THE proposal to do away with the Rule of 78 method in calculating hire purchase (HP) interest, in order to modernise HP financing practices to align with current operating conditions and regulatory developments while also being fairer to consumers, is not expected to impact banks with large HP portfolios significantly, says PwC Malaysia.
In its continuous effort to afford credit protection to individuals as well as micro and small-sized businesses, the Consumer Credit Oversight Board Task Force (CCOB Task Force) has issued its second public consultation paper (CP2), which invites feedback on the proposed regulatory framework for credit businesses and credit service businesses.