Goodwill discounts for early settlement of existing Hire-Purchase Agreements, to commence upon the effective date of the Hire Purchase (Amendment) Act

In line with the joint media statement by The Association of Banks in Malaysia (ABM), Association of Islamic Banking and Financial Institutions Malaysia (AIBIM) and the Association of Development Finance Institutions of Malaysia (ADFIM) released on 2 December 2025, Public Bank will be offering goodwill discounts at the point of early settlement for existing fixed-rate hire-purchase agreements and/or which apply the Rule of 78 method, in anticipation of the implementation of the Hire-Purchase (Amendment) Act (HPAA).

The goodwill discount programme will be effective starting from the effective date of the HPAA, which is expected in the first quarter of 2026. The Bank will notify the customers once the HPAA has come into effect.

Who is eligible? 

Individuals and micro or small businesses with fixed-rate hire-purchase agreements and/or which apply the Rule of 78 method: 

• entered into before the HPAA takes effect; or
• entered into during the 18-month grace period allowed under the amended Act; and
• who choose to settle their hire-purchase financing early i.e. any time before loan or financing maturity.

Eligibility criteria 

At the point of early settlement, accounts should:

• not be in arrears exceeding 90 days;
• not be under legal action or issued with repossession order; or
• not be under an existing restructuring and rescheduling (R&R) or enrolled in a formal debt management programme.

What is the discount? 

• The goodwill discount will be calculated based on the features of the existing hire-purchase agreement (such as timing of early settlement and rate structure) and applied to the net balance due. The intention is to offer early settlement treatment that is broadly comparable to the approach under the amended Act.
• The exact calculation and amount of goodwill discount may vary by bank and by product, and will be explained to customers at the point of application for early settlement.

The details of the goodwill discounts and operational mechanism will be notified and implemented after the Hire-Purchase (Amendment) Act (HPAA) is gazetted.

Cross-Border QR Payment Linkage between Malaysia and Cambodia

Tan Sri Dato’ Sri (Dr) Tay Ah Lek, Managing Director & Chief Executive Officer (CEO) of Public Bank, attended the launch of Cross-Border QR Payment Linkage between Malaysia and Cambodia at the Kuala Lumpur Convention Centre on 8 April 2025. It was officiated by Dato’ Seri Abdul Rasheed Ghaffour, Governor of Bank Negara Malaysia (BNM) and Her Excellency Dr. Chea Serey, Governor of the National Bank of Cambodia (NBC).

This initiative represented a significant step in BNM’s ongoing efforts to enhance regional payment connectivity. BNM aims to make cross-border payments more seamless, convenient, and affordable for individuals and businesses across the region.

Campu Bank is a partner in the above Cross-Border QR Payment Linkage, whereby their customers can perform cross-border payments to merchants in Malaysia through the Bakong App and PB Engage KH Mobile App by the third Quarter of 2025. Public Bank’s customers will soon be able to use the MyPB Mobile App to make cross-border QR payments to merchants in Cambodia.

Tan Sri Dato’ Sri (Dr) Tay Ah Lek, Managing Director & CEO of Public Bank (second from left) and Mr. Ong Ming Teck, CEO of Campu Bank (second from right) taken together with Dato’ Seri Abdul Rasheed Ghaffour, Governor of Bank Negara Malaysia (fourth from left) and H.E. Dr. Chea Serey, Governor of the National Bank of Cambodia (fourth from right) during the launching of the Cross-Border QR Payment Linkage between Malaysia and Cambodia

Public Bank Vietnam Unveils 50 Plus Current Account & 50 Plus Fixed Deposit, the New Deposit Products

Public Bank Vietnam officially launched two new deposit products, ‘50 Plus Current Account’ and ‘50 Plus Fixed Deposit,’ tailored for senior citizens on 21 March 2025. These offerings aimed to provide a more stable, long-term savings option while supporting the Bank’s strategies to diversify its deposit portfolio and enhance service offerings to all age groups.

Mr. Chee Keng Eng, Chief Executive Officer, and Mr. Raymond Wong Chen Onn, Chief Operating Officer, led the launch ceremony held at Bac Tu Liem Transaction Bureau in Hanoi. Branch managers, transaction bureau managers across Hanoi, and selected head office representatives joined them.

Mr. Chee (centre) launched the 50 Plus Current Account & 50 Plus Fixed Deposit together with Business Units Managers