EPF Loan: More Joy or More Suffering?

Starting from April 7, 2023, Employees Provident Fund (EPF) members who fulfill certain conditions were allowed to apply for a loan of up to RM5,0000 from banks, with lower interest rates compared to other loan schemes. It seems the government has given in to the pressure from various groups, including the opposition, to open another round of EPF special withdrawal to help members in dire need of money. As helpful as it sounds, this loan scheme would lead to more long-term problems while leaving the urgent short-term ones unresolved.

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