More Malaysians turn to AKPK for debt help: more than 100,000 in eight months, up 15%
A one-minute summary read by an AI voice.
Key points
- AKPK, Bank Negara Malaysia's credit counselling and debt management agency, said more than 100,000 people turned to it in January–August 2026, up 15% from January–August 2025.
- more than 47,000 individuals were approved for its Debt Management Programme in the same period; borrowers in their thirties make up 41% of approved cases.
- BNM's data show household arrears easing: loans one month or more overdue were 3.39% of household loans at end-June, down from 3.64% at end-March 2026.
Implications for lenders
With more than 100,000 people turning to AKPK and more than 47,000 approved for its Debt Management Programme this year, lenders may see more restructuring requests routed through AKPK and may want clear processes for handling them. Collections teams can watch for minimum-only payments and borrowing to repay old debts, AKPK's warning signs, as early triggers for contact or restructuring offers.
Implications
Facts
AKPK (Agensi Kaunseling dan Pengurusan Kredit, set up by Bank Negara Malaysia) told The Star, in a report published on 27 October, that more than 100,000 people turned to it for credit counselling, debt management or financial education in the first eight months of 2026, 1 an increase of 15% year on year, compared with January–August 2025. 2 Between January and August, more than 47,000 individuals were approved for its Debt Management Programme (DMP), under which AKPK negotiates restructured repayment plans with lenders. 3
By age, borrowers in their thirties account for 41% of approved DMP cases, compared with 30% for borrowers in their forties. 4 5 AKPK named the high cost of living as the most common reason for DMP assistance. Its warning signs include using credit for everyday needs, paying only the minimum due and borrowing to repay existing debts.
Analysis
Time series: BNM data show household loans one month or more in arrears at 3.39% at end-June, down from 3.64% at end-March 2026, 6 while loans three months or more in arrears were 0.96%, up from 0.92% at end-March 2026 and 0.89% at end-June 2025. 7 Exposures under banks' repayment assistance and the DMP were 1.8% of system loans, unchanged from March 2026. 8 The rise in people seeking AKPK help is therefore not yet visible in the system arrears ratio, but the share of loans three months or more overdue is higher than a year earlier.
BNPL: arrears on buy-now-pay-later balances were 3.3% of outstanding balances at end-June, compared with an overdue share of 3.4% at end-March 2026 and 3.2% at end-June 2025. 9 Household loan growth was 5.2% in August, down from 5.3% in July. 10
| 2025-06 | 0.89 |
|---|---|
| 2025-09 | 0.94 |
| 2025-12 | 0.93 |
| 2026-03 | 0.92 |
| 2026-06 | 0.96 |
Household loans 3+ months in arrears, % of outstanding household loans by value, quarter-end (BNM) · Source: BNM Insights: Beyond Oil Prices — From Geopolitical Conflict to Financial Stability Risk (October 2026) Values as published in a BNM chart; BNM does not define these as impaired loans.
Counterpoints and uncertainties
The AKPK figures come from a news report and give no breakdown by service, so the 15% rise may partly reflect more outreach and financial-education activity rather than more borrowers in difficulty. The age breakdown is not dated and AKPK gives no comparison for DMP approvals. BNM's arrears data run only to end-June, so any deterioration over the summer would show only in later releases.
Key figures
- People turning to AKPK, January–August 2026: more than 100,000 (up 15% from January–August 2025). People who turned to AKPK (credit counselling, debt management, financial education) in the first eight months of the year, as stated by AKPK. Malaysia, national. Basis date: 31 Aug 2026. Source: The Star: Demand for financial help rises, AKPK highlights warning signs to watch for (2026-10-27)
AKPK figure as reported by The Star; the report does not split the total by service.
- Growth in people turning to AKPK, January–August 2026: 15% (year on year, compared with January–August 2025). Year-on-year change in the number of people who turned to AKPK in the first eight months, as stated by AKPK. Malaysia, national. Basis date: 31 Aug 2026. Source: The Star: Demand for financial help rises, AKPK highlights warning signs to watch for (2026-10-27)
- Individuals approved for AKPK's Debt Management Programme, January–August 2026: more than 47,000. Individuals approved for AKPK's Debt Management Programme (DMP) between January and August, as stated by AKPK. Malaysia, national. Basis date: 31 Aug 2026. Source: The Star: Demand for financial help rises, AKPK highlights warning signs to watch for (2026-10-27)
No comparison period is given in the report.
- Share of approved DMP cases aged 30–39: 41% (compared with 30% for borrowers in their forties). Share of approved AKPK Debt Management Programme cases held by individuals aged 30 to 39, as stated by AKPK. Malaysia, national. Basis date: 27 Oct 2026. Source: The Star: Demand for financial help rises, AKPK highlights warning signs to watch for (2026-10-27)
The report does not state the period the age breakdown covers; basis date is the report date.
- Share of approved DMP cases aged 40–49: 30%. Share of approved AKPK Debt Management Programme cases held by individuals aged 40 to 49, as stated by AKPK. Malaysia, national. Basis date: 27 Oct 2026. Source: The Star: Demand for financial help rises, AKPK highlights warning signs to watch for (2026-10-27)
The report does not state the period the age breakdown covers; basis date is the report date.
- Household loans in arrears, total (MIA-1 to MIA-3, BNM): 3.39% (down from 3.64% at end-March 2026). Household loans one month or more in arrears, % of outstanding household loans by value (BNM). Malaysia, banking system household loans. Basis date: 30 Jun 2026. Source: BNM Insights: Beyond Oil Prices — From Geopolitical Conflict to Financial Stability Risk (October 2026)
- Household loans three or more months in arrears (MIA-3, BNM): 0.96% (up from 0.92% at end-March 2026 and 0.89% at end-June 2025). Household loans three or more months in arrears, % of outstanding household loans by value (BNM). Malaysia, banking system household loans. Basis date: 30 Jun 2026. Source: BNM Insights: Beyond Oil Prices — From Geopolitical Conflict to Financial Stability Risk (October 2026)
- Loans under repayment assistance and AKPK DMP (BNM): 1.8% (unchanged from March 2026). Exposures under banks' repayment assistance and AKPK's Debt Management Programme, % of total banking system and DFI loans. Malaysia, banking system and development financial institutions. Basis date: 30 Jun 2026. Source: BNM Insights: Beyond Oil Prices — From Geopolitical Conflict to Financial Stability Risk (October 2026)
- BNPL arrears share of outstanding, end-June 2026: 3.3% (compared with an overdue share of 3.4% at end-March 2026 and 3.2% at end-June 2025). BNPL arrears as a share of total outstanding BNPL balance, all ages, Ministry of Finance. Malaysia, BNPL. Basis date: 30 Jun 2026. Source: The Star: Buy Now, Pay Later transactions surge over 20% in first half of 2026, Parliament heard (2026-10-20), reporting the Finance Minister's parliamentary reply of 19 October
Earlier periods were reported as 'overdue' shares; the threshold used is not stated in either reply.
- Household loan growth (BNM): 5.2% (down from 5.3% in July). Year-on-year growth of outstanding household loans, banking system. Malaysia, banking system. Basis date: 31 Aug 2026. Source: Bank Negara Malaysia: Monthly Highlights & Statistics, August 2026 (released 2026-09-30)
Sources
SEA Lending Brief
A weekly summary of lending, credit and regulation across Southeast Asia.
Reports are for information only and are not investment advice.
A Japanese version of this article is available: 日本語版