For what reason would banks freeze/close my banking accounts?
Banks may freeze/close customers accounts when they find that the customers are in breach of the terms and conditions (T&C) governing the banking account, after necessary due diligence has been conducted by the respective bank.
Possible reasons for the freezing/closure of a banking account, are as follows:
- Insolvency matters
- A direction/instruction issued by the relevant authorities;
- The bank suspects that the customer or a third party is misusing, conducting illegal or fraudulent activities through the banking account (this includes illegal deposit taking and scams);
- The bank received a court order or other legal documents prohibiting the customer's banking account from being operated.
(The above listing is non-exhaustive. Consumers MUST refer to respective bank’s general terms and conditions on the usage of banking accounts)
Consumers may also refer to the bank's Complaints Unit or Commercial Crime Investigation Department (CCID)'s Semak Mule for further information.
Can the bank freeze my banking account without providing a reason?
Yes. The bank may freeze/close customers' banking accounts in accordance with the account's terms and conditions. Nevertheless, the bank needs to notify the customers in advance prior to the closure of their accounts and refund the available funds.
What should I do if my bank account is being freezed/blocked by the bank?
You are advised to contact your bank immediately for clarification and next course of action.
Can the customer appeal for account re-opening?
The customer may appeal for account re-opening but the decision is subject to the bank’s commercial consideration, which is based on its risk management and internal policies. Bank Negara Malaysia does not intervene in such decisions.
You may refer to the bank's Complaints Unit to submit your appeal.
I have applied to open a new banking account, unexpectedly the new bank rejected my application with the reason that I have bad records in previous banks. As I have several bank accounts previously, how do I know which bank blacklisted me?
Please refer to the banks that you have had accounts with or you can check against CCID's Semak Mule for further information. Bank Negara Malaysia does not maintain any list of “blacklisted customers” nor has any say in the opening or closing of banking accounts.
What is an unauthorised transaction / withdrawal?
An unauthorised transaction/withdrawal refers to a withdrawal or transfer of funds from a consumer's banking account, without proper authorisation or consent from the consumer.
What should you do if you notice an unauthorised transaction / withdrawal?
If you notice an unauthorised transaction/withdrawal from your banking account:
- Immediately call your bank’s 24/7 hotline or the National Scam Response Centre (NSRC) 997 hotline.
- Lodge a police report at the nearest police station as soon as possible.
Even if the incident took place more than 24 hours ago, you should still report the incident to your bank. You may also refer to the frequently asked questions (FAQs) prepared by the NSRC.
How do you prevent unauthorised transactions/withdrawals from taking place?
You are advised to take the following preventive steps, as follows:
- Do not share your PIN or password with anyone
- Change your password regularly
- Do not provide your banking details to a third party
- Do not let anyone use your credit/debit card
- Do not click on suspicious links
- Do not install apps from unknown sources
- Keep your card in the same place so that you will immediately notice if it is lost or stolen
- Do not record credit/debit card PIN on the card, or on anything kept close together with the credit/debit card
- Contact your card issuer immediately in the event of a lost credit/debit card
How long does the investigation process take?
The investigation process varies and the time taken depends on the complexity of the case. However, the bank should update the customer within 14 days from the day the complaint is received.
What should I do if I am not satisfied with the bank’s response?
You are advised to lodge a complaint with the bank's Complaints Unit. If you are still not satisfied with the response, you could refer your case to the Ombudsman for Financial Services.
I was harassed by a debt collector appointed by the bank. What should I do?
You are advised to lodge a complaint with the bank's Complaint Unit regarding the conduct of its debt collector.
You may refer to the bank's Complaints Unit to submit your complaint.
How do you ensure that the bank has authorised the debt collector to recover the debt on the bank's behalf?
If you are approached by a debt collector, request for his authorization card which contains the name of the company he works for, as well as written notice of the debt.
How do you avoid being harassed by a debt collector?
The bank may engage debt collectors to recover the debt you owed if you fail to respond to reminder notices to make repayments.
If you are having difficulty making repayments, discuss with your bank on restructuring and rescheduling (R&R) options for your repayment schedule.
If you are overwhelmed by your debt(s), Agensi Kaunseling Dan Pengurusan Kredit (AKPK) is ready to advise and help with loan restructuring.
