CASE STUDY ANALYSIS: A CONTROVERSIAL ISSUE ON INTEREST OF PTPTN

CASE STUDY ANALYSIS:

A CONTROVERSIAL ISSUE ON INTEREST OF PTPTN

Key Issues:

1.  Mr. Azman was prohibited from leaving the country and his name has been blacklisted because of failed to settle his debt.

2.    Mr. Azman was bad in spending his money.

3.   Mr. Azman use a conventional payment method which is not permissible in Islam wants to change his PTPTN to Islamic payment method.

4.    How Mr. Azman want to settle his PTPTN education loan scheme.

Stakeholder:

-       The National Higher Education Fund Corporation (Ptptn)

-       Mr. Azman

-       Mrs. Rozita ( Mr. Azman’s Wife)

Analysis:

-        Mr. Azman was married and has two children.

-        He works as a teacher.

-        He needs to pay housing loan, car financing, household necessities and PTPTN loan.

SWOT Analysis:

STRENGTHS	-       Mr. Azman has a strong back up in financial since his wife has a lot of saving. -       Mr. Azman managing his financial by ask his wife to handle all the expenses made and do some amount of saving for his family. -       Work as primary school teacher (use has extra time as tuition teacher)	-       Mr. Azman was bad in spending his money.	WEAKNESSES
OPPORTUNITIES	-       PTPTN offer an Ujrah system to blacklisted borrower. -       PTPN offer discount 20 for the borrowers who paid in full amount. -       Mr. Azman doing a business that can give the short term revenue with lowest starting cost. -       Mr. Azman needs to ask consult with Counseling and Debt Management Agency (AKPK).	-       Mr. Azman was prohibited from leaving the country and his name has been blacklisted because of failed to settle his debt.	THREAT

Problem Statement:

            Mr. Azman was very bad in spending his money. Since, his wife take part of responsibility for the family expenses, most of his salary paid for housing loan, car financing, vacation, buying luxuries goods for the family. He also cannot managed his financial commitments wisely compared to his wife, who did a lot of savings as personal planning if anything bad happen to her families. When he got the bad incident, he already realized that his must settle down the debt.     

 

In this case, the National Higher education Fund Corporation (PTPTN) will extend the offer to convert PTPTN loans into Islamic financing system known as “ujrah” to blacklisted borrowers. The ujrah system offered a service charge of only one percent based on shariah to reduce the burden on borrowers. Prior to this, the offer was only open to borrowers who made consistent repayments of their loans. 

There have a few problems stated below:

-       -Mr. Azman must settle down his debt.

-    -How to clear his name from blacklisted and what is best way to settle the education loan   scheme PTPTN?

-     -How Mr.  Azman can manage his salary after he decides to repay his debt on education loan scheme PTPTN?

Solution:

1.  Mr. Azman needs to change from conventional payment method to ujrah system that is Islamic payment method.

2.  Mr. Azman needs to ask consult with Counseling and Debt Management Agency (AKPK). AKPK help with one-to-one counseling and advice on managing your finances wisely from budgeting, money management and credit-related issues. He can learn how to handle debts responsibly and other financial matters to ensure his future today.

3.    Due to bad habit in spending his money, we suggest that he choose installment payment by deduction from his monthly income.

Conclusion:

In a nutshell, Mr. Azman should be changing his payment method to “Ujrah” to reduce his burden to make him easier to pay that PTPTN loan by deduction from his monthly income indirectly it will clear his name from the blacklisted list. Therefore, Mr. Azman will become as a responsible person in managing his financial management after he make a consultation with Counseling and Debt Management Agency (AKPK).