or check on the status of their complaints.

i-KrediKom also provides explanations on the rights of a borrower and the types of offences under the Money Lenders Act 1951.