What happens if I ignore debt collectors?
If you persistently ignore debt collectors even after getting repeated reminders, the bank may take legal action taken against you.
The bank had wrongly charged my credit card with some unrecognized fees. What should I do?
Contact the bank immediately regarding any unrecognised fees in your credit card account.
You may refer to the banks' complaints unit here.
There was a double transaction in my credit card statement. What should I do?
Contact the bank immediately regarding duplicate charges in your credit card account.
The bank will investigate the dispute and may temporarily block your credit card to prevent unauthorised transactions.
What should I do if I lost my debit/credit card?
Report immediately to the bank and lodge a police report (if required), should your debit/credit card is lost or stolen. The bank will block the debit/credit card instantly to prevent unauthorised transactions.
The bank had wrongly imposed fees and charges on my banking facilities. What should I do?
All fees and charges are stated in the terms and conditions of the financial products or services.
If you find that the bank had wrongly imposed fees and charges, you have the right to dispute the charges with the bank.
You may refer to the banks' complaints unit here.
I have difficulties in paying my loan instalments/credit card balances. Can BNM assist me?
You are advised to discuss with your banks on your situation. The banks may provide you some resolution such as loan restructuring or rescheduling. You are also advised to consult Agensi Kaunseling dan Pengurusan Kredit (AKPK).
You may obtain further information on AKPK here.
What happens to the guarantor if the borrower defaults on his/her monthly loan repayment?
When you act as a guarantor, you are responsible for making the loan repayments if the borrower fails to do so. Legal action may be taken against a guarantor if all actions have been exhausted against the borrower. You are advised to discuss with the bank on reasonable repayment arrangement.
How do I prevent my current account or saving account (CASA) from turning dormant?
You can prevent your accounts from turning dormant by ensuring that there are transactions (i.e. deposit or withdrawal) being made in your account within 12 months.
What will happen if my account remains dormant for a period of 7 years?
When your account remains dormant for a period of 7 years, your account will be classified as unclaimed moneys. Under the Unclaimed Moneys Act 1965 (Amended 2002), the balance will be transferred by the bank to the Registrar of Unclaimed Moneys.
You may liaise with "Unclaimed Monies Unit" under Jabatan Akauntan Negara Malaysia (JANM) or via online thru eGUMIS which is an online service that allows consumers to search for unclaimed moneys / make refund application for unclaimed moneys.
Application for Unclaimed Moneys will only be processed after the Registrar received the application form and all the supporting documents.
You should deal directly with JANM and mindful that The Registrar of Unclaimed Monies does not appoint any individual or company as a middle person or agent in matters relating to claim of Unclaimed Monies.
My e-wallet has been blocked by the service provider. What should I do?
You should contact your e-wallet service provider on your situation and seek further assistance.
If my loan is classified as a time-barred loan, can the bank still report my loan record in CCRIS?
CCRIS does not prohibit banks from retaining the details of any time-barred loan. As such, the loan is not expired nor extinguished.
I noticed an error on my information shown in the credit report (e.g. name spelling, date of birth, pending verification status) as reported by the bank. How do I manage data verification?
You are required to submit your dispute/data verification request to the bank via eCCRIS (eccris.bnm.gov.my).
You may refer to CCRIS website: eccris.bnm.gov.my for further clarification on CCRIS/eCCRIS.
Steps for data verification can be found at the following link: www.bnm.gov.my/documents/20124/6190098/eCCRIS_FAQ_en.pdf.
Why are there changes in the monthly instalments after revisions of the Overnight Policy Rate (OPR)?
Whenever BNM revises the OPR, banks’ interest rates will be revised upward or downward, to maintain a level of stability within the economy.
For example, OPR will be increased in order to manage inflation. This leads to higher borrowing cost and higher monthly loan instalment. As a result, people will refrain from overspending and not push prices higher.
On the other hand, OPR will be reduced when growth is slowing down. Borrowing cost will be lower and entice consumers to borrow and spend more. This act will help stimulate the economy further and boost growth.
More information on OPR can be read further via this link: https://www.bnm.gov.my/documents/20124/8737479/mps_faq_nov2022_en.pdf
Should you face financial difficulty in repaying your loan when the interest rate increases, do contact your bank for assistance.